Fighting H.R. 4777, the Internet Gambling Prohibition Act

[Cynthia777]

Thanks, Westland Bowl, for that update on HR4777 (sorry I didn't pick up on that sooner).. and, word is, Congress will not be going out for the year on Sept. 29/October. They will recess, however, return between Election Day and Thanksgiving (for whatever they can accomplish during that week and a half or so). Of course, everything is always subject to change.. no matter what, hopefully it will not mean more time to consider this bill in a negative manner.

[Simmo!]

A good articulate post Rollo, though personally, I find I think quite the opposite. I think the tide recently is to under-estimate the US government. There is no way the US government are going to ban online gambling. Not when they can regulate it, earn a lot of money and use it to assist society in so many ways.

Everyone assumes they are blindly heading towards prohibition, but think of the "moral" arguments they are using. These are plainly ridiculous because of the Horse racing and Lotteries exemptions built into the act. The act, IMO, is purely a mechanism to raise awareness, put the frighteners on people, get people thinking how bad it *could* be and appease both the B&M operators & anti-gambling crusaders who want to force their moral beliefs on everyone and whose vote is needed soon.

The US Government, as much as we'd like to think they are, are not stupid. They are being pressured by an important voting demographic/state tax-paying demographic and need to be seen to doing something but they know as well as we do that prohibition is a blindly stupid solution. They'll get a lot of good publicity at a crucial time by appearing to backtrack based on "public opinion" and introducing regulation, though I think now they have shown they "care", it's job done and they will just let the bill slide into the depths until another vote is needed in a few years time. Just one to wheel out during election campaigns for now I suspect.

Cheers

Simmo!

[Rollo]

The one good piece of news is that Frist won't be around much longer and his push to attatch the bill to the defense bill has been rejected by Levin it looks like.

On the other hand, sportsbetting over the telephone is already explicitly illegal so I don't think it would be a strectch to include all gambling on the internet as well. I can promise you that the US will not legalize online gambling anytime soon. Not as long as the moral marority remains so powerful. The question is simply will they expand and actually enforce a ban.

From an economic point of view, by allowing this capital to be exported, they are missing their chance to tax it (as consumers spend the money on domestics goods and services) which I think (besides the moral issues - a total hypocracy to be sure) and special interests (like Paypal) economics is the third strongest force behind the ban.

Really, whether online gambling is legal and taxed or completly banned, the US goverment will get their revenues becuase disposable income will get spent, if not on gambling then on something else. US consumers will find something to consume, that's what decades of economic data bears out anyway. We just can't help oursevles.

[Simmo!]

Really, whether online gambling is legal and taxed or completly banned, the US goverment will get their revenues becuase disposable income will get spent, if not on gambling then on something else. US consumers will find something to consume, that's what decades of economic data bears out anyway. We just can't help oursevles.

Good point...and nail on the head with the "money" aspect. I agree they won't legalise it soon, but neither will they prohibit it. They are caught between two waves of public opinion. Ah the joy of politics

[jetset]

The Las Vegas Gaming Wire reports that the attempt to attach anti-online gambling measures to the defence bill failed - opposed by Senators Warner and Levin when Frist tried to get it attached.

Rep. Shelley Berkley, D-Nev., was in there slugging, too and apparently sent Warner a letter urging him to reject any amendment that would ban online betting.

"We must not use this important (defense) bill as a convenient vehicle for political pet issues such as a ban on Internet gaming," Berkley said.

But this issue is not dead yet, because the Wire reports that GOP politicians will "...keep trying to add an online wagering prohibition to must-pass legislation until Congress adjourns this year."

An wiley Kyl has gone awfully quiet which is never a good sign!

[Cynthia777]

This bill ended up not being reported by the Committee on Energy and Commerce, and discharged by that Committee:
Search Results - THOMAS (Library of Congress)

I am getting a stronger feeling that this will not pass in time. This week Congress will be in session and recess on 9/29. Word is they are expected to return for one week between Election Day and Thanksgiving in November, then again for one week in December. However, during those two weeks, much of what may occur is simply statements that debate will "be continued" next year of 2007 on many subjects, according to resources of how these sessions work most of the time. (This word is not "bond" by any means, but my interpretation when I asked about how many weekend OT hours we should or can be expecting during those weeks .. basically, not to hold my breath.) If things were expected to be passed, we probably would be working...

Just a heads up.. hopefully things are looking up as far as it not being passed.. I feel pretty confident

[jetset]

Thanks for the update, Cynthia.

I think the rebuff of the Frist/Kyl run on the defence bill, followed so closely by the information that the influential Sen. Reid from Nevada did not take kindly to the practice of attaching measures to irrelevant other legislation may have taken a little wind out of Frist's sails for all his talk of seeking other bills to which he could attach his proposal.

Just reading the various reports suggests that there is more opposition to Frist et al than is immediately apparent from the media, which tends to concentrate on the negative in this issue imo. There seem to have been holds placed behind the scenes, and at the very least there are contrary views still bedevilling these attempts to drive online gambling under.

I think the PPA has had quite an impact as well, and everything that can be used from the Abramhoff scandal has probably been expended now too. Maybe at this eleventh hour (in terms of the duration of this session of Congress) we're finally seeing all sorts of opposition at work to bring practical considerations to bear instead of falsehoods and political chicanery.

I hope so.

[Rollo]

Get a load of this report from The Hill:

Internet gambling bill revived in DoD measure

It looks like some sort of deal was cut and the Anti-gambling legislation WILL be attatched to the DOD bill.

If this is true, things are looking very bad.

[jetset]

I don't get the impression that the latest moves are a done deal by any means, although I would obviously have to agree that this has the potential to be hazardous.

Even this report itself portrays a confused situation where there are clearly a number of disparate interests (some related, others less so) that are holding this defence bill up, not least of which is the current reluctance to allow it to go forward by House Speaker Hastert.

There is also the stated opposition of Sen. Reid of Nevada to any further moves to attach this proposal to an unrelated bill.

NROG is right - this political sleight-of-hand stinks.

[silcnlayc]

September 29 2006
PartyGaming lifted by delay to US anti-gambling law
By Nick Hasell

Larger capitalisation shares


PARTYGAMING experienced a late flurry of buying on an apparent procedural setback in Congress over America’s anti-gambling legislation.
Bill Frist, the Senate majority leader, has been seeking to attach the anti-gambling measure to one of two “must-pass” Bills before Congress shuts down this weekend ahead of November’s mid-term elections. But with legislators keen not to hold up the progress of the politically sensitive Homeland Security Bill, it was set to be pushed through yesterday without the gambling curbs attached.



Separately, there was no sign that efforts to attach the anti-gambling measure to the Defence Bill — which itself appears unlikely to get through Congress before tomorrow’s deadline — were making any progress.

Followers of the online gambing sector suggested that the chances of the controversial legislation being passed this session had virtually evaporated. Further, although it may get a fresh airing in the so-called “lame duck” session — the period in which Congress still meets after elections have been held, but before the newly elected Congress has convened — there is also now the possibility that the legislative process will have to be restarted next year, effectively meaning a six- month delay.

With short-term investors taking heart from the impasse on Capitol Hill, PartyGaming rose 4¼p at 105¾p. PartyGaming lifted by delay to US anti-gambling law - Markets - Times Online

I am hoping it is true for the DoD bill passed today and this came out right behind the announcement. (I hope putting the link to the news article was ok. If not please fix it)