UIGEA news!

[dominique]

http://www.egrmagazine.com/item/1669

UIGEA NEWS ALERT
The office of US Congressman Barney Frank, who is chairman of the House financial services committee, has confirmed that he is currently working on legislation to repeal the Unlawful Internet Gambling Enforcement Act.

The news item appeared this afternoon on the Financial Times website and has been confirmed to eGaming Review by Frank’s press department. The details of how any repeal would take action have not been worked out and no timeframe was given.

Frank is quoted as describing last autumn’s Act as one of the “stupidest laws” ever passed and adds: “I am working on legislation to cut back on this internet gambling thing… I think it’s preposterous”.

While rumours of Barney Frank’s support for a repeal of the Act had been circulating around the egaming industry in the past few weeks, Frank himself had not confirmed or commented on them. Shares in PartyGaming, 888 and Sportingbet were all up this afternoon.

The FT says the mid-term Democratic victory in the US Congress brought some hope to the online gaming sector and John Conyers, chairman of the House judiciary committee, is also considered sympathetic to the industry.

But while Frank and Conyers are “powerful potential allies, it is far from clear that the lawmakers would have enough support to pass any meaningful legislation” because it is not clear “whether the votes would be there for a regulatory bill”.

The FT adds that the US treasury is currently drafting the rules to implement the Act but that the deadline for presenting them has been missed and is now expected in April or May.

[kwblue]

Finally - a step in the right direction!

[jetset]

Nice to have some positive news again, but I gotta say that it seems to be largely hot air at the moment - maybe Frank is testing the water on the Hill before starting to move.

There is no apparent action plan in place or concrete strategy behind the announcement right now, so a helluva lot of work will have to be done before there is any real activity.

Still - if Conyers is still keen, a move on the congressional commission of enquiry into online gambling in the USA (which is supported by the AGA) could happen before the end of the year (hopefully) and that would be a good start to a new and more sensible approach.

[dominique]

Originally Posted by jetset

There is no apparent action plan in place or concrete strategy behind the announcement right now, so a helluva lot of work will have to be done before there is any real activity.

Agreed, it's just the beginning of an opinion making and support gathering phase.

It is quite encouraging though, our side will likely be heard a lot more because of it, and action is indicated in the future.

Also allows the lobbies to watch for support...

[vinylweatherman]

Pity about all those casinos that exited the market, screwing over the newly "unwanted" players in the process, in the belief they didn't really matter as they would not be playing again!

It will just take the repeal of the amendment to the "Safe Ports" act to place the industry back where it was early last year, US banks are not going to waste money continuing to enforce measures that appear to be losing support, and could well be completely reversed in a year or two.
Hopefully, even this might be enough to unlock the stalled funds of US players that have become entangled in the current mess.

Barney Frank has poked his head above the parapet, politically speaking, and is probably waiting to see if any of his opponents try to shoot it off, before making more concrete moves on this.

Non-US players should also be pleased, as it means the possibility of a secure future for the better run operations, and the reign of the rogue jumping into the US fray could be short lived.

[Rollo]

I'm glad to see the casinos are obviously lobbying now. I wish this were someone else than Barney Frank. I think he's a good legislator, but having Barney Frank be the public face of repeal efforts could do a lot more harm than good in conservative ole USA.

[sdaddy]

AP is now confirming this.

http://biz.yahoo.com/ap/070314/inter....v=4&printer=1

Rep. Frank Eyes Web Gambling Ban Repeal
Wednesday March 14, 6:49 pm ET
By Matthew Perrone, AP Business Writer
House Finance Chair Frank Considering Proposal to Repeal Online Gambling Ban in U.S.

WASHINGTON (AP) -- The chair of the House Financial Services Committee is considering legislation that would overturn the ban on online gambling passed last fall.

A spokesman for Rep. Barney Frank, D-Mass. said Wednesday the congressman may introduce a bill to reverse the Internet gambling law, but he stressed there is nothing concrete yet.

"There's no draft, no text -- this is very much still in the thinking stage," said spokesman Steve Adamske.

The Financial Times quoted Frank Wednesday saying that the law, formally known as the Unlawful Internet Gambling Enforcement Act, is "preposterous" and one of the "stupidest" ever passed.

Attached to a larger security bill last October, the act makes it illegal for U.S. banks and credit-card companies to process payments to online gambling businesses outside the United States. The legislation caught many British-based companies off guard, causing companies like Sportingbet PLC and Leisure & Gaming PLC to sell their U.S. operations.

Poker Players Alliance, a lobbying group pushing for a repeal of the ban, earlier this month hired former Republican Senator Alfonso D'Amato to chair its board. The group, primarily funded by online gaming businesses, was formed in 2005 to oppose regulation of Internet gambling in the U.S.

However, Frank likely would need more than a strong push from industry to overturn current law, says Anthony Cabot, a lawyer who specializes in gaming issues.

"It's very difficult to get legislators to support something that could be perceived as pro-gambling, particularly at the federal level," Cabot said. "I think the congressman has a difficult battle ahead of him."

A spokesman for Partygaming PLC, the largest online poker business in the world, declined comment on Frank's remarks.

The Gibraltar-based company released 2006 earnings earlier this month of $128.4 million, down $293.2 million from the prior year.

Shares of British gambling firms jumped Wednesday on speculation that they could eventually re-enter the U.S. online gambling market, which had revenues of $5.8 billion in 2005.

Shares of Sportingbet rose 3 pounds, or 5.4 percent, to 58.75 pounds ($113.70) on the London Stock Exchange while Partygaming rose 4.75 pounds, 12.5 percent, to 42.75 pounds ($82.76). Leisure & Gaming shares fell 25 pence, or 2.5 percent, to 10.25 pounds ($19.83).

[tennis_balls]

Originally Posted by Rollo

I'm glad to see the casinos are obviously lobbying now. I wish this were someone else than Barney Frank. I think he's a good legislator, but having Barney Frank be the public face of repeal efforts could do a lot more harm than good in conservative ole USA.

i hear what you're saying, but Frank has already had his 15 minutes of sex-scandal fame and survived so he's actually less vulnerable to attack now as there is no Fox News shock value.

[cipher]

Sorry to burst you people's bubble but this story is nothing but that, a story.

According to Barney Frank's office this morning they have no idea where this story came from and that none to reiterate NONE of it is true. It sure would be nice to have people start fact checking these stories for accuracy. Sheesh!

Have a good one.

[Casinomeister]

Originally Posted by cipher

Sorry to burst you people's bubble but this story is nothing but that, a story.
...

Have a good one.

Look what the cat drug in

Hey dude, you need to answer my PM.