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DraftKings, FanDuel Ordered to Stop Doing Business in New York

Photo illustration by Scott Olson/Getty Images

Two of the nation's largest fantasy sports websites were ordered to stop doing business with those residing in New York, The New York Times reported Tuesday.

According to the Times, Attorney General Eric Schneiderman sent a cease-and-desist letter to DraftKings and FanDuel. The news was also reported by ESPN and ABC News.

The letter reportedly instructed the two companies to stop taking bets from those in the Empire State, alleging the fantasy games constituted illegal gambling as defined by state law.

Photo illustration by Scott Olson/Getty Images

Earlier in the day, DraftKings had sent out a tweet urging users to immediately contact the New York attorney general to "protect" their "right to play daily fantasy in NY."

Fantasy sports have long argued their businesses do not constitute online gambling because playing is based on some skill and not only luck. However, as they have grown into multi-billion dollar businesses, they have attracted increased scrutiny.

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