The UIGEA Does Not Make OnlineGambling Illegal in the US

September 8, 2007

For Americans who would rather see internet poker regulated and legalized, help was on the way this week in which representatives from the Casino Gambling Web was preparing for a lobbying trip to Washington DC. While preparing the files in which the representatives would present, researchers came across a FAQ document that plainly states the range of the Unlawful Internet Gambling Enforcement Act (UIGEA). This FAQ document was found on the House Financial Services website.

The very first question was: “What is the current federal law related to Internet gambling?” in which the answer was…

“In 2006, the House passed the Unlawful Internet Gambling Enforcement Act, restricting the handling of payments by U.S. financial institutions for unlawful forms of Internet gambling. That law prohibits the use of payment instruments by such institutions to handle the processing of any form of Internet gambling that is illegal under U.S. federal or state law.”

Simply put, the UIGEA covers only what is illegal under federal or state law.

The 1969 Federal Wire Act covers sports wagering over the Internet, making online sports books illegal in the United States. Currently there is NO federal law that specifically makes online casino games like blackjack, slots, online craps, roulette, video poker, or any other casino games along with online poker illegal.

There are however 11 states in the US that do have specific laws that prohibits online gambling, including online poker, Michigan, Illinois, Louisiana, Oregon, Wisconsin, Washington, Indiana, Nevada, New York, New Jersey and South Dakota. The remaining 39 states, gambling online is not illegal.

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