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10/27/2008: Kentucky and internet gambling
In 2006 the US government enacted the Unlawful Internet Gambling Enforcement Act.
The law was attached to the Safe Port Act Conference Report by Senate Majority Leader Bill Frist (R-Tenn.).
U.S. banks and credit card companies are required to block electronic transactions to Internet gambling businesses.
A Kentucky state judge seized over 140 internet domains earlier this month.
In the Kentucky case, Circuit Court Judge Thomas Wingate concluded that gambling Web sites were “virtual keys” that provided access to places where one could play online versions of gambling devices such as slot machines and roulette tables, which are illegal in the state.
None of the online businesses — such as PokerStars. com and UltimateBet. com — are based in Kentucky or rely on technical equipment located in the state. Still, the sites readily accept bets placed by users in Kentucky and process payments from banks based there.
That is what triggered Judge Wingate to seize control of the Web addresses.
“Seizing,” it should be noted, sounds more ominous than it is when applied to the Internet realm. It prevents an Internet registrar that issues Web site names from transferring a Web address to a different registrar, even if the owner of the address, such as a gambling site, requests it.
The gambling sites will remain operational until the judge issues a forfeiture order, at which point they will become state property.
The court said it will lift its seizure order for online casinos if they implement technology that would block Kentucky residents from accessing their sites.
Groups affiliated with the online casinos are worried about the precedent the ruling sets.
Some of the gambling site domains operate in the US. The sites have to prove they can block their business to residents of Kentucky or have their URL’s forfeited to the state. The gambling industry is appealing the ruling it has been pushed back to December. Governor Steve Beshear has come out in favour of the court’s decision.
Kentucky has horse racing and bingo, it is estimated residents spent 171 million dollars.
Governor Beshear’s statement, October 16th, 2008.
“I am very pleased with Judge Wingate’s ruling. The court validated our concern that there is illegal and unregulated Internet gambling in Kentucky. He has given these parties 30 days to effectively block any access to this illegal activity within the commonwealth of Kentucky or they may be forced to forfeit those domain names to the commonwealth.
No one has been willing to step up and do anything about illegal Internet gambling until now. We must protect our people, especially our children, from this illegal and unregulated activity while also protecting our legal and regulated forms of gaming in Kentucky.”
Franklin Circuit Court October 16th, 2008 Case No. 08-C1-1409
Administrator
December 2nd, 2008 at 5:29 pm
I think if the are gonna to block internet gambling, they should also block bingo. I play on one gambling site , but its only for PLAY MONEY. More people these days go and play bingo and as well as on line. Some people blow $400-$500 per night. If you are going to try to block card game you should block bingo as well.
Just my thought of consideration.