Poker Community Chimes In On Internet Poker Measure Markup
The poker community had a lot to say in regard to Wednesday’s markup of HR 2267 online gambling legislation. HR 2267 is proposed legislation that seeks to amend title 31, United States Code, to provide for the licensing of Internet gambling activities by the Secretary of the Treasury, to provide for consumer protections on the Internet, to enforce the tax code, and for other purposes.
Much of the discussion centered around questionable amendments to the original measure and how some of today’s largest online poker rooms that accept U.S. customers might fare should HR 2267 ultimately come to pass.
Gambling911.com checked out what some of the folks at the TwoPlusTwo.com Legislation Forum had to say.
Originally Posted by Pokeraddict
“The fact that it will be easy to deposit on licensed sites using Paypal type processors or maybe even cash cards bought at gas stations. The unlicensed sites will have processor issues, maybe even worse than now. If you could go to the local casino or lottery office and pick up your cashout now would you wait weeks for a check that may or may not bounce? Also deposit ease for fish should help with game quality of the licensed sites if they rake isn't so bad it kills everyone.”
Originally Posted by Pokeraddict
“Everybody seems to be ignoring that the amendment says they could not break state or federal law. States have a variety of gambling laws and WA State specifically outlaws online poker. Nevada law states anyone that takes a bet must have a gaming license. Illinois has a similar law. Accepting action from residents of those states can't be described as an accident.
“By processing payments for residents in those states, in violation of state laws, the rooms are in violation of the UIGEA. Even if you say poker is not gambling Washington state law says it is. By accepting players there a poker room can't plead ignorance. The PPA seems to have a different opinion than this but to me it seems obvious. The poker rooms are taking illegal action from several states and the provision includes that one who has accepted wagers in violation of state law cannot be granted a license.
“I could certainly see rooms going the route of Party and Dik**** and just paying a massive fine to avoid prosecution but I don't see how in the world these rooms would be allowed to get licensed with B&M players like Harrah's and MGM around, especially since the bill as it stands currently specifically excludes these rooms.
“Edit: If FTP and PS truly think they have good legal advice that they are operating legally then they have a chance but the WA state law is pretty clear. I guess we will see. This is all speculation and of course still has quite a few votes and a presidential signature before it happens. It could be changed 1000 times before that happens.
“Of course these site's would have another option. Change the structure or outright sell. Obviously their businesses are worth a fortune to someone wanting to get in on the land grab.”
Mpethybridge responded:
“There are plenty of responses to this concern. The first is that Stars and Tilt will be dealing with the treasury lawyers. The Treasury lawyers will not be expert in the poker related laws of all 50 states. It is perfectly reasonable to believe that the federal government's lawyers will begin and end their inquiry as to whether a site violated a federal law.
“The second answer to this is that states cannot assert jurisdiction (successfully) over conduct outside of their physical boundaries in the same way that the federal government can. Washington state cannot argue that a poker site based in the Isle of Man violates state law because it is accessible in Washington any more than they could argue that a site based in California violates Washington state law because it is accessible in Washington.
“The last point is that UIGEA did not criminalize any payment processing other than for gambling that was already illegal under preexisiting state or federal law. so the "accepted or made payments," language gets you right back to points one and 2--stars and tilt didn't violate UIGEA by processing payments unless poker was already illegal before UIGEA.”
Originally Posted by novahunterpa
“Yea but what they believe and what is political reality are 2 different things. Sure I think ps/ft will be able to apply for a license and have legal arguments to support their position for having not violated any US law,but lets face it after today I think PS/FT are long shots for ever receiving a license.
“Really i don't think it matters, our support of this legislation shouldn't be dependent on whether certain sites get a license or not, I personally couldn't care if they receive a license or not (I would like it if they did) If this bill passes we will have plenty of sites to play at.”
Wildb offered his response: “I have followed this thread most of the day. And am wondering what the issue is around a license.
“DoesFull Tilt needs a license? The easiest path into the market would be to sell there software, customer list to one of the big US players for stock in the company.
“Am I missing something?”
