This is a very interesting article, it shows the Unlawful Internet Gambling Enforcement Act of 2006, from the UK point of view.

WHEN Congress banned online gambling in the USA last week, in one fell swoop they declared economic war on Britain while simultaneously ending the notion of cyberspace as a “government-free” territory.

It is estimated that British-owned online gambling companies who specialise in poker – a game 50 million Americans play regularly either in person or on the worldwide web – lost 75 per cent of their revenue overnight when the Unlawful Internet Gambling Enforcement Act of 2006 was passed.

Shares in companies such as PartyGaming, SportingBet and 888.com – many of whose managers are Scots – plummeted, while shares in UKBetting, which specifically avoided doing business in the USA over fears of online gambling’s legality, rose by 11 per cent.

President Bush has still to sign the bill into law, but he actively supported it and with mid-term elections due, there is little chance of the president turning down something which appeases the vital right-wing Christian “moral majority”. Many state governments were also worried about the effect that online gambling was having on income for their lucrative lotteries, so even liberal governors are happy with this Draconian move.

But Congress’s decision reeks of hypocrisy, not least because now American teenagers cannot smoke, drink or play poker online, but they can own guns in some states and they can certainly die for their country in Iraq. The US government formally protested when China started censoring American-based internet search engines, but by using the device of stopping payments to internet gambling companies, they have effectively made the Federal government an internet policeman as far as gambling is concerned.

Congress also allowed a curious exemption. Online betting on horse racing is still allowed, and that could be good news for the British racing and betting industries, including betting exchanges.

A spokesman for one betting exchange operator said: “Exchanges could see this ban coming, as our own legality and existence has been challenged there. It seems like a disaster for those firms who dealt mostly in online poker, but the exemption for horse racing could be very good news for British racing and online bookmakers as well as exchanges. If the industry gets its act together, there could be a big future in broadcasting our racing to the USA and taking bets online from over there. After all, we now know they’re legal.

“You can now see American racing on satellite television here in the UK and bet on it every night, so why not do it vice-versa and have Americans betting on our racing?”

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The voice of the online poker player, and the Poker Players Alliance teamed up to fight the pending internet gambling legislation the old-fashioned way: encouraging concerned citizens to pick up the telephone and voice their opinion.

Poker Players Alliance Phone March on Washington, a grassroots campaign designed to combat the current internet gambling legislation in Congress, generated thousands of calls by people from all over the country. The message: Do not ban online poker in the United States; regulate the great American pastime.

“We’re very excited that so many online poker players and internet gamblers came out in support of the Phone March on Washington. The threat to online poker is real. We hope our Senators heard our message loud and clear today: Do not ban online poker in the United States.” The bill in question, H.R. 4411, passed the House of Representatives by an overwhelming margin, 317-93, in July. The Senate then went on recess and resumed session just after Labor Day. “Calling elected officials’ offices shows a great amount of courage and passion for our cause,” said Spears. A spokesperson for Senator Mel Martinez’s (R-FL) office agreed: If you call, “we will take you seriously.”

The Phone March on Washington was resoundingly noticed by Congressional offices. A representative from Senator Dick Durbin’s (D-IL) office claimed that the staff had been receiving calls “once every few minutes.” The same was true at Senator Edward Kennedy’s (D-MA) headquarters: “We have received a steady stream of calls all day today.” At Senator Charles Schumer’s (D-NY) office, a spokesperson said they had received “a significant number of calls on the issue.” A staffer at Senator Bill Frist’s (R-TN) offices claimed, “The Senator has not come out with a public statement on the issue. We have been working on developing a written response to today’s calls, but do not have anything right now.”

Senator Dianne Feinstein’s (D-CA) position on the issue echoed that of the callers today: “The Senator is not in favor of a ban. She favors regulation in order to prevent children from gambling,” said a representative. Online poker players nationwide can say they have done as much as possible to prevent such a ban from occurring. Now, they must wait and see how loudly their voices have been heard. “I think we sent a message today,” said Spears.

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