By
Dan |
Published
Nov 27 2009, 12:54 PM
|
After rumor broke on Wednesday that the regulations of the Unlawful Internet Gambling Enforcement Act (UIGEA) would be pushed back six months to June 1st, 2010, the Poker Players Alliance (PPA) confirmed the news on Friday. The financial services industry in the United States now has an extra six months to comply with the 2006 law, which does not define the term “unlawful internet gambling.” In the interim, the PPA and other industry organizations will seek to pass a measure similar to Congressman Barney Frank’s (D-MA) HR 2267.
The PPA joined forces with the National Thoroughbred Racing Association and the American Greyhound Track Operators Association to seek delay of the regulations of the UIGEA. The trio feared overblocking by banks and other financial institutions, which could lead to legal internet gambling transactions being denied. PPA Chairman Alfonse D’Amato commented in Friday’s release, “The PPA is extremely pleased with the decision by the Federal Reserve and Treasury to grant the six-month extension. This is a great victory for poker, but an even greater victory for advocates of good and fair public policy. These additional months are critical to provide legislators time to clarify UIGEA and pass legislation to license and regulate poker early next year. It is our hope that another extension would be granted should the deadline approach before these pieces of legislation can be passed.”
CNBC and the
Associated Press also confirmed the news on Friday that a six-month delay had been granted. Recently, members of the Kentucky Congressional delegation called for an extension, fearing erosion of legal online wagering on horse racing if the UIGEA’s rules were to come to fruition as scheduled on December 1st. The PPA explained the importance of the consortium of individuals and groups weighing in: “We are thankful to our co-petitioners the National Thoroughbred Racing Association and the American Greyhound Track Operators Association and for the dozens of members of Congress who voiced their support for this petition through letters to Secretary Geithner and Chairman Bernanke. The PPA looks forward to working with regulators and legislators to pass legislation that protects consumers and the great game of poker.”
On PocketFives.com, Rich
TheEngineer Muny (pictured at right), the PPA’s Kentucky State Director, posted the Federal Reserve’s announcement of the delay, which read, “The Department of the Treasury and the Federal Reserve Board on Friday announced the release of a joint final rule to extend the compliance date for their joint regulation implementing certain provisions of the Unlawful Internet Gambling Enforcement Act by six months to June 1, 2010.” Earlier in the day, Ken
isuck123 Goldin posted a link to an
Associated Press article that confirmed the news.
A hearing is scheduled for next Thursday, December 3rd at 10:00am ET in the
House Financial Services Committee to discuss HR 2267 and HR 2266. The former establishes a full licensing and regulatory framework for the internet gambling industry in the United States, while the latter delays compliance with the UIGEA regulations by one year to December 1st, 2010. Whether HR 2266 is moot given Friday’s news is not yet known. Markup of either bill will not take place during the hearing; instead, they are purely informational in nature. A list of participating witnesses has not yet been released, but, according to PPA Executive Director
John Pappas, the group will likely include those familiar with regulating internet gambling abroad.
Stay tuned to PocketFives.com for the latest on the UIGEA regulations delay.