Las Vegas Review Journal – A bill to restore a ban on online gaming was introduced Wednesday in Congress, adding another layer to the big-money battle over whether gambling should be allowed on the Internet.
The bill by Sen. Lindsey Graham, R-S.C., and Rep. Jason Chaffetz, R-Utah., seeks to reinstate federal law to prohibit “all forms of Internet gambling.” It comes in the wake of a December 2011 Justice Department opinion that the relevant law, the Interstate Wire Act of 1961, covers only sports betting.
That opinion dramatically changed the landscape, sparking moves by states, casino interests and technology vendors to explore online markets. Nevada and two other states have legalized forms of in-state Web gaming, and 10 states are considering the same.
The issue has split the American Gaming Association and provoked a backlash from attorneys general in 16 states focused on worries about crime and money laundering, and potential harmful effects on youngsters and problem gamblers.
Bill sponsors at a news conference said there needs to be a pause, and that lawmakers need to have a voice in what forms of Internet gambling, if any, are allowed, and where, if anywhere.
“If there is a case that people want to make for online gambling they should come to Congress,” said Chaffetz, who is from one of only two states with no forms of legalized betting. Hawaii is the other.
By reinterpreting the Wire Act, “The attorney general’s office in my view made a huge legal misstep, and those of us in Congress who are worried about the effect of online gambling are going to push back,” Graham said. “Those who think it’s a good idea will have their say.”
The legislation does not contain a grandfather clause that would permit Nevada, New Jersey and Delaware to continue offering online gaming, and would bring to a halt the recent Nevada-Delaware agreement to pool online poker.
Those states and any others would be required to get Congress to sign off.
Nevada Gov. Brian Sandoval said the bill was unwelcome.
