Online gambling is bad and must be banned

Today we see yet another attempt to stymie online gambling by the usual suspects: Virginia Rep. Bob Goodlatte, Arizona Republican Sen. Jon Kyl and Iowa Republican Bob Goodlatte.

The bill aimed to ban most forms of Internet gambling, which generates some $12 billion annually worldwide. It is part of the Republican party's emphasis on moral values as congressional elections approach this fall.

The bill, which is now in its seventh reincarnation after six previous failed attempts to get it through Congress, has taken on an entirely new meaning this year.  Mainstream media is paying attention with CNN Headline News among those outlets poised to feature industry representatives discussing the bill Tuesday evening.  The online gambling sector also enjoys tremendous support this go around from a new - and potentially powerful lobbying group - the 30,000-member Poker Players Alliance.


"It's politics, plain and simple," said Michael Bolcerek, president of the 30,000-member Poker Players Alliance, which is willing to support some regulation of online poker games but opposes an outright ban.

Debate on the bill began on the House floor on Tuesday morning, with a vote expected later in the day. Backers expressed confidence that the bill would win approval.

Prospects for similar legislation in the U.S. Senate remained unclear with relatively few work days left before the November elections. Arizona Republican Sen. Jon Kyl was said to be seeking a Senate bill to which he could attach anti-gambling language.

The House bill, sponsored by Goodlatte and Iowa Republican Jim Leach, would make it illegal for banks and credit card companies to make payments to online gambling sites.

With President Bush's approval rating at an all time low, even some Conservative Republicans might not be so inclined to jump on the internet gambling ban-wagon this go around, unlike in previous years where many Republicans seemingly signed off without really paying much mind to what they were signing.

Hypocricy

It has broad support among conservative and religious activist groups, which want to keep gambling out of easy reach of minors.

To win more backing among lawmakers, the bill included language specifically exempting horse racing and lotteries.  However, the powerful Christian Coalition has refused to go along with such exemptions in the past, helping to bring forth a road block of sorts.

They also dropped enforcement provisions for banks that fail to block credit card payments, according to congressional aides.  This type of proposed enforcement appeared to be the biggest threat to online gambling.

The bill would have broad impact on the Internet gambling industry, which gets half its revenue from American gamblers. Lawmakers say an estimated 2,300 gambling sites now exist on the Internet.

Investors in some British-based gaming companies such as Partygaming Plc and 888 Holdings Plc have closely monitored U.S. legislation. In Tuesday trading on the London Stock Exchange, 888 Holdings was up about 1.5 percent while Partygaming was unchanged.

Republican Shelley Berkley was quick to realize the "hidden agendas" contained in the latest proposed legislation to ban internet gambling.

Via AMERICAblog, Berkley issued the following statement:

"When the House considers the poorly-named Internet Gambling Prohibition and Enforcement Act (Tuesday), I will offer an amendment to eliminate the special exemptions contained in the bill. Regardless of your position on the issue, there is no reason for Congress to pick and choose which types of gaming should be exempted from what is being described as a ban on Internet gaming.

"The bill’s advocates proclaim the immorality of online gaming and shout that it will destroy our society - unless you are betting on horse races. They assert that the bill is neutral on the subject of interstate online pari-mutuel betting. But there is no getting around the fact that this bill very clearly and specifically states that online betting on horseracing is not prohibited.

"The bill also includes another hypocritical exemption - for intrastate lotteries. This is highly ironic because this exemption is exactly what the notorious felon Jack Abramoff wanted when he reportedly orchestrated the defeat of a similar bill several years ago because it had no exemption for lotteries. Mr. Abramoff must be smiling about this turn of events."

 

Angry Republican

Online gambling representative, Wayne Allyn Root, may be a staunch Republican with aspirations of running for state Senator one day in the not-to-distant future, but he is also furious what is transpiring with this latest attempt to ban online gambling.

Speaking out on Gambling911.com, Root expressed his furor.

"Enter into the picture a new attempt by our Republican-majority Congress to ban online gaming- to treat ordinary Americans with contempt; to treat adults like idiots incapable of choosing what to do with their own money; to treat this popular form of entertainment (online gaming) as a crime; to trample Ronald Reagan’s legacy of limited government and individual rights. I am shocked and saddened to say that it is Republican political leaders that are leading this misguided “Big Brother” assault on our individual freedoms and rights (individual rights and states rights).

"This attempt to ban online gaming is nothing more than a 21st century version of Prohibition. That first attempt to institute Prohibition in the 1920’s was one of the biggest failures in American political history.  It will fail again. What Americans choose to do with our time and our money, on our computers and cell phones, is none of the business of politicians or government.

"My beloved GOP has strayed far from our own winning message. We are guilty of violating the core values of our party and the legacy of President Ronald Reagan. Instead of fighting “Big Brother” and the expansion of government into our lives and bedrooms, we are guilty of supporting it. My beloved GOP is in danger of becoming the very symbol of “Big Brother!'"

Democrats Outraged

Democrat Barney Frank of Massachusetts said he thought the bill was "outrageous."

"If people want to do something, and it doesn't hurt anybody else, we ought to mind our own business," Frank said on Monday. "This is a bill to tell adults not to do something because people in this body disapprove of what they do."

House lawmakers will debate one proposed amendment, which would eliminate the exceptions in the bill for horseracing and state-owned lotteries. "Let's get rid of all of this if we are going to do it," said Democrat John Conyers of Michigan.

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Christopher Costigan, www.gambling911.com

Originally published July 12, 2006 1:57 pm EDT