Internet Gambling Legislation Revealed

Bill to overturn UIGEA announced!

Today, Barney Frank (D-MA) revealed the details of his bill designed to regulate internet gambling, thus overturning UIGEA.  Some of the highlights:

“Internet gambling in the United States should be controlled by a strict Federal licensing and  regulatory framework to protect underage and other6 wise vulnerable individuals, to ensure the games are fair, to address the concerns of law enforcement,  and to enforce any limitations on the activity established by the States and Indian tribes.

LICENSING QUALIFICATIONS

An effective Federal licensing system would ensure that licenses are issued only to Intenet gambling operators which meet strict criteria to protect consumers, and which—

(A) are in good financial and legal standing, and of good character, honesty, and integrity;

‘‘(B) utilize appropriate technology to determine the age and location of users;

(C) adopt and implement systems to protect minors and problem gamblers;

(D) adopt and implement systems to enforce any applicable Federal, State, and Indian tribe limitations on Internet gambling; and

(E) have in place risk-based methods to identify and combat money laundering fraud relating to Internet gambling, and to protect the privacy and security of users.”

Agreed Jurisdiction of internet gambling sites

“Certification that the applicant agrees to submit to United States jurisdiction and all applicable United States laws relating to acceptance by the applicant of bets or wagers over the Internet from persons located in the United States and all associated activities.”

LIMITATIONS ON GAMBLING IMPOSED BY STATES

(A) IN GENERAL.—No licensee may engage, under any license issued under this subchapter, in the operation of an Internet gambling facility that knowingly accepts bets or wagers initiated by persons who reside in any State which provides notice that it will limit such bets or wagers, if the Governor or other chief executive officer of such State informs the Director of such limitation, in a manner which clearly identifies the nature and extent of such limitation, before the end of the 90-day period beginning on the date of the enactment of the Internet Gambling Regulation, Consumer Protection, and Enforcement Act, or in accordance with paragraph (2), until such time as any notice of any amendment or repeal of such specific limitation becomes effective under paragraph (2).

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