US Fed and Treas. propose rules for UIEGA

[mojo]

Looks like it will push out until December.

The proposal requests public comment by Dec. 12, identifies the types of payment systems that must comply with the act, which was enacted in an effort to outlaw most forms of Internet gambling. It makes it illegal for banks and credit card companies to make payments to online gambling sites.

The proposed rule would require policies and procedures that are "reasonably designed to prevent payments being made to gambling businesses in connection with unlawful Internet gambling," the agencies said in a statement.

http://www.reuters.com/article/gover...29519820071001

[gordonprice1947]

Here is a link to Casino Gambling Web's first take on the regs.

The new regs point out the complications of implementing a list of what is and isn't illegal Internet gambling...

[mojo]

Here is a link to Casino Gambling Web's first take on the regs.

Talk about a mess. Good luck to them implementing that. I suggest the US go back to square one and open it's own processor. All US transactions can process through it (with the appropriate taxation) and they can call it TaxTeller.

[matted]

Hmm... isn't clarification needed on what is illegal gambling? Last I checked, only internet sports betting could be considered illegal (and even that is murky, since the wire act may not include the internet).

The DOJ cannot implicitly declare something illegal if there is no law which specifies or implies it (especially with lack of court opinion).

[The Buzz]

The Poker Players Alliance doesn't think these regulations are a good idea, though that's not exactly a surprise.

Here's a statement from D'Amato ...

[FONT='Calibri','sans-serif']"Poker players, the American banking community, and anyone who values Internet and personal freedoms should be troubled by this intrusive rule. Deputizing private U.S. financial institutions to determine what are lawful and unlawful transactions will lead to the monitoring and blocking of the personal and lawful financial transactions of many of their customers who wish to play games of skill, like poker, on the internet. This seems more like the actions of Iran than the USA. We are hopeful that sensibility will prevail before these rules are finalized," said PPA Chairman, former U.S. Senator Alfonse D'Amato. "Congress should act immediately to pass legislation which will effectively regulate Internet poker and provide the proper safeguards to prevent minors from participating in Internet gaming, preserve states' rights and ensure privacy and security of online transactions," he added. [/FONT]

[The Buzz]

Banks won't be required to block check deposits, but they will be required to stop people from making electronic deposits and transfers ...

http://uk.reuters.com/article/UK_SMA...1?pageNumber=1

[vinism]

Thanks for tracking this Buzzy. Here's a link to the PDF of the proposal. I'll post a synopsis later today.

http://www.treas.gov/press/releases/...oposedrule.pdf

[vinism]

I'm still making my way through the regulations, but this much is clear so far: As of now, checks, ACH and wire transfers won't be affected by the regulations. They're considered too difficult to monitor and will be exempt (for the most part) from UIGEA restrictions.

[matted]

So, what exactly does it do? <lol>

[MichaelCorfman]

So, what exactly does it do? <lol>

It fulfills the congressional mandate that regulations be prepared in a fashion that is about as favorable to the industry as could reasonably have been expected.

Still very wrong, in my opinion, but not too overbearing compared to some of my fears. The regulations to make it fine for both affiliates to be paid commissions and for players to be paid winnings.

The regulations only relate to payments that are intended for gaming site operators for purposes of gambling, or to third parties that will forward it to gaming site operators for that purpose or to those who do not agree to put in place mandated "know your customer" policies to minimize the risk of money being forwarded to gaming site operators for the purpose of gambling.

Michael

[robertmedl]

I published my thoughts on my blog, in case anyone is interested.

http://theonlinecasinogamblingdirect...delines-draft/

[LadyHoldem]

Actually, aren't bank cards, visa, mc, etc still open for regulation?

If I could do an ACH transfer online.. i'd be personally game, however, if I had to actually mail a check... well heck, If I had to mail a check the lights would go out.