Texas Hold Em Tournament for Charity... Legal?

[sixxbach]

I was asked by a friend to play in a Texas Hold Em tourney for charity. There is a suggested donation of 40 bucks.

It pays out $1000 to the winner and also pays 2nd and 3rd.

Is this legal in Texas?

Would it be legal if winners were paid with a gift card as opposed to cash?

Thanks in advance,

sixx

[mrhamm]

From http://www.tdcaa.com/node/2872:
Charity poker

The Charitable Raffling Enabling Act in Chapter 2002 of the Texas Occupations Code will rarely, if ever, apply to Texas Hold ‘Em fundraisers. Often, the business or association holding the event does not meet the requirements of a qualified organization (non-profits, fire departments, emergency medical services, and education). Even if the organization meets the stipulated requirements, the charity exception requires that a raffle be conducted to award prizes. Because a raffle is defined as “the award of one or more prizes by chance at a single occasion among a single pool or group of persons who have paid or promoted a thing of value for a ticket that represents a chance to win a prize,”9 players are prohibited from receiving prizes based on how far they advance or what place they finish in a poker tournament. Additionally, the code prohibits cash as a prize. The Attorney General has also made it clear that even nonprofit organizations that sponsor a “poker run” violate gambling statutes.10 Therefore, unless the raffle results are completely separate from the outcome of the poker tournament—begging the question, why play at all?—charities and other groups should not rely on Texas Hold ‘Em tournaments to raise funds.