The House Subcommittee on Crime heard from a self-confessed E-gambling addict March 9, as it opened hearings on a new bill to let state law enforcers address a problem it says equals about a billion dollars a year.
The 21-year-old e-gambler, calling himself only John Doe, was guarded from cameras and spectators as he told the subcommittee he began gambling at age 14. He said he got involved with Web gambling after following advertising banners to a gaming site based in the Caribbean.
He also told the subcommittee he lost $5,000 betting blackjack and roulette online, using his father's credit card. Under questioning by subcommittee members, he also admitted he has a gambling problem but added it was enhanced by how easily available Internet gambling is.
The House bill's sponsor, Virginia Republican Bob Goodlatte, says the aim isn't to ban existing gambling but stop its spread on the Internet. He says it would give states more power to enforce their own gambling laws while letting state attorneys general keep out of state or offshore gambling from crossing state or international lines for bettors. Two weeks ago, Jay Cohen, head of the World Sports Exchange, was convicted in New York of accepting sports bets by phone and over the Net, violating current federal law. The World Sports Exchange is based in Antigua. He is due for sentencing May 23. Goodlatte's bill gives exemptions for legal online betting like horse racing, dog racing, and Jai Alai. Conservative News Service says the U.S. gaming industry mostly supports the Goodlatte bill, quoting gaming company Ladbroke president John J. Ford as saying there was no industry opposition.
But there is said to be some opposition from Native American gaming, because the bill doesn't give Indian tribes the same exemptions for legal online gambling as states would have.
And there could come some opposition, potentially, from the adult Internet, some of which has either looked into or already begun broadening its activities to include online gambling.
Most countries allow online gambling, with the United States the most notable holdout. In late January, Penthouse announced a partnership with former Players International chairman Ed Fishman and Australian tech firm Gaming & Entertainment Technology to create penthousecasino.com.
The site previewed Jan. 27 and a full rollout is still expected during spring. Plans include a sports book, handicapping, and fantasy league tournaments.
