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The Federal Government and State Laws on Online Gambling

online gambling

Whether you’re an avid gambler or a casual one, the Internet has created many opportunities to indulge in all of your favorite gambling games. However, it also presents a number of problems that should be kept in mind. One such problem is the possibility of being charged with a criminal offense. If you’re charged with a criminal offense involving online gambling, you can expect to face serious penalties.

Federal statutes implicating

Despite what its name implies, the FBI and the federal government in general have been less than enthralling with online gambling for the past several years. While some jurisdictions like New Jersey have taken a hard stance on online gaming, the federal government has been slow to budge. The most recent example is the United States Department of Agriculture’s egregious ban on legal online gambling in Idaho. A number of states have followed suit. Some have been successful while others have not. Until the federal government can get its arms around the problem, consumers and regulators alike will continue to fall victim to online gambling’s latest and greatest kinks.

Constitutional objections to prosecuting

Despite the plethora of state and federal laws on the books, states have been less than a frenzy over online gambling. The state of Washington has taken the lead in the legal gambling world, while the likes of Nevada and New Jersey are less than enthusiastic about the business. A recent report in the Wall Street Journal claims that states are increasingly turning to the federal government to police their offshore gaming facilities. The state of Nevada, for instance, has announced a plan to levy a hefty fine on online gambling operators.

New York law

Whether or not you are a resident of New York, there are some things you should know about the state’s online gambling laws. These laws are updated frequently, so it’s a good idea to do your research.

According to New York law, gambling means “wagering on the outcome of a game or contest”. It is legal to wager on sports and certain lottery games, but not pari-mutuel horse racing. It is illegal to advertise or sell gambling equipment, or to possess gambling records. The law also prohibits players under the age of 21 from betting.

Case law

Those opposed to internet gambling have tried to convince Congress to pass legislation prohibiting online gambling. However, there has been a lot of paralysis in Congress. This is mainly due to opposition from state prerogatives.

The US Department of Justice has argued that all forms of Internet gambling are illegal. It has also warned against media outlets accepting advertising from offshore gaming websites. Those who do not comply with federal law may be prosecuted for money laundering. The penalties are high and may include imprisonment for twenty years.

The US Court of Appeals for the Fifth Circuit has been the most influential court in interpreting the Wire Act. The Fifth Circuit has agreed with the district court’s summary of legislative history.