|
$34 million of poker players funds seized: An Explanation
Ever since the US Attorney’s Office in the Southern District of New York froze the funds of some 24,000 poker players –via the payment processor echecks-- people have been scrambling for an explanation: Of course the Attorney’s Office has been mum on the subject.
Most people believe it to be an overzealous act, permitted by a vaguely written law –UIGEA—from an office that has a history of prosecuting Internet gaming cases.
However, in a recent interview with Poker News Daily, gambling law expert I. Nelson Rose had a different view on the reason behind the US attorney’s office seizing the funds: Rose raised the possibility that the US Attorney acted in order to increase the likelihood of one of Barney Frank’s recently introduced Internet Gaming bills of passing. Rose explained the reverse psychology: “When Bingo was illegal in California, police raided a retirement home to help the public understand that the law was ridiculous.”
Rose also indicated that the seizure could simply have been a ‘cash grab’, or that the NFL could have applied pressure on the Southern District as a retaliatory strike against Frank’s legislation. The first bill; the Internet Gambling Regulation, Consumer Protection, and Enforcement Act (HR 2267) was introduced on May 6th. Frank also introduced the Reasonable Prudence in Regulation Act (HR 2266), which would delay UIGEA legislation from taking effect until December 1st, 2010.Frank’s bill HR 2267, now has 30 co-sponsors, and wide ranging support from companies such as Harrah’s –owners of the WSOP brand.
Whatever the reasoning behind the seizure; many experts feel the timing –taking place during the WSOP—was a premeditated act. The seizure of the funds could not come at a worse time for poker players; making a strong argument for the action being either a cash grab, or from pressure by the NFL.
However, it is also the time that will gain the act the most media exposure; which would make sense if the US Attorney’s Office were trying to show the lunacy of the UIGEA legislation.
How crazy is the UIGEA legislation? Facebook poker players –a play money site—may actually be violating UIGEA law!
Apparently, a few entrepreneurial players have been selling play money chips for Facebook’s poker application for a few dollars; and with the vague wording of UIGEA, Facebook has grown concerned about possible prosecution. Yes, it’s getting to the point of sheer madness. People are buying a product –the play money chips—not gambling: They know exactly what they are getting for their money. The simple fact that the chips are used to play a Texas Hold’ Em application is what has Facebook executives fretting. If people were selling gold coins used in Facebook’s ass-kicking application there wouldn’t be an issue at all.
We are now at the point where people selling $2 worth of virtual play money chips –which have no intrinsic value—could be caught up in some illegal Internet gambling ring; that could take down the largest social networking site on the web!
|
