In September 2006, the United States House of Representatives and Senate passed legislation that would make it illegal for financial institutions to conduct monetary transactions with online gambling sites. This legislation, termed the Unlawful Internet Gambling Enforcement Act (UIGEA), was "tacked on" in the final hours (shortly before adjourning for the midterm elections) as an amendment to the unrelated and virtually unstoppable SAFE Port Act, which was intended to improve the security of American ports. The Act was signed into law by then U.S. President Bush on October 13, 2006. The specific UIGEA part of the Act can be read here.
Several large online gambling operators including 888.com, Party Gaming and Bwin immediately stopped accepting bets from U.S. customers, and saw their stock prices tumble accordingly. However, many other operators have continued to accept customers from the United States despite the legal uncertainty this law has created.
Curiously, no part of the UIGEA defines what exactly "unlawful Internet gambling" is and no part of the Act prohibits anyone from gambling online. A couple of years of hindsight has revealed the effects of this legislation to be:
- A minor inconvenience for U.S. players who would like to play poker or casino games online
- A flourishing industry of smaller, less visible, and largely unregulated operators happy to accept customers from the U.S.
- Most of the largest, most professional, and well regulated operators unwilling or unable to accept U.S. customers
- Billions of potential tax revenue lost by State and Federal U.S. governments
Below you can find an archive of all UIGEA related news articles we have posted to the site.
Oct 31, 2009 by CasinoListings
Back in 2007 the drive by US federal authorities to disrupt online gambling by attacking financial companies that processed gambling transactions netted close to $19.2 million in seizure orders impacting the Canadian-based Optimal Group Inc., more familiar to online gamblers as 'FirePay'.
Oct 16, 2009 by CasinoListings
Hopes that the Obama administration in the United States would bring a more enlightened vision to the online gambling scene, and a delay in the implementation of the Unlawful Internet Gambling Enforcement Regulations, are fading as the industry considers the content and implications of the US government's Final Rule.
Oct 3, 2009 by CasinoListings
After several weeks of holding at 58 co-sponsors, Congressman Barney Frank's HR2267 proposal to legalise online gambling in the United States moved forward with the sponsorship of two more members of Congress this week, bringing total and bipartisan support to sixty.
Oct 3, 2009 by CasinoListings
Washington politicians from both political parties have called for a hold on the implementation of the supporting regulations for the Unlawful Internet Gambling Enforcement Act (UIGEA), due to kick in on December 1st this year. The bipartisan call by nineteen Congressmen and women claims the move will place an unreasonable burden on regulators and the financial services industry at a time of economic crisis.
Sep 30, 2009 by CasinoListings
In a briefing to Iowa state leadership, the chief executive of the state lottery, Terry Rich, has opined that HR2267, a bill authored by Representative Barney Frank to legalise online gambling in the USA could be passed as a federal law. Consequently, it was important that Iowa should keep its options open and develop plans to "protect its borders" while Internet gambling legislation is being debated in Congress, he said.
Sep 25, 2009 by CasinoListings
The ambience at EiG may have been optimistic and even buoyant regarding the future legalisation of online gambling in the United States but it is apparently not shared by all the experts.
Sep 21, 2009 by CasinoListings
The recent seizure warrant action taken against Maryland e-cash processors in the United States is now believed to be the work of a unit formed just over a month ago. The Baltimore office of the group is managed by Stefan Cassella, who has experience as an assistant state's attorney and as an assistant attorney general in Maryland.
Sep 19, 2009 by CasinoListings
Gambling 911 reports that online casino group, Golden Casino, is the subject of an online gambling investigation by U.S. Attorney's Offices out of Maryland and New York as well as Louisiana State Law enforcement and U.S.Customs.
Sep 17, 2009 by CasinoListings
A rather depressing assessment by the Poker Players Alliance is quoted in the respected poker magazine Cardplayer this week, surmising that HR 2267- Congressman Barney Frank's attempt to legalise and regulate online gambling in the United States - could again be pushed aside as Congress concentrates on the financial issues resulting from the global economic debacle.
Sep 14, 2009 by CasinoListings
The Safe and Secure Internet Gambling Initiative has kicked off an online advertising campaign in support of the Internet Gambling Regulation, Consumer Protection and Enforcement Act (H.R. 2267), legislation introduced by Chairman Barney Frank that would establish a framework to permit licensed operators to accept wagers from individuals in the U.S.
