| Nevada Passes Online Casino Bill | |
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Nevada was the first state to legalize casino gambling. I guess its only fitting that they become the first state to legalize online gambling as well.
On Monday June 4, 2001 the Nevada legislature passed a bill establishing a legal structure for companies that want to provide Internet gambling. Under the provisions of the bill a company would be required to put down a $500,000 licensing fee and a yearly $250,000 renewal fee in order to offer legal Internet gambling services.
The bill also authorizes the Gaming Control Board to study Internet gaming systems, to ensure that minors could not gamble using the systems and pass regulations for Internet casinos to operate. A manufacturer of an interactive gambling device would pay a
$250,000 license fee; a $100,000 fee would be assessed against a manufacturer of equipment associated with a gambling device; and a $50,000 fee would be charged for a license of a manufacturer of peripheral equipment.
Nevada Governor Kenny Guinn who supports legalization in his state to allow companies to operate online casinos now must sign the bill. He says he will do so "barring any unforeseen technical problems,"
But don't look to log on and purchase your cyber-chips any time soon. Legislators approved the law even though the Justice Department says Internet gambling is illegal. State officials say court challenges could change the federal government's position.
The reason for voting on this bill now was because of the structure of the Nevada legislature, which operates on a part time basis. The legislature meets only once every two years for a session that lasts no longer than 120 days. Some lawmakers worried that despite the federal ban if they didn't establish Internet gambling guidelines now they could be behind in the future.
Guinn's Press Secretary Jack Finn said, "Internet gambling is illegal until the federal government says otherwise," But in the event that the federal government approves Internet gaming, we don't want to see the state caught without a mechanism to implement it."
Under the provisions of the bill, Nevada Internet casinos would pay a 6 percent tax on the gross win from their operations to the state
Online gambling is already a booming market. According to statistics, Internet users worldwide wagered 1.4 billion dollars online last year playing casino games, lotteries, horse races and other sports events. Some experts predict the business will grow to 5 billion U.S. dollars by 2003. It's only a matter of time before the U. S. Government figures out how to get their piece of the pie. When that happens I think you will find laws regarding online gambling will change.
Until next time,
remember:
"Luck comes and goes...Knowledge stays forever."