In the midst of the 2007 World Series of Poker, the online poker world has been abuzz with some exciting news regarding the future of the industry. On Thursday, Congressman Robert Wexler (D-FL) introduced H.R. 2610, the “Skill Game Protection Act,” which would essentially carve out a place for games defined as “skill games” from the UIGEA, which was passed late last year. On Friday, Congressman Barney Frank’s (D-MA) “Internet Gambling Regulation and Enforcement Act of 2007” was discussed in committee. Congressman Wexler’s bill focuses on carving out an exemption for skill games from the UIGEA. The bill emphasizes that minors should not be allowed to access gaming websites, that “persons with compulsive behavior should be identified and referred to treatment,” that money laundering issues will be addressed, and finally, that the industry will be taxed. The bill specifically refers to poker, chess, bridge, mahjong, or any other game where the action is essentially player versus player and not player versus the house. Most importantly, according to the Poker Players Alliance, the bill clarifies the Wire Act of 1961 to allow skill games to exist. PPA Chairman and former three-time Senator from New York Alfonse D’Amato comments on H.R. 2610: “Congressman Wexler’s bill is a positive development for the millions of American poker players who enjoy one of our nation’s great pastimes. Poker and other games of skill have fallen victim to bad public policy. Wexler’s plan will give skill games the rightful protection they deserve and it will require the proper safeguards to protect children and those prone to abuse.” He adds, “Congressman Wexler’s legislation is necessary to provide equitable treatment for true games of intellect and competitions among individuals. Americans have played poker responsibly throughout our history and the Wexler bill will ensure that the game is enjoyed for years to come.”
Meanwhile, Congressman Frank’s bill is gaining momentum, being discussed in the House Financial Services Committee on Friday, June 8th. Witnesses who spoke in front of the Committee included Michael Colopy, Senior Vice President of Communications for Aristotle, Inc.; Pastor Greg Hogan; and Radley Balko, Senior Editor of Reason Magazine. They, along with others, expressed differing views about the feasibility of regulating internet gambling.
Hogan is the Pastor at the First Baptist Church of Barberton, Ohio. He spoke as a father on his son’s gambling problem. A student who paid for Lehigh University through a $23,000 per year grant, his son soon was exposed to the world of online poker, depositing money on PokerStars. He became consumed with gambling and, at one point, was depositing $400 per day into his account. Hogan quoted a statistic from the National Council on Problem Gambling: “Among the college population, 7% that gamble online will become addicted.” His son eventually robbed a bank to pay back gambling loans and served almost two years in jail. Overall, Hogan claims he “opposes any effort to legalize or even give credibility to Internet gambling.” Other statistics mentioned in his testimony included the higher suicide rates, credit card debt, and health issues associated with problem gamblers.
Balko is the Senior Editor of Reason Magazine. He is a supporter of Congressman Frank’s efforts: Poker “is about as mainstream and uniquely American as baseball. Online poker is merely a new evolution of the game. The Internet merely removes the geographic barrier preventing those who love the game from finding opponents of similar skill who are willing to wager similar amounts of money.” He sums up the argument of many responsible and professional online poker players everywhere: “The ban on Internet gambling pushes millions of Americans who were wagering online responsibly due to anecdotal evidence of a few who may do so irresponsibly.”
The road from here is uncertain for the online gambling industry, but one thing is for sure: These two bills have the potential to make a positive impact on our industry. Visit the PPA website for more details.
News Resources
Visit the House Financial Services Committee website where you can read the full transcript of testimony given on Congressman Frank's bill. Read the PPA's response to Congressman Wexler's legislation. Look at a Reuters article outlining the basics of Congressman Wexler's legislation.
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