Senator Menendez attempts to legalize online poker in the USA

Bloggers / Matthew Pitt / 13 August 2009 / Leave a Comment

On Thursday 6 August, Senator Robert 'Bob' Menendez officially introduced bill number S 1597 otherwise known as the Internet Poker and Games of Skill Regulation Consumer Protection, and Enforcement Act.

The bill is almost as long as its name at a bulky 89 pages long and could pave the way for American citizens to play poker and other skill games online without fear of prosecution from the American authorities.

When congress return from recess on September 7, Labor Day, they will be able to discuss the bill that explains games such as poker, bridge and backgammon are such that a player's skill dominates the outcome. The bill states, "While each of these games contains an element of chance, over any substantial interval, a player's ultimate success is determined by that player's relative level of skill."

As expected, the bill focusses heavily on online poker, highlighting the fact "poker is part of the cultural and recreational fabric of the United States of America," and that "some poker aficionados include former Presidents, judges and Statesmen."

Like Barney Frank's HR 2267 bill, which now has 54 co-sponsors, S 1597 is still wanting to separate games of skill from sports betting and horse racing but it aims to establish a complete licensing and regulation framework for the entire online gambling industry in the USA.

They propose that each online operator can apply for a licence that runs for five years and to be successful in obtaining such a licence, the operator must be completely open about its financial position, the company structure and that of its affiliates, plans on how to combat under-age and problem gambling and prove their games are fair.

The S 1597 bill has promised $14.2m will be set aside for the periods 2010-2014 to help the awareness, treatment and research into problem gambling, ensuring that the increased availability of online gambling sites does not cause a dramatic rise in people suffering from gambling addiction. A study of European gamblers has already proven this not to be the case.

The US authorities have a potential huge financial gain to make should this bill be passed as it has been proposed that each of the licensees will have to pay 5% of the total money they take in deposits each calender month in the form of tax, a tax that should net the government hundreds of millions of dollars every year.

Hopefully this bill will be passed and allow the schools of American fishes to once again swim in European waters, only time will tell but I certainly have my fingers, and even my toes, crossed.