To: SIer formerly known as Joe B. who wrote (5797 ) 6/17/1999 5:14:00 PM From: DiViT Read Replies (2) | Respond to of 32906
Senate committee to ban Net gambling <grin> Does that mean a ban SI also? So many gamblers here... </grin> By Bloomberg News Special to CNET News.com June 17, 1999, 1:20 p.m. PT WASHINGTON--The U.S. Senate Judiciary Committee voted 16-1 to ban sports and casino gambling over the Internet. "Internet gambling enhances the addictive nature of gambling because it is so easy to do," said Senator Jon Kyl of Arizona, the chief sponsor of the bill. "You don't have to travel, you can just log on to your computer." Under the measure, businesses that offer gambling over the Internet would face $20,000 in fines and their executives could be imprisoned for up to four years. Individual bettors would be subject to whatever state laws might apply. The committee action came a day before a congressionally created commission releases the results of a two-year study of gambling in the U.S. One of its recommendations will be to ban gambling over the Web. The number of Internet gamblers more than doubled to 14.5 million from 1997 to 1998, and Internet gambling revenue is expected to reach $10 billion by 2001, Kyl said, citing the gambling commission's report. "With that amount of money behind this activity, if Congress does not act soon, we will be swamped," he said. While the bill has broad support, Internet providers such America Online, AT&T, and MCI WorldCom have raised concerns about how an Internet gambling ban would affect them, according to Sen. Dianne Feinstein (D-California). Feinstein said she may offer an amendment to protect Internet service providers from being held criminally liable for connecting customers with Web sites that might violate the law. "They have a major concern about gambling advertisements that are put up on their server," she said. Kyl, though, vowed to block such amendments, saying he won't let the bill become a "vehicle for things that have nothing to do with Internet gambling." The bill aims to close a loophole in current law by expanding the Wire Act of 1961. That law prohibits using telephone wires in interstate wagering. "With the advent of new, sophisticated technology, the wire act is becoming outdated," Kyl said. Copyright 1999, Bloomberg L.P. All Rights Reserved.