Tuesday, July 31, 2012

Tribes fear Online Poker will hurt existing Casinos - Innovate Gaming

  • Business | 30th July, 2012 | Washington, US | Tribal iGaming Act 2012 ? Draft Bill
  • Positive strides were made at a Gaming Policy Committee meeting last week, for Nevada to become the first US state to launch online poker. Native American tribe leaders are calling on the federal government to step in and ensure existing casino operations are not compromised.

    Tribal Internet GamingAfter a committee meeting last Wednesday, Nevada Gov. Brian Sandoval confirmed that gaming regulators are taking the appropriate steps towards licensing casino technology to protect player interests. Intra-state operations could subsequently launch in Nevada in the coming months, setting a model for states nationwide to follow suit.

    ?I have confidence in our regulatory system,? said Sandoval, ?I have confidence all issues have been considered and exhaustively covered. The technology is always evolving, but I have a level of comfort the public is protected.?

    Casino operators need to be licensed and their technology approved by independent testing labs to operate in the market. Gaming control board chairman Mark Lipparelli said the first operators could be in front of regulators in 60 to 90 days. Pay-to-play internet poker would then be ready for imminent launch.

    Once active in Nevada, the process will be in place to quickly roll-out operations in other states, such as New Jersey, California, Illinois and Delaware, all with recently passed online gaming legislation.

    Native American tribes fear that online gaming will quickly spiral throughout the US and effect existing land-based casino operations, as customers will have the option to stay at home and gamble.

    Bruce Bozsum, Chairman of Mohegan Tribe of Uncasville, said, ?Tribes should be extremely hesitant to entrust their economic futures to the tender mercies of the 50 states, many of whom are still in financial crises and looking for new sources of revenue.?

    Online gaming in the US could cause a huge blow to tribal casinos that have built a $27 billion business over the past 350 years. Native American revenue represents three quarters of all casino revenue in the US.

    With online poker now only months away, tribes are looking to get a piece of the action. Chairman of the Senate Indian Affairs Committee unveiled a draft bill in Washington on Thursday that would allow Native American tribes to operate online poker.

    Under the proposed bill, online gaming licenses would be issued by the Department of Commerce and not subject to tax, as with existing land-based operations. Once licensed, tribes would be able to accept wagers from players anywhere in the US.

    Senator Daniel Akaka, D-Hawaii, said, online poker ?must enable tribes to participate fully should any legislation be considered so tribes are on equal footing with their counterparts in the commercial gaming industry.?

    ?These regulations now stand ready to be implemented,? added Bozsum, ?and will meet or exceed the toughest regulations found anywhere in the world, including the new standards recently established in Nevada.?

    Regulation of Tribal Gaming: From Brick & Mortar to the Internet:

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    Source: http://www.innovategaming.com/native-america-igaming-legislation?utm_source=rss&utm_medium=rss&utm_campaign=tribes-fear-online-poker-hurt-existing-casinos

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