The Legal Issues Related to Online Gambling

Online Gambling

Online Gambling is a type of gambling which is conducted over the Internet. It includes various types of games such as virtual poker, sports betting, casinos, and roulette. These games can be played on any device with an Internet connection. However, there are some countries which prohibit such activities.

In the United States, gambling is prohibited by the Unlawful Internet Gambling Enforcement Act (UIGEA). There are seven federal criminal statutes implicated by illegal Internet gambling. The statutes include the Wire Act, the Illegal Gambling Business Act, the Criminal Code, and the Travel Act.

In addition, the Travel Act also prohibits the use of interstate facilities for unlawful gambling. The Federal Communications Commission, which regulates common carriers, has the authority to stop the leasing of facilities. Although the Travel Act is aimed at Internet casinos, it applies to players who use interstate facilities for unlawful gambling.

Despite these restrictions, several sites offer sports betting and other forms of online gambling. Most of these sites allow players from around the world to place bets. They also offer tournaments and actual cash games. Typically, the player places a bet by credit card.

Several states have adopted the Public Gambling Act, 1867. This law is the central legislation. Though not explicit, there are provisions in this law that allow offline gambling. One example is West Bengal. Another is Goa. Since the Internet has made it possible for people to play gambling games from the comfort of their own homes, some states have passed laws that authorize or prohibit these activities.

In 1998, online gambling revenues surpassed $830 million. In 2002, the General Accounting Office (GAO) published Internet Gambling: Overview of Issues. The report discussed the legal issues related to online gambling.

In addition to regulating online gambling, the OGRA also addresses age verification, location verification, and appropriate data security standards. A license is required to operate an online gambling service. If a company fails to meet these requirements, the Gambling Supervision Commission may revoke its license.

Until recently, there was no state-level provision for the Internet to be used to conduct gambling. But in 1999, the US Senate introduced the Internet Gambling Prohibition Act. At that time, there were about 200 online gambling websites. Moreover, the owner and manager of the business were arrested for violating the state’s gambling laws.

Nevertheless, the Internet has continued to expand, and the growth has caused some concern among state officials. Because of this, the US Government has taken the initiative to regulate and police the industry. Currently, there are nine licensing bodies in the United States. For instance, the Pennsylvania Gaming Control Board and the United Kingdom Gambling Commission are examples of these licensing authorities.

The Isle of Man Gambling Supervision Commission was established in 2010. A revision was made in 2011 to OGRA 2001. Additionally, in 2010, Sporting News agreed to pay a $4.2 million fine and launch a public service campaign. Similarly, Discovery Communications, which operates a gambling site, was seized by U.S. marshals.