Continued Kickback Against US Online Gambling
Despite a growing sentiment in favour of online gambling both amongst the public and politicians, two senior senators, Lindsey Graham and Dianne Feinstein have written letters to the department of Justice to investigate and potentially overturn the ruling that online gambling can be regulated at a state level.
This comes after 4 states in the US have already approved and legalised online gambling. In fact these 4 states have signed deals to form an online gambling network between them, keeping online gaming insular within the US.
These states have clearly seen an increase in revenues from gambling since the introduction of legal online gambling. There is clearly a huge public want for convenient and safe gambling but these two Republican senators wish to undo all the hard work that has already been done in the industry.
For many it is quite ironic how the Republican senators, who are always favouring small government and deregulation, now expect the Department of Justice to annul a law that grants states more freedoms and less regulation.
The Legacy Of The Wire Act
The main sticking points for many lawmakers has always been the 1961 Wire Act which was designed to prevent organised crime syndicates from transferring international funds in secret and avoiding paying taxes. It wasn’t until 2011 that the Department of Justice finally ruled that online gambling and sports betting does not fall under the regulations of the Wire Act and therefore should be considered legal if states decide to allow them.
It was Attorney General Eric Holder who played a key role in the matter. It was certainly a welcome move as the previous ban on online gambling simply was not rational. What prompted the letter from the two senators was the recent signing into law of online gambling in Pennsylvania. It made many politicians sit up and realise that online gambling is not just here to stay, but growing bigger and bigger.
Unfortunately Graham and Feinstein simply do not have any reasonable cause for reversing the Department of Justice ruling and many of their opinions are based simply on personal beliefs and outdated facts that simply are not relevant anymore. The recent court debates over the full legalisation of sports betting will add another element to this battle but the courts have yet to rule in the matter leaving many people holding their breath, mostly the public and bookmakers.
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