Costa Rican Operators Remain Defiant

Published: Monday, October 23, 2006 Online-Casinos.com

COSTA RICAN OPERATORS REMAIN DEFIANT

US financial interference can be overcome

The local Costa Rican newspaper Inside Costa Rica reported at the weekend that several operators of Internet gambling sites in the country, including one owned by Canadian billionaire Calvin Ayre, say their businesses will not be significantly affected by a new U.S. law prohibiting bank and credit card payments to the sites.

The U.S. has put in place legislation aimed at prohibiting the credit card and electronic fund transactions U.S. players often use to settle online wagers.

Whilst some foreign online gambling outfits, especially public companies in London, immediately said they would stop doing business with American customers, Inside Costa Rica points out that there are at least 200 electronic gambling companies in Costa Rica, employing about 10 000 people.

Bodog.com, founded by Ayre, is one of them and is quoted as saying: "The way we see it, we have a few months to study the situation and put a plan in place to deal with all anticipated outcomes of the new legislation. We are, however, confident that we've structured our business in such a way that we'll have no problems adapting to any changes in the online gaming environment. We see the future as very positive for Bodog.com."

Vegas Poker 247, part of the "Absolute Poker Network," also seemed undaunted by the new law. "VegasPoker247 is pleased to announce that it's business as usual," said a statement posted on the company's Web site by manager Nick Powers. "All players' funds are completely secure and we are exploring every available depositing option with our existing payment processors. We believe they will remain unaffected by this law and will continue to operate without interference."

Eduardo Agami, president of the online gambling company SBG Global, told La Nación, Costa Rica's leading Spanish language newspaper, "What they [USA] should do is look for a form of regulating this activity." Agami, also president of the Costa Rican electronic gambling business association, added that, "The persecution of this industry only serves to push into secrecy the businesses that look to be legal and transparent."