A court has upheld state liquor enforcers' decision that an Elks lodge in Mesa conducted illegal gambling activities.
Lodge No. 2656 was fined $200 by the Arizona Department of Liquor Licenses and Control for contracting with a company that leased software and a kiosk for what it called a "sweepstakes."
Another Elks lodge's complaint in 2012 prompted the department to investigate. It concluded that the sweepstakes was illegal gambling not permitted at establishments serving alcohol.
The lodge argued that the sweepstakes was a lawful raffle, but the Arizona Court of Court of Appeals on Thursday upheld the department's decision.
The department said 55 percent of $234,000 of sweepstakes proceeds was paid to participants. The company got 55 percent of the remainder and the lodge got the rest.