Several American states are engaged in a battle with the United States Federal Government over online gambling. The states declare it is their right to implement an intra-state online gambling system. On the other hand, the United States Department of Justice (DoJ) counters that intra-state gambling is illegal under federal law. Recently New Jersey Senator Raymond J. Lesniak wrote a letter to the U.S. Attorney General detailing why the DoJ position is incorrect.
UIGEA Permits Intra-state Gambling
The letter discusses that the State of New Jersey should not be hindered from exercising its rights within the state constitution as well as under Federal law the Senator defends the state’s stance by citing the 2006 Unlawful Internet Gambling Enforcement Act (UIGEA) that permits intra-state online gambling.
The specific passage from the law is, “The term ‘unlawful Internet gambling’ does not include placing, receiving, or otherwise transmitting a bet or wager where…the bet or wager is initiated and received or otherwise made exclusively within a single State.”
No Violation of the UIGEA
Lesniak further indicated that the intermediate routing of Internet network traffic between states also does not violate the provisions of the UIGEA or Wire Act. Specifically, the UIGEA states that intermediate routing has no effect on the original location of the bet. Also, the Wire Act targeted criminal enterprises utilizing forms of telecommunication to conduct illegal sports betting. However, this act was not intended for intra-state online gambling.
Original Letters against Online Gambling
click here to see most Popular PagesThe letter was written as a response to those written to the Attorney General by Senators Harry Reid and Jon Kyl demanding the DoJ crackdown on the passage of intra-state online gambling laws. Lesniak completely contradicted the claim presented by the other two Senators that intra-state online gaming was illegal. The Senator further specified that if the view held by the two opposing Senators was accepted, the DoJ would be required to prosecute the Nevada Gaming Board.
State-level Legalizations
The Nevada Gambling Board recently approved sports betting via mobile Internet within the States of Nevada. Also, other forms of online gambling were approved in the state such as casino games, sports betting and poker. Lesniak further emphasized that 37 other states including New Jersey should then be prosecuted for offering online wagering on horse races which has been available for many years.
Senator Lesniak provides several valid points that counter the DoJ’s stance on online gambling. Perhaps the organization will re-evaluate the many points Senator Lesniak has presented and allow willing states to implement an online gambling system.
