UIGEA Proposed Regulations Reviewed by Well Known i-Gaming Attorney Gambling Law Professor I. Nelson Rose has just released his review of the “Proposed Regulations” for the UIGEA. Mr. Rose is well adverse in gambling law and has written books specific to internet gaming law.
The proposed regulations were released earlier this month by the Federal Reserve Board after a 10 month hiatus, 4 months late of their deadline. In Mr. Rose’s review entitled “Proposed Internet Gambling Regulations and the Players” he picks apart the proposed regulations and what impact they will eventually have on the overall online gambling industry including players.
In the article Rose goes on to say that he doesn’t expect there to be any change for many, many months ahead. The UIGEA which has been scrutinized by many as being unclear seems to have filtered into the proposed regulations. The proposed 6 month deadline for banks to implement these changes simply won’t happen says’ Rose.
He says that players will continue to be able to play online poker after the regulations are official because of so many loopholes. Sending and receiving paper checks will always be an option of last resort.
Prohibition 2.0, as Mr. Rose calls it, will not lead to conviction of players but only gambling businesses. He also says the financial institutions are not defined as gambling businesses.
“Bizarrely, for a law designed to prevent money transfers, the financial institutions involved in those transfers, including banks, credit card companies and e-wallets, are expressly defined as not being gambling businesses and so cannot be convicted of this new crime.”
The regulations seem to put all burden on the financial institutions to determine what is considered to be “unlawful” internet gambling. Again, it is proposed that banks will be given 6 months to enact the law after commenting but Rose goes on to say it can’t be done at all let alone six months because of not being able to define what is “unlawful”.
While Mr. Rose predicts many larger financial institutions will end up blocking all gambling related transactions whether they be legal or not he is confident Prohibition 2.0 will not be successful.
News Source: Compatiblepoker.com
© Copyright 2007. Professor I Nelson Rose is recognized as one of the world’s leading experts on gambling law. His latest books, Internet Gaming Law and Gaming Law: Cases and Materials, are available through his website, www.GamblingAndTheLaw.com.
