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Ban On Online Gambling Could Be Lifted

Frank to introduce bill

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A bill that would repeal the U.S. ban on online gambling is set to be introduced next week by U.S. Rep. Barney Frank, chairman of the House of Representatives Financial Services Committee.

Online gambling could generate $52 billion in revenue in the U.S. over the next ten years if the three-year-old ban on Internet gambling was lifted and the government taxed the industry, according to a recent study from PricewaterhouseCoopers.

Barney Frank
Barney Frank

A bill to legalize online gambling in the U.S. had been planned to be introduced earlier, but Frank said his committee had been working on other issues focused on the credit crisis and financial regulation reform. Frank said the bill is being drafted this week.

"We’ll be introducing it next week and I plan to move on it," said Frank, a Democrat, speaking at the Reuters Global Financial Regulation Summit in Washington.

Last month the European Commission said that U.S. laws restricting online gambling violate World Trade Organization (WTO) rules. The commission said WTO proceedings against the U.S. would be justified but the EU would first try and find a negotiated solution on the issue.

"It is for the US to decide how best to regulate Internet gambling in its market, but this must be done in a way that fully respects WTO obligations," said Catherine Ashton, EU Trade Commissioner.
 

Ban On Online Gambling Could Be Lifted
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  • Ross Wolf

    Re: Barney Frank

    • Guest

      Online gambling (casinos – not sportsbooks) are already legal for US players. What is not legal at this time if for one of these online casinos to be based in the USA or to bet on sports. If they were based here, the USA would receive all of the tax dollars from those companies, and they would also be able to tax any winnings. Now, we send all of our money to offshore companies when we play and as I said, it is perfectlly legal to use online casinos, just not sportsbooks.

  • Debra Orvik

    I also live in Nevada. I don’t think the endorser of this bill is thinking of the horrible outcome of legalized online gambling. It would be like putting ATM or credit card slots in all the slot machines. Rep. Frank needs to do some homework on gambling addiction and the treatment costs to insurance companies, or talk to families that have had their savings wiped out because of their or a loved ones addiction. It’s not a quiet little secret, just check Nevada’s numbers and think of all the ones not reported or tracked. Sure it may start out as fun and convienent, but the ease of it will make some folks “chase the last loss” and try to recoup it- so begins the cycle.

    I’m not speaking of personal experience with gambling, but a family member is an alcoholic and has told me people at his AA meetings aren’t all alcoholics- they are working class and some prominent members of our community with gambling addictions (no names mentioned, of course).

    With the cost of insurance and the lack of some insurers not covering mental health or addictions it would be irresponsible to think $52 billion would cover the loss. THAT would be a gamble at best.

  • http://www.orient-poker.com Orient-Poker

    So it is ok to gambling in a casino because you can leave, but it is not ok to gamble with an online casino because you CANNOT turn the computer off?? According to previous comments.

    So go gamble in the stock market with Madoff, is it what you are suggesting?

  • http://www.pronosticsportiv.com Pariuri Sportive

    As an outside US citizen, I feel that at the end of the 2009 year, the gambling sites will be allowed to be used by Americans. Maybe it should be wisdom to give some licenses to those sites who are really serious and not scams.