November 22, 2008
National Journal MagazineNational Journal MagazineThe HotlineCongress DailyTechnology Daily
National Journal's Technology Daily
Search Technology Daily
 
Advanced Search
Go Wireless
TechnologyDaily Mobile

Recent Editions
Features
Issue of the Week
People Column
International Roundup
State Roundup
Executive Summary

Briefing Room
Background Papers
Bill Status
Capital Contacts
Glossaries
Password Save
Reprints
E-mail Alert
Wireless Edition
Contacts
About TD
Privacy Policy


International Roundup: February 9, 2000
Know When To Fold 'Em: Globe Deals With Online Gambling
     Far from the flashing neon lights of Vegas casinos, lawmakers in the United States and around the world are engaged in their own high-stakes game.
     They aim to control the barrage of on-line gambling sites sprouting up on the Internet daily, but disparate international laws and the nature of the Internet makes shuttering an on-line casino's doors difficult.

Doubling Down Down Under
     Aside from the proliferation of Caribbean-based Net gambling sites,Australia has long been considered a gambler's paradise. In the off-line world, Australia has a vibrant gambling community. Australian Prime Minister John Howard admitted at a recent press conference that he was embarrassed by the number of poker machines in Australia and that gambling was "part and parcel" of the Australian lifestyle.
     But a government report released in December could change that. The study found that problem gamblers in Australia make up $3 billion in losses annually. "Internet gambling has the potential to dramatically increase the number of problem gamblers because it will be accessible to every household 24 hours a day," Howard warned.
     He plans to found an advisory council, which will, among other things, focus on the impact of online gambling. The move has enraged on-line casinos that worry that the commission's findings will restrict their industry and point out that states already have laws to regulate online operators.

Hedging Their Bets
     Australia's not the only country concerned with the rise of Internet gambling. The U.S. Senate unanimously approved a bill, introduced by Sen. John Kyl, R-AZ, which bans most forms of virtual gambling. The bill also would prevent online advertising of legal gaming operations, such as casinos. The House bill, H.R. 3125, introduced by Rep. Bob Goodlatte, R-VA, has similar gambling prohibitions but allows advertising for legal operations. Goodlatte, whose bill was approved by the House Judiciary Crime Subcommittee, said he didn't know when the House would consider his bill although he's confident it will become law.
     But critics say if Goodlatte's bill, or any other move to restrict online gambling becomes law, it won't stop U.S. citizens from placing their bets online.
     "It will still exist because there are countries that allow online gaming," said Alan Schneider, managing director of Rolling Good Times, an online magazine devoted to gaming news. "Americans would still do it."

Win, Lose Or Draw?
     Online gambling advocates' arguments often boil down to Schneider's philosophy: everyone's doing it, why can't we? They point to the myriad of off-shore online gambling operations as evidence that no laws are going to stop the lure of lady luck.
     Last year, Liberia's Gaming Board announced plans to create the world's first government-operated online gambling destination. Other countries such as Sweden, Germany, Costa Rica, Antigua, the Marshall Islands, and Curacao have started licensing and regulatory processes for online casino operators. South Africa also is considering legalizing online gambling.
     Chris Fismer, chairman of South Africa's National Gaming Board, said if South Africa does legalize the practice, it will be under strict federal laws. Although online gambling sites are illegal in South Africa, Fismer said like many places, these Internet sites still manage to operate there illegally. And this, he explained, is reason enough to legalize it. "The application of prohibition has not been successful," he said. "It's impossible to regulate."

A Dicey Issue
     While some lawmakers scoff at the notion that Internet gambling can't be regulated, (after all, child pornography is), many say without international cooperation, bans on Net gambling would be difficult to enforce.
     At a recent press conference, Hong Kong's Secretary for Home Affairs David Lan Hong-tsung agreed that betting via the Internet is difficult to stop and lamented that the problem couldn't be tackled by Hong Kong unilaterally.
     Goodlatte said he believes the United States eventually will have to look beyond its borders if Internet gambling restrictions become law.
     "There will definitely be interest to get international cooperation on this," he said.
     Whatever form that global cooperation might take, online gambling advocates hope those moves regulate the industry, not restrict it. Sue Schneider,chair of the Interactive Gaming Council, which opposes legislation banning Internet gambling, said the United States is behind other countries on the issue.
     "The rest of the world is far ahead on standards and codes," she said.
- by Caroline Broder






 NEW FEATURE

-Advertisement-

-Advertisement-