Barney Frank Says Congress To Consider Online Gambling Soon

Frank Says Congress To Consider Online Gambling Soon updated 04/29/09
by No Luck Needed member ttwna2k for NoLuckNeeded.com

29 Apr, 2009 / GamblingCompliance Ltd. / Dan Townend
Legislation to overturn the United States ban on Internet gambling will finally be introduced next week – after being delayed because of the credit crisis.
US Representative Barney Frank, chairman of the House of Representatives Financial Services Committee, said legislation was in the final stages of drafting this week and would be put forward in the week beginning May 4.

He told the Reuters Global Financial Regulation Summit in Washington last night: “We’ll be introducing it next week and I plan to move on it.”

The bill, to repeal the Unlawful Internet Gambling Enforcement Act (UIGEA), has already been delayed twice after being expected in March and then immediately after Easter.

Frank said his committee has been busy with other measures addressing the credit crisis and proposals to reform financial regulation.

The UIGEA was introduced three years ago while George Bush was in power, and attempts to repeal it are likely to be opposed by the party.

Now, Democrats are in control in both branches of the government, making it more likely the bill would be passed, although it remains unclear how the Obama administration will handle the gambling issue.

Frank has also indicated that he would put the legislation forward as a stand-alone bill, rather than tagging it on to must-pass legislation – making it less likely it would gather enough support to comfortably get through the legislative process.

Opponents are also readying to object including Christian groups and well-known anti-gambling powers, such as the NFL.

Previous attempts by Frank to introduce legislation have foundered. A bill in 2007 calling for a licensing and regulatory framework for internet gambling in the United States was never voted on while last June a bill that would have halted the implementation of the UIGEA did not get a full vote in Congress.

The UIGEA effectively barred businesses from knowingly accepting payments in connection with unlawful internet gambling, including payments made through credit cards, electronic fund transfers and cheques.

It was passed into law after being attached to the unrelated Safe Port Act at the end of the 2006 Congressional session on the urging of former Senate Majority Leader Bill Frist.

The Safe Port Act was passed 421-2 in the House, and was approved by unanimous consent in the Senate. Despite his undoubted power in the Capital, Frank’s legislation will struggle with the uphill task of persuading members of congress to reverse their previous vote.

The European Commission said last month in a draft report that a U.S. Justice Department crackdown on European online gambling companies violated U.S. commitments under the World Trade Organisation.