Jul 11, 2006 23:12
The United States House of Representatives today approved a bill that would prevent credit card companies and financial institutions from working with online casinos and cardrooms in an effort to stop online gambling.
The Unlawful Internet Gambling Enforcement Act, which passed by a vote of 317-93, would also give authorities the right to work with Internet providers to block access to gambling-related websites.
The bill will now go to the Senate, where it should face a tougher time being approved. The White House said it supports the bill.
If this bill makes it into a law, it would prohibit credit card companies from collecting money for casinos and would force financial institutions to work with law-enforcement agencies to stop money from being transferred to online gaming sites.
Virginia Rep. Bob Goodlatte, who sponsored the bill along with fellow Republican Jim Leach, called online gambling “a scourge on our society” on the House floor today, and also repeatedly mentioned the name of Jack Abramoff, the disgraced lobbyist who pleaded guilty in January to various crimes, including bribery, he committed while representing several Indian casinos.
Goodlatte said the bill would help stop the “moral decline” that he claims is now occurring in America. He also claims that online casinos are really fronts for money launderers and that online gambling undermines families and threatens states’ abilities to enforce their own laws.
He says this despite the fact that several online poker sites are traded publicly, including PartyGaming (PartyPoker.com’s parent company), 888.com, Sportingbet (which owns ParadisePoker.com), and Empire Online.
He also sticks by his claims despite the fact that several dozen countries, including the United Kingdom, allows, regulate, and tax online gambling.
The bill does have its critics. Democrat Rep. Barney Frank warned during today’s debate that the bill is a violation of individuals’ rights.
“What kind of social, cultural authoritarianism are we practicing here?” Frank asked. “I think (the bill) is a great infringement on liberty. When it comes to an individual decision on how to spend your own time and money, that's not my position. That’s not my business. I am skeptical of people who want to protect people from themselves.”
The online industry recently got a cautious boost of support from the American Gaming Association. The AGA is encouraging lawmakers to explore ways to make online wagering legal, taxable, and regulated. All major casino chains are members of the AGA.