Online Poker Site in US Politics Row

The events surrounding the crackdown of major US Poker sites last week are seemingly uncovering further details re the activities surrounding the poker sites in the United States. According to reports a Nevada State lawmaker and former US Attorney is now calling for Federal and State investigations into the role that the company who owned Pokerstars had in US politics in particular in the state of Nevada.

Questions are now being asked re Pokerstars involvement with a political action committee in Nevada to dish out campaign contributions. The founder of Pokerstars is one of the individuals who have been indicted by the Federal Government whilst Pokerstars is one of the primary backers of the Assembly Bill 258 which is proposing legalized internet poker in Nevada. The law in the United States prohibits foreign companies from providing contributions to political campaigns.

According to the report a number of Assembly members traveled to the United Kingdom to meet with the Poker Company to view its facilities. It seems that quite a large amount of funds was dished out – again according to the report $272,000 has been dished out to a wide variety of people and parties and committees. If this is true then there should definitely be an investigation into what has occurred and in this instance it should not only be the Poker Company that bears the brunt of  Federal wrath, it should be the parties and individuals that gained and stood to gain out of the matter as well.

As per our recent article on the clampdown on US poker, the agreement between Pokerstars and Wynn Resorts Ltd has been terminated. The actions taken by the DOJ has made it an untenable situation for Wynn Resorts Ltd to be involved in an agreement with a product that has had charges leveled against it. These actions have led industry insiders to believe that this is a definite game changer as to the balance of power in the online poker world.

The companies that stand to benefit the most are those who never operated in the United States post UIGEA and who have always operated legally or come to an arrangement with the DOJ by paying fines.  

This situation is likely to roll on for some time yet and will hopefully eventually lead to a situation where players are legally allowed to play poker in a regulated taxed environment. Online Poker has rapidly become a institution in the USA – as some quote it – as American Pie as well American pie.

Written for Online Keno by Greg