No International Poker Network for Svenska Spel says Swedish Government

June 28, 2008

Permission has been denied for an international poker network with other state controlled gaming companies. Sweden’s Finance Minister, Anders Borg has denied it permission even though it was recommended in the governments own report on online poker.

Their justification for their initial recommendation was that by combining players state run sites would then be able to increase their liquidity and offer tournaments will much larger prize pools. This would then attract online poker players away from ‘less socially responsible’ private online poker operators.

The decision isn’t completely final since it could be opened for review in 18 months but for now there isn’t going to be a international poker network as the Swedish government has decided to follow the recommendation of the Swedish National Institute of Public Health to not allow poker to expand.

This is all good news for private operator since a state controlled international poker network could become the largest online poker network ever. If it was allowed and it did become the largest network it would take players and revenues away from private operators.

Svenska Spel was also advised that they must improve on the information that they give their customers. They will need to include a profit and loss account and other features to help the players better understand their playing history.

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    The California Gambling Control and Interstate Online Poker Legalization act

    June 27, 2008

    The California Gambling Control and Interstate Online Poker Legalization act that was proposed by Assemblyman Lloyd Devine was approved on Tuesday, June 24th by the Senate Governmental Organization Committee with a 6 to 1 vote. Now it will move toward drafting regulations and general projections to estimate potential revenues.

    Now the Attorney General’s Bureau of Gambling Control, the state Gaming Control Commission and the Legislative Counsel will now make reconditions on a structure for the system, draft regulations and analyze potential revenues so it can be included in the bill’s language as it moves on the Senate Appropriations Committee in August before finally stopping at the Senate floor.

    The Poker Voter of America President, Jim Tabilio and his organization serves as the bill’s citizen sponsor. They are all very happy with the favorable Committee vote and said, “It’s a good sign that the legislators are taking this issue seriously, understand the importance of the bill and are asking the right questions,” said Tabilio.

    “The plan going forward is to bring together the potential stakeholders to help craft a final version of the bill that protects Californians who play online and maximizes revenue for the state.”

    “We said four months ago that the goal of Poker Voters of America was creation of a regulated online intrastate system that conforms to Federal law and protects California players by licensing legal, secure and regulated alternatives to offshore online poker,” said Tabilio. “Tuesday’s vote confirms that we’re on track to accomplish that goal.”

      Pro Poker Player - Person of Interest in Murder Case Rumored in WSOP Attendance

      June 26, 2008

      Detectives in Alameda County, have been investigating a murder case since early March involving the death of two Pleasanton California victims. The male victim Ernest Scherer Jr, 60, in addition to his politcal ties was known in passing around the poker table a part time gambler, dabbling in the sport during his spare time.

      The second murder victim was Ernest Scherer’s wife, Charlene Abendroth, 57. The couple was found murdered together in their pajamas in their home on the grounds of the Castlewood Country Club.

      The couple after having been brutally beaten police say on March 7th, was found then a week later, when their daughter in Utah asked the authorities to do a welfare check on her parents. She had been previously unable to reach them and was becoming worried.

      The detectives that are investing the case said that they are targeting the couple’s son, a professional poker player as a “person of interest” in the case.

      Detective Scott Dudek told reproters that his office begins each investigation by ruling out family members and then friends, however in this particular case he has been unable to rule out the couples son, Ernest Scherer III.

      The elder Scherer and his wife are said to have been beaten to death but an official cause of death hasn’t been released. The elder couple was married for 31 years.

      Adding to suspicions against the pro poker player are reports that the police began a search for a red convertible Camaro directly after finding the victims bodies. Since then a 2001 convertible Camaro owned by the Junior Scherer was impounded by the police.

      There is rumor of video footage including the car and perhaps the high profile, though largely in debt poker player.

      Police said they obtained a search warrant for Scherer III’s 2001 Camaro convertible and searched the car, we don’t know at this time what, if anything was found but investigators have obtained a video that shows a similar car that resembles Scherer’s Camaro in the area around the time of the murders.

      Investigators have also searched his Southern California home. In an effort to obtain information and a possible motive Alameda County Sheriff’s Detective Scott Dudek told reporters that he contacted a gambling website asking for information about any poker or other gambling debts that Ernest Scherer III may have incurred.

      Dudek didn’t say why Scherer was a person of interest in the case but did say, “From the very beginning we look at family members and rule them out and unfortunately for Ernest Scherer III, he cannot be ruled out” said Alameda County SGT. Scott Dudek.

      “We would hope to have all the family members cleared by now, but that does not appear to be the case.”

      Ernest Scherer III’s house in Brea has gone into foreclosure proceedings since the murders and his wife and child have left the house. Ernest Scherer III has left the area, according to authorities. Dudek said that he has been in contact with him but wouldn’t reveal his whereabouts.

      “We’re working on this case seven days a week, as many possible hours as you can, and we’re three months into it”, Dudek said.

      Rumor has it Scherer is mingling among this years World Series of Poker events, according to our sources with the WSOP. However as of this morning he hadn’t registered to play in any events.

      Police have not mentioned gambling debts as a possible motive for the poker playing specifically, however, with his home allegedly in foreclosure, police are looking into any possible gambling debts, Scherer has won $195,663 dollars since August of 2005 but there are rumors that he has lost a lot as well and could possibly be in debt.

