Tag Archives: online gambling

Gambling Going Online in New Jersey

No longer necessary to visit Atlantic City. Just turn on your computer and gamble!
No longer necessary to visit Atlantic City. Just turn on your computer and gamble!

As of midnight on November 26 New Jersey gamblers will be able to bet the farm by logging onto their choice of 13 internet gaming websites run by six of Atlantic City’s casinos.

Gamblers can thank state regulators who gave the go ahead on the websites in the wake of a 5-day testing period in which they found “no significant, widespread regulatory problems or technical barriers for going live.” That assessment was according to David Rebuck, director of the New Jersey Division of Gaming Enforcement.

New Jersey will become the country’s third state to make online gambling legal, but it is by far the most populated with 9 million residents. During the 5-day test phase the total number of players entering the websites reached 10,000 during the initial three days of 24-hour testing.

Casinos had to limit the number of players to only 500 at any one time on each website during the testing time, and they were also limited in how much they could advertise the sites. Tonight, when the sites go live, these restrictions will be lifted for the sites that have been approved. Officials are optimistic that the new online gambling venue will help give the state’s casinos an economic boost that they sorely need.

“You have to be gradual. You have to be cautious. You have to be measured,” Rebuck said.

He added that casinos wanted to be sure the sites were capable of handling the traffic before they invited large numbers of players.

“You’re going to see accelerating efforts by them to be much more aggressive” about marketing, he said.

Online Gambling Gets Boost from Obama

A new opinion dated from September but only revealed to the public last Friday

State Lotterys Can Now Sell On-Line

reinterprets an old law which could clear the way for many on-line gambling sites to prosper, bringing to the government much needed tax revenues.

Wire Act Forbids Online Gambling

Under what is called the “Wire Act” of 1961 all forms of internet gambling was deemed illegal and could land the operators of such websites with fines and/or jail time facing civil and/or criminal charges. The act forbids wagers made through telecommunication which cross state lines or extend over international borders.

Only for Sporting Events

This Friday it was announced that the Justice Department’s Office of Legal Counsel under the Obama administration has a new interpretation of the Wire Act, stating that the law only applies to bets made on a “sporting event or a contest,” and does not apply to the state’s use of the internet to sell state lottery tickets to adults within its own borders or abroad.

“The United States Department of Justice has given the online gaming community a big, big present,” said I. Nelson Rose, a gaming law expert at Whittier Law School who consults for governments and the industry.

The question arose when the states of Illinois and New York wanted to know if the sale of their own state’s lottery tickets violated the provisions of the Wire Act.

Now Its Legal?

But the conclusion written by Assistant Attorney General Virginia Seitz would nevertheless eliminate “almost every federal anti-gambling law that could apply to gaming that is legal under state laws,” Rose wrote on his blog at www.gamblingandthelaw.com.

“The ordinary meaning of the phrase ‘sporting event or contest’ does not encompass lotteries,” Seitz wrote. “Accordingly, we conclude that the proposed lotteries are not within the prohibitions of the Wire Act.”