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A Senate Subcommittee hearing early Tuesday to discuss the legalization of real money online gambling also addressed fears over terrorism.
“There are indications that terrorists in Afghanistan have been using online gaming to launder their funds,” said Chuck Canterbury, national director of the Fraternal Order of Police. “There is no legal or regulatory framework for law enforcement to shut down this activity.”
But as long as the activity remains underground and mostly unregulated, Canterbury’s assertion could become all the more troubling down the road.
“Shame on us if we don’t get something done on this because, when I think about the possibility for money laundering, terrorism, drug trafficking and the potential for children to get access to use the Internet as well as people to add to the addiction issue, I hope this is something that we move on very quickly,” said Sen. Kelly Ayotte (R-N.H.).
"Congress needs to provide clarity and guidance on these issues," said Sen. Dean Heller (R-Nev.). Heller has previously co-sponsored legislation to legalize Web gambling. "If we do not, this illegal market will continue to grow where millions of consumers are put at risk and criminals can act freely."
In addition to national security fears, worries over underage gambling were also addressed during Wednesday’s hearing.
The only real prohibition preventing children from accessing online gambling, the senators were told, was a button users click to verify that they are over 18.
“My kids are pretty sharp; I don’t think it would take them long to get around that at the age of five and eight,” said Ayotte.
Sen. Richard Blumenthal (D-Conn.) said, “I think there’s a clear moral and economic imperative to acting to prevent the abuses and wrongdoing that clearly are inherent, almost inescapable, in this form of gambling, if we fail to take effective countermeasures.
After the hearing, Heller addressed the issue of individual states moving forward with their own patchwork legislation. Previous attempts by Heller and Senate Majority Leader Harry Reid, both Senators from Nevada, were viewed as Nevada centric and opposed by a number of state lotteries and other interests.
“I would like to put together a piece of legislation, as does Sen. Reid, but we want broad support. I don’t want this to be a Sen. Reid and Sen. Heller piece of legislation. I want broad support.”
Previous attempts at legalizing online gambling have also been met by staunch opposition from powerful Tribal casino groups.
“The question is whether Congress will ensure minimum regulatory standards of online poker, protect consumers, exclude bad actors from the American market and provide Native American tribes with an appropriate regulatory framework,” said Geoff Freeman, president of the American Gaming Association, in a statement.
- Jagajeet Chiba, Gambling911.com
