Barney Frank Introduces Bill To Overturn UIGEA
- May 7th, 2009
- Posted in Articles
Now I am not a fan of prohibition when regulation can be so much more effective, plus I work in the online gaming industry, so bear in mind I am biased here. But the introduction of the UIGEA in the USA in October 2006 made me shake my head at just how stupid some politicians can be. Well - I say stupid, but anything that guarantees campaign funding and votes perhaps isn’t so stupid, even if it does shout in the face of the Constitution. Land of the Free, right?
But it seems finally there is someone prepared to stand up and say “woah - hold up. that’s not right“. And this person thankfully has some clout. How much clout we will have to wait and see.
U.S. House Financial Services Committee Chairman Barney Frank has intoduced a bill with the snappy title of the ”Internet Gambling Regulation Consumer Protection & Enforcement Act” which would give the US Treasury Department the ability to regulate internet gambling, quite strictly in fact. Of course this has a long way to go and will have to navigate some very vocal opposition if it is to get passed. But it’s a starting point.
The full story is at Reuters here.
As things stand, Internet gambling in the USA is not outright illegal, although out of State sports betting is covered by the 1961 Wire Act, while the UIGEA imposes retsrictions on banks and financial institutions meaning that they can be held responsible for any accoun holder making transactions to online gambling sites. It’s has been fraught with problems and even as I write is not fully implemented. No doubt these problems are also a major reason that Rep. Frank has introduced this legislation becuase of his position in the finance sector. Simply put, the UIGEA is not an effective mechanism for stopping online gambling anyway, even putting the civil liberty issues aside.
Whether this bill will get to where it’s going remains to be seen, but any US resident who feels that the Government shouldn’t be sticking their noses into how they choose to spend their wages should contact their local representatives ahead of any House vote to let them know they support this bill. You can bet your bottom dollar - as long as you don’t do it online of course - that the opposition will be very vocal, so every voice counts!