On Tuesday, the U.S. House Commerce, Manufacturing, and Trade Subcommittee took up internet gambling in a nearly two-hour-long hearing. A variety of topics came up, many centered on problem and underage gambling. Along the way, Poker Players Alliance Executive Director John Pappas (pictured), one of the hearing’s six witnesses, brought up an interesting tidbit about legal and regulated gaming in Nevada: “It is notable that in Nevada, there has not been a single reported incident of underage access.”

American Gaming Association President and CEO Geoff Freeman talked about the relevant timing of the hearing in his opening remarks: “This hearing couldn’t be more timely… The prohibition of online gaming has not and will not work… Last year, Americans spent $3 billion in illegal offshore sites. Recent prohibition attempts have only created a robust black market… Demand for online gambling will only continue to grow… With this demand and a blossoming black market, there is an important role for the Federal Government… Americans will always gamble. As countless studies show, more than 95% will do so in a responsible manner.”

Pappas soundly stressed the effectiveness of age verification systems already in place for online gambling: “Age verification technology exists in all forms of e-commerce that are age restricted. If a person wants to make a deposit on an i-gaming website, they have to go to rigorous lengths [not only] saying who they are, but also that they are 21 years of age… Age verification is here. It’s working very effectively today.”

Plenty of consumer protection issues came up, similar to a hearing in October 2011in the same subcommittee. Chapman University Professor of Law Kurt Eggert (pictured) was one of those speaking on the consumer protection front, arguing, “Gambling is a consumer industry, which means consumer protection should be hardwired into every aspect of its regulations… Gamblers should always be provided with all of the information they need to make good decisions on whether, when, where, and how to gamble. They should be informed shoppers.”

Similar to previous testimony, Eggert advocated self-exclusion lists and play limitations. He also suggested providing ratings for poker players and hold percentages for web-based slot machines.

Las Vegas Sands Corporation Vice President of Government Relations and Community Development Andrew Abboud remained less-than-enthusiastic about the prospects of legal and regulated online gambling overall, saying that the Sands Corporation, whose properties include the Venetian and Palazzo in Las Vegas, would likely shy away from online gambling no matter what: “We don’t feel the technology is there to safeguard consumers. [If technology were there], I don’t think it’s a market we’d ever go into. We talked about the European model. We have something in the U.S. they don’t have: billions and billions of dollars of land-based casinos.”

You might recall Abboud was called hypocritical during the hearing for the Sands’ promotion of mobile gaming at its Las Vegas properties. We’ll keep you posted on the latest poker legislation news right here on PocketFives.

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