Congress listens to testimony about the failure of the UIGEA

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Online Gambling Ban a Complete Failure

by Jane Jenkoff
2008-04-03 12:00:00
Congress listens to testimony about the failure of the UIGEA

Yesterday Congress war presented with more expert testimonies stating that a prohibition of internet gambling will not work and will cost banks and financial institutions millions of dollars in their attempts to enforce the internet gambling ban that everyone knows will not work.

Yesterdays testimony from federal regulators and representatives from the financial institutions was aimed at making it clear to Congress that the prohibition on internet gambling is not working now and will never work in the future. The system has too many loopholes that allow Americans to easily circumnavigate the laws and continue to gambling online unabated.

Congress also listened to testimony from representatives of the US Department of Treasury and the Federal Reserve System, stating that financial institutes are not set up to monitor what transactions are used for what, especially with third party payment systems it will cripple the banking system to do what the government asks and it still will not be effective.

According to the Department of Treasury American Bankers Association's executive vice president this is a job for the police and not the banks. This law will have a huge effect on the banking system and payment system.

Most of the testimonies stated the same thing, that it is foolish to try to implement these laws and what should be done is to regulate the online casino gambling industry and take advantage of the taxes and fees that will be brought in from online gambling.

It has been estimated that legalization and regulation of online gambling will bring in between 8.7 and 46 billion dollars in the first 10 years.


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