White House Issues Statement on Online Poker
The statement from the White House regarding online poker will necessarily have influence going forward as various states continue to examine the possibility of offering online poker as well as other forms of online gambling.
Responding to an online petition with nearly 10,000 signatures to "protect consumers, create jobs and generate revenue by licensing and regulating online poker," Brian Deese, Deputy Director of the National Economic Council and President Barack Obama's special assistant to the president for economic policy, issued a statement on Friday outlining the White House's current position regarding online poker in the U.S.
The petition and response came within the context of the White House's "We the People" project launched last fall to facilitate better communication between the federal government and American citizens. The web portal allows for the starting of petitions such as the one created by the Poker Players Alliance regarding online poker, with those receiving more than 5,000 signatures guaranteed to receive some sort of official White House response.
In the statement titled "What We Have to Say About Online Poker," Brian Deese notes that the Obama administration "understands that many Americans engage in paid online poker games for entertainment purposes." He goes on to add that while "online gambling on sporting events or contests violates federal law," the legality of other forms of online gambling "is dependent upon the law of the states where the bettor or gambling business is located."
By distinguishing between sports betting and other forms of gambling, Deese here echoes a distinction made in a U.S. Department of Justice memo made public last December in which Assistant Attorney General Virginia Seitz opined that the Federal Wire Act only applies to sports betting, not other forms of gambling.
Deese then adds that when it comes to online poker, "it is left to each state to determine whether it wishes to permit such activity between its residents and an online poker business authorized by that state to accept such wagers, but online gambling that is not authorized by state law may also violate federal statutes."
The statement goes on to articulate in a general way various concerns regarding online gambling, including the possibility of minors' participation, fraudulent transactions made easier thanks to the anonymity of the internet, and avenues to money laundering.
The statement shows the Obama administration is at least aware of current legislative machinations (both state and federal) regarding online poker in the U.S., and that it is the White House's current stance that individual states retain the authority to determine the legality of online poker (and other types of online gambling) within their borders.
Such a statement may have influence going forward as various states continue to examine the possibility of offering online poker as well as other forms of online gambling (discussed recently here).