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Most Recent Online Casino News

US Gov. Affirms Online Wagering Violates Laws

It is illegal for an American company to operate an Internet poker site in the United States, according to the U.S. Department of Justice. There is no prohibition, however, against wagering on the sites, said Las Vegas attorney Tony Cabot, who has followed Internet gaming law since its inception.

Cabot affirmed that, as long as the corporate headquarters are not on US soil, it is not illegal to accept wagers from Americans. That´s why the company’s servers originate in places such as the Caribbean, Costa Rica, the Isle of Man, Gibraltar or Montreal in Canada. The online casinos operate under the guidelines and gaming regulations of the particular jurisdiction, where age limits for placing legal wagers are as low as 18.

The federal government believes online wagering violates anti-gambling laws, including the Wire Act of 1961, which covers wagering across state lines. Cabot said no states, even those with strict gaming laws, have regulations covering Internet wagering.

Nevada’s chief gaming regulator, Dennis Neilander, chairman of the State Gaming Control Board, said he wished Congress would spell out the provisions of the Wire Act as they pertain to online casinos to clear up many of the confusing interpretations. "To me it’s not a question of what they would do. I would just like to see some clarification of the Wire Act as it’s applied to Internet gaming, and not just poker," Neilander said.

Cabot and other gaming industry observers don’t believe the government is going to do anything in the immediate future to stop online wagering.

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2005 Online Casino News Archive


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