USA Justice Dept. confirms that most intrastate online gambling is legal
- 0 Comments
By Josh PetersonPublished: 12:00 AM 12/28/2011 | Updated: 6:13 PM 12/28/2011
The Department of Justice has confirmed the reversal of a long-standing precedent that applied a 1961 federal gambling law to Internet gambling. The DOJ now considers non-sport intrastate gambling legal, a victory for state lotteries.
The 1961 Wire Act prevents “wired” bets from taking place over phone lines. The law, until recently, has been applied to all bets taking over the Internet. The federal legalization of online gambling has been a controversial topic among lawmakers.
The casino industry has argued for stronger federal policing of online gambling, citing concerns about fraud and theft.
Deputy Attorney General James Cole wrote in a letter to William J. Murray, Deputy Director and General Counsel for New York State Division of the Lottery, “The Department’s Office of Legal Counsel (‘OLC’) has analyzed the scope of the Wire Act, 18 U.S.c § 1084, and concluded that it is limited only to sports betting.”
