Utah is escalating its legal battle with prediction market platform Kalshi.

Utah Attorney General Derek Brown filed a lawsuit Tuesday against Kalshi, several of its subsidiaries, and two financial trading firms that work with the company, accusing them of violating the state’s anti-gambling laws.

In the lawsuit , the state compares Kalshi to a “back-alley gambling den,” arguing that the company facilitates bets and takes a percentage of the money that’s bet on its platform.

Utah is asking a court to block Kalshi from offering wagers in the state. It also wants the company to use a court-approved geolocation service to prevent Utah residents from placing bets on the platform. And the state is seeking to recover millions of dollars the company allegedly made from illegal gambling.…