      George “Bernie” Devlin who has played poker with Scherer III in Utah in the past told reporters that he would often run into Scherer in Las Vegas, Los Angeles and the Bay Area. He also said that he heard through other players that Scherer had lost a lot of money.

      “I always had a strange feeling about him,” said Devlin, who said he no longer socializes with Scherer. “I never felt comfortable around him,” adding that “He’s highly intelligent.”

      To clarify Ernest Scherer III is still at this time only a “person of interest” and hasn’t been charged with anything, as a matter of fact no one has been charged in this case. Those who used to play cards with Scherer III in Utah where he lived before moving to Southern California in 2005 say that he is polite and smart with a “few ticks”.

      Looking into scherer’s recent poker play, you’ll see that the poker pro played very often over a three year span, and then lapsed, not seen much after the 2008 L.A. Poker Classic, where he cashed for a mere 3k. Could he have been hoping for a big win to clear up debt or was he just enjoying a high profile poker tournament?

        HR 5767, Aimed To Halt UIGEA, Defeated By Split Vote

        June 26, 2008

        It was a sad day for online gambling operators and US players alike as Bill H.R. 5767, proposed by Rep. Barney Frank [Mass] and Rep. Ron Paul [Texas], with a crucial amendment from Rep. Peter King [NY], was smacked down by a split vote of 32-32. HR 5767 would have halted the US Treasury Department and Federal Reserve from “proposing, prescribing or implementing” any regulations under the Unlawful Internet Gambling Enforcement Act (UIGEA) of 2006, while forcing the government to define “unlawful Internet gambling”, thereby taking the heavy, unsolidified burden off US financial institutions.

        H.R. 5767, otherwise known as the Payment Systems Protection Act, would have taken the scrutinizing eyes of the government off the backs of US financial institutions, who are at this time held responsible for the illegal processing of fund between online gambling operations and US residents, even though they have not been told what constitutes legal and illegal online gambling. The bill would have required federal regulators to specifically define what is and is not illegal gambling, thereby giving financial institutions a clear guideline.

        As it stands now, these companies are expected to enforce something they cannot comprehend. The UIGEA fails to offer proper regulations or definitions. Therefore, the defeat of H.R. 5767 is not just a blow to the online gambling industry, but a virtual earthquake in the United States, with aftershocks felt round the world.

        Allow me to explain…

        During the mark-up session of H.R. 5767, an amendment was proposed by Rep. Pete King [NY], and subsequently adopted by the Committee, that would halt implementation of the UIGEA, as well as forcing a uniform definition of “unlawful Internet gambling”.

        King emphasized that this “was a banking issues, not a gambling issue” and that it shouldn’t be the banking industry’s responsibility to determine what is and is not unlawful gambling. “This is a banking amendment, not a gambling amendment,” King stressed to the Committee. “I hope this will be considered in a non-partisan way… not whether you are opposed to gambling or not. Let’s take our time and have regulations that mean something.”

        Unfortunately, the Republican side of the Committee focused merely on the morality issues of gambling, seeming to disregard the absurdity of the UIGEA as it stands now. No clear definitions, no regulations and no guidelines. In fact, every deadline presented by the government to established guidelines has been missed, time and again.

        Former Senator Alfonse D’Amato, now an influential component of the 1-million member Poker Players Alliance, had plenty to say about the Committee’s lack of concern, calling the current state of the UIGEA “a completely unworkable and unenforceable bill that would do little to address the main concerns of its sponsors – namely, protecting underage and compulsive gamblers as well as cracking down on money laundering…. Unfortunately, debate over the morality of gambling trumped debate on the fact that UIGEA is completely ineffective and unenforceable.”

          H.R. 5767 - Statement by Poker Players Allaince Chairman D’Amato

          June 25, 2008

          Press Release– Former Senator Alfonse D’Amato, chairman of the Poker Players Alliance (PPA), the leading poker grassroots advocacy group with over one million members nationwide, today issued the following statement on the House Financial Services Committee’s failure to pass H.R. 5767, the “Payment Systems Protection Act,” by a vote of 32-32.

          “The PPA is surprised that the Financial Services Committee today failed to clarify what constitutes ‘unlawful Internet gambling’ under the Unlawful Internet Gambling Enforcement Act (UIGEA).  The King Amendment would have required a separate formal rulemaking with an administrative law judge to determine the definition of unlawful Internet gambling.

          “The Federal Reserve, Department of Treasury and the banking industry have all testified before Congress that the lack of a definition of ‘unlawful Internet gambling’ makes it extremely difficult if not impossible to enforce this law and would result in a broader review and denial of financial transactions because they could possibly be deemed unlawful under UIGEA.

          “It is disappointing to realize that opponents of this legislation still do not truly understand the intent of the bill.  It was clear today that those who oppose this bill chose to focus on emotional and non-germane issues, such as the harmful impact of gambling on children, instead of on the merits of the bill itself.

          “As it stands, UIGEA is a completely unworkable and unenforceable bill that would do little to address the main concerns of its sponsors – namely, protecting underage and compulsive gamblers as well as cracking down on money laundering. To truly address these issues, the PPA firmly believes that Congress should implement thoughtful and effective regulation of the online gambling industry as opposed to outright prohibitions, which history has shown do not work.

          “Unfortunately, debate over the morality of gambling trumped debate on the fact that UIGEA is completely ineffective and unenforceable.”

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