Consortium Sues USA Feds Over Online Sports Betting Law

Published Sunday, August 08, 2010 -

In the USA the most vocal opponents to internet wagering are the sports organizations. They contend that online gambling on sports will undermine the integrity of the sports clubs and eventually leads to corruption and fraud. In order to get over the fact that there are laws in place that limit and stop sports books from thriving in the USA. One huge hurdle for those who would see sports betting on the net legalized and regulated is the 1992 Professional and Amateur Sports Protection Act.
The Interactive Media & Gaming Association (iMEGA), and others, have brought a federal lawsuit against the United States Department of Justice seeking to overturn or rework that legislation. The plaintiffs in the case include New Jersey state senators Ray Lesniak and Stephen Sweeney plus various horse racing groups from New Jersey. The consortium is arguing a case of state’s rights against the current state of American gambling laws.
IMEGA's president Joe Brennan commented,  "The government’s argument is filled with contradictions." Brennan added, "For example, the government says that New Jersey is free to pass a law allowing sports betting. Except that there is a federal law precisely making any New Jersey statute unenforceable."
The Professional and Amateur Sports Protection Act made it unlawful for any level of government run entity to offer sports betting of any sort. There were four states, Nevada, Delaware, Oregon and Montana, that were exempt from the legislation, making New Jersey the only state impacted by the 1992 law. The lawsuit also seeks to clarify the need for regulation for online gambling.
Senator Lesniak has also introduced a bill in the state senate proposing that Atlantic City casinos should be able to offer online gambling in order to alleviate the ever declining revenues of the Atlantic city land based casinos industry. Taxes gained from Atlantic city gamblers and casinos have been a contributor to the economy of New Jersey for decades. 

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