The Legalities of Online Gambling

Legal issues pertaining to online gambling differ substantially from jurisdiction to jurisdiction. Some countries have legislated specifically on the issue, others intend doing so and other haven't even considered it yet. The position in the US The United States Government has been grappling with the issue of online gambling for quite some time. Although legislation drafted to deal specifically with Internet gambling has not been drafted, this is not through lack of trying. Separate Bills sponsored by Sen. Kyle and Rep. Goodlatte, which both attempted to ban online gambling, both failed to attract the required 2/3 majority Senate vote required to become law. So at the moment, the US position is still governed by existing gambling laws such as the Wire Wager Act. Of course the problem with trying to apply old laws to a new medium like the Internet is that they do not present a clear position. Whether or not the Wire Wager Act makes it illegal to gamble online is a vexed question. Also of relevance to the US position, is relevant state laws. Unfortunately there is no definitive answer to the question of whether it is legal for a US citizen to gamble online.

The position in Australia Australia is one of the few countries that has legislation dealing specifically with online gambling, although the legislation is aimed more at operators than at players. Australia's Interactive Gambling Bill makes it illegal for operators of online casinos to offer their product to Australian residents. While this prevents local online operators offering their product to Australian citizens, it has had little or no impact on the willingness of offshore operators to accept bets from Australians.

As in the US, the UK does not have legislation dealing specifically with online gambling however this is soon to change. In March 2002, a British Government reply to an independent review of Britain's restrictive gambling laws by Sir Alan Budd, a former chief economic adviser to the Treasury, said that the prohibition of online gambling to British consumers would be an entirely unrealistic objective, even if it were thought to be desirable. "Instead, we will as the review body has proposed, move towards legalising the provision of the full range of online gambling services by operators located in the UK, including gaming," it said.
It is anticipated that the recommendations made by the Budd Report last year (and largely endorsed in the White Paper earlier this year) will make it into the Queen''s Speech for 2003 and finally pass into legislation by Royal Assent at the end of 2004.

 

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