Harrah's Supports New Online Gaming Legislation

Posted:01.06.2009, 06:33 Harrah's Supports New Online Gaming Legislation

Harrah's Casino supports new legislation and wants to launch online
By NoLuckNeeded.com Member LadyLucky

So far in the battle against the the UIGEA (Unlawful Internet Gambling Enforcement Act) we all heard how all the land based Brick & Mortar Casinos were supportive of the act because they felt initernet gambling was cutting into their profits. However, we now see Harrah's Entertainment breaking away from the pack and backing the newly introduced act which is supporting online gambling. Earlier this month the casino company announced it's support for the new legistlation that was introduced to Congress to allow Americans to play casino games for money online.

The proposed Internet Gambling Regulation, Consumer Protection and Enforcement Act of 2009, which was introduced this month by Rep. Barney Frank, D-Mass., would establish regulations to allow licensed gambling operators to accept wagers from inside the United States.

There were rumors that Harrah's was "considering the prospects of online gambling" and according to an article by Edward Rogers "the company has formerly announced the formation of a new subsidiary called Harrah's Interactive Entertainment Inc. - being headed up by none other than former Party Gaming exec, Mitch Garber. Harrah's President and CEO, Gary Loveman, said in a press release that Harrah's is taking a "proactive approach" to expanding their interactive division, primarily in the European sector".

"Harrah's is taking a proactive approach toward international and interactive expansion," Harrah's Entertainment Chairman and Chief Executive Officer Gary Loveman said in a statement. "It is important we position ourselves to explore new markets as well as new technologies with our best in class brands." In his new job with Harrah's, Garber is expected to help the gaming company launch a World Series of Poker-branded site, beginning in European countries such as Italy and the United Kingdom where online poker is legal. Harrah's wants to expand the online poker site into other countries as online gaming is legalized in new jurisdictions, Loveman said in an interview earlier this week. Loveman also said the free site would put the company in a position so it could capitalize quickly on the market if online poker is legalized. The free site could be integrated with the Total Rewards program and with the large tournament at the Rio, Loveman said.

A Las Vegas Gaming wire states "Garber will work with current World Series of Poker Commissioner Jeffrey Pollack, who will retain that position and as president of the new interactive subsidiary. Garber, a former gaming lawyer, joined PartyGaming in April 2006 and helped rebuild the company's business after the Unlawful Internet Gaming Enforcement Act was signed into law in October 2006. That law cut access to players in the United States, PartyGaming's biggest market"
Edward Rogers' article also states "This essentially means that Garber will be working with World Series of Poker Commissioner, Jeffrey Pollack, to expand the World Series of Poker brand. Whether or not the U.S. decides to regulate or not, one would think this to entail applying for a license to do business in the UK. However, that's probably not going to happen. The U.S. has certainly left a bad taste in the mouth's of the EU and World Trade Organization, and allowing a U.S. operator to come in and steal away business while not allowing the same, would be downright heresy. All things considered, Harrah's is probably going to push hard for regulation in the U.S., and then consider expanding into overseas markets. They've already invested over $400,000 in efforts to drum up support for online gambling regulation this year and are assuredly registered as a lobby group in support of Congressman Frank's current draft of legislation now doing the rounds in Congress."

I personally feel that with Harrah's showing thier support of online gambling and the new legislation, other Brick & Mortar casinos will hopefully follow suit, wanting a piece of the action and profits which in turn would benefit the new legislation and hopefully get it in.