Federal Laws and Online Gambling

Online Gambling

The gambling industry has seen some big changes in the past few years. This is in part due to technological advances. It also has its fair share of problems. In fact, about 9% of Americans report some form of pathological or sub-clinical gambling.

There are a number of state laws that prohibit illegal gambling. The federal government has enacted legislation that reinforces or complements those laws. Some of the issues have involved questions about the legality of conducting Internet gambling.

As stated above, there are many federal criminal statutes implicated by illegal online gambling. These include the Wire Act, the Interstate Commerce Act, the UIGEA, and Racketeer Influenced and Corrupt Organizations (RICO) provisions.

While these laws are the law of the land, the law hasn’t been interpreted to mean that gambling businesses can’t be run on the Internet. However, the question remains as to whether the law is constitutional.

Nonetheless, the law does apply to Internet casinos. It also applies to players who use interstate facilities for unlawful activities.

The law also prohibits the provision of financial instruments to those who participate in the illegal Internet gambling business. It does not, however, address the right of privacy.

There are many other issues to consider. For example, how should state officials respond to the proliferation of Internet gambling? Do they require warrants to obtain such information? Will they enforce the laws on a case by case basis, or simply ban all online gambling?