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Indictments announced for online gambling
The Department of Justice has not made itself very popular in the United States as of late, this is due to some of the actions that it has taken against the online gambling industry. It all started with the implementation of the UIGEA legislation which states that no games of chance may be played online and that financial institutions are also not allowed to process any transactions that are related to the activity of online gambling. This law was passed in 2006 and it has come into full force this year.
The first issue with the Department came up when an investigation by the European Union revealed that there seemed to be victimization of European online gambling companies. The reason for this claim was the fact that these companies were being harassed to a greater extent than those that were taking part in the same type of online gambling operation but were from the United States. In a couple of these cases, the Department of Justice made a rather nice sum of money when these companies decided to settle out of court rather than take their chances in the US court system.
The next issue came about a couple of months ago when it was made public that a United States court had ruled that poker is a game of strategy and not one of chance. With this ruling it meant that the game could no longer be ruled by the UIGEA legislation and that online poker could therefore be considered legal. The Department of Justice reacted quickly to this stating that the other part of the law regarded the processing of transactions was still valid and it used this as the justification behind the fact that it seized more than thirty million dollars in online poker winnings. There is now a court case pending.
The US Attorney’s office in New York is recognized as been particularly hard nosed about chasing down online gambling operations. It makes sure that it indicts as many people as possible and recently there have been even more indictments. It is clear that this situation is going to have to be rectified soon. The Department of Justice can not act as if it outside of the realms of the law. While this may sound a bit extreme, this is precisely the impression that people have of its actions at present.
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