Online Casino

Casino Games

Legal Gambling



Newsletter

BetAmerica

Department of Justice Slows Growth of Online Gambling With Ruling

01/18/2019

It would appear the gauntlet has been tossed down between land-based casino operators and online casino interests. 

In 2011, the Department of Justice (DOJ) issued an opinion, confirming its position that the 1961 Wire Act (prohibits online gambling) was only applicable to sports betting. With the recent rise in popularity of online casino gambling among Americans, a consortium backed by billionaire casino executive Sheldon Adelson has been pushing the DOJ to take another look at its original position. It's clear that the land-based casino operators are looking to maintain its hold over the US dollars being wagered across all sources. 

Now comes a report that DOJ, under Rod Rosenstein, has issued a 23-page opinion by the department's Office of Legal Counsel. The report essentially reverse its original opinion and states that the 1961 law in fact applies to all forms of online gambling that might cross state lines. 

This is a devastating blow to the youthful online gambling industry in America. With many states currently processing legislation to approve such activities, everyone is going to be scrambling to reassess how its law are written and are intended to be enforced. This will be a particularly strenuous task for states that currently allow out-of-state residents to bet on horse races and through online casinos and online lottery operations. 

It's a good bet online casino operators and industry participants are sure to take this ruling to court. Too much time and money has been invested to get things operating as smoothly as they are currently operating. For now, the DOJ has given the states 90 days to comply with this new ruling. 

The effect this will have on online gambling enthusiasts is hard to predict. If upheld by the courts, each state would have invest a lot of money and develop tight rules to control the use of its online gambling sites by residents of other states. It's also not clear if the DOJ would go after gamblers or simply fine and/or shut down any online gambling operations that prove incapable of policing its customers. 

Some experts believe this is a ploy to put pressure on state legislatures to allow some level of federal regulation and taxation over the entire online gambling industry. It might not be a coincidence that this ruling was issued on the heels of the Democrats taking control over the House of Representatives. Both sides of the issue will be digging in.

 
>> All legal casino news in USA
 

Online Casino News in USA

04/18/2019 Golden Nugget Casino Offers $1,000 Matching Bonus
There is a new reason that players should create an account with Golden Nugget online casino. For a limited time the casino is doubling the first deposit made by a new player. This could put up to $1,000 of f... Read more

Golden Nugget Casino
04/18/2019 New Jersey's Influence to Be Felt Nationwide
The online gaming revenues for the state of New Jersey are in for the month of March, and the results are record smashing. Remaining on a trajectory to continue showing double digit revenue increases month ov... Read more

Legal Gambling USA
04/15/2019 Seminole Tribe at Odds With State of Florida
Back in 2010, the Seminole Indian tribe signed a gambling accord with the state of Florida. It would be a misnomer to say the agreement was pleasing to both sides, but both sides agreed to abide by the provis... Read more

Legal Gambling USA
04/12/2019 Win Big with Rainy Day Bonuses at TropicanaCasino.com
Spring is here, and that means it's time for those April showers. Don't let those rainy days upset you! The Tropicana Casino is offering players the chance to stay inside and win up to $100 in bonus cash. Onl... Read more

Tropicana Casino
04/11/2019 DOJ Wire Act Opinion to Exclude Lotteries
In January of this year, the US Department of Justice (DOJ) indicated it was going to reverse it's prior 2011 opinion regarding the Wire Act of 1961. The Wire Act of 1961 was passed to ban the use of wire ... Read more

Legal Gambling USA
>> All casino websites news in USA
 

  Home > Online Casino > Online Casino News in USA > Department of Justice Slows Growth of Online Gambling With Ruling