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US bill to ban payments to internet gambling sites

OUT-LAW News, 19/03/2003

The US Senate Banking Committee yesterday sought to crackdown on internet gambling with a bill that would ban the use of credit cards and other payment methods to pay for such services.

By coincidence, the debate took place as the Golden Tiger Casino announced the winner of the largest ever on-line jackpot. The lucky winner of $1.6 million, identified only as Ronald H., is unlikely to share the view of Senator Jon Kyl of Arizona, who yesterday testified before the Committee on behalf of the legislation he prepared.

"Internet gambling is not a fun diversion, but feeds a dangerous and growing addiction," said Kyl. "It is linked to organised crime, rife with fraud, ruins credit ratings, and allows many young people to build up thousands of dollars in debt on their parents' credit cards."

Meanwhile, Ronald H., an oil worker until now, beamed, "I quit my job of 16 years, where I worked 7 days a week."

Senator Kyl's bill seeks to restrict the profits of businesses like Golden Tiger Casino which operates from the Dutch Caribbean island of Curacao. According to Kyl, there are nearly 2,000 internet gambling sites – mostly off-shore – that will this year share around $5 billion in bets.

Kyl's bill applies criminal penalties of up to five years in prison to operators of "unlawful" internet gambling sites.

The bill is available at:
http://kyl.senate.gov/AYO03_121.pdf

 

 

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