Online Gambling Ban Could Make All Forms of Internet Betting Illegal; Critics of Bill Say Proposed Legislation Breaches State Rights

A proposal recently introduced on Capitol Hill could threaten the future of Internet gambling sites.

The bill, titled The Restoration of America's Wire Act, seeks to ban all forms of online betting, according to a report by Fox's local station in Las Vegas.

Republican legislators Sen. Lindsey Graham and Rep. Jason Chaffetz first introduced the bill, which aims to ban all gaming programs except horse racing and sports betting.

The main backers of the proposed legislation say these sites, which are currently legally running out of New Jersey, Nevada and Delaware, are places for criminals, money launderers, and identity thieves to congregate. Not only that, the authors told Fox 5 that online gambling fosters and promotes serious gaming addictions.

The bill has intensified the battle over online gaming, which first came under the microscope in December 2011, when the Department of Justice ruled the law only applied to fantasy sports.

Some gaming groups regard Internet gambling as a venue to bolster profits. Most see the proposed reinstatement of legislation as a breach of state rights.

"[The ban amounts] to prohibition, plain and simple, denying the realities of today's online world," executive director of interest group Poker Players Alliance John Pappas stated this week.

Governor of Nevada Brian Sandoval also expressed his opinion against the law, saying that his state was well-versed in controlling gambling methods and procedures.

"Nevada has performed this function for defades and maintains an experienced, sophisticated and respected regulatory structure," Sandoval wrote in a statement released this week. "This legislation would infringe upon states' rights and attempt to undermine existing state law."

But for Las Vegas casino owner Sheldon Adelson, online gaming is a sham.

He told Fox 5 that Internet gambling amounts to nothing more than "fool's gold," and causes issues for existing casinos.

Legislators are slated to vote on the bill sometime later this year, Fox reported.

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