With more than a trillion dollars changing hands around the world on online casinos alone, sooner rather than later
legislation will step in to exercise some form of control in the casino industry.
Those measures to control casinos and gambling during the early years worked as the casino had a physical location.
Today however casinos have moved online with no real physical location.
The question arises how legal are these online casinos?
Gambling legislation has not changed much since Congress passed the Wire Act in 1961.
This however only covered sports betting and not casinos.
There was also no Internet or Internet casinos during that time.
During 1998 both MasterCard and Visa sued Cynthia Haines for money she lost while gambling
on an online casino. She had lost more than US$70,000 to an online casino
and could not settle her account with the plaintiffs.
She filed a counterclaim well within the state laws of California
which prohibited credit card loans for gambling be it online casinos or bricks and mortar casinos.
That case was settled out of court.
Many states have now enacted their own legislation
however casinos have moved their gambling operations off shore to casino friendly countries.
Gambling has increased drastically with the advent of the Internet and online casinos.
With huge profits and vested interest in casinos there are also very strong lobbyists
in government to keep gambling unimpeded.
The Internet Gambling Prohibition Act which was defeated in 2000 shows how much vested
interest there is in the casino and gaming industry.
Cyberspace is the last frontier when it comes to laws governing casinos.
Only time will tell how legislation will catch-up with online casinos and gambling websites.
About the Author: A. Awwad is the webmaster of
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