US Lawmaker To Lead E-Gaming Fact-Finding Mission To IoM

by Jason Gorringe, Tax-News.com, London

28 July 2006

A United States Congressman who is opposing moves to ban online gaming in the US is planning a visit to the Isle of Man to study the jurisdiction's e-gaming regulations in operation.

According to a report published by the Isle of Man Online on Wednesday, Jon Porter, a Republican who represents Nevada's Third District in the House of Representatives, is due to visit the island after meeting with a Manx government delegation during their recent lobbying trip to Washington DC.

The Isle of Man, where many big-name internet gaming firms such as Microgaming, Neteller and PokerStars are based, is an emerging force as an e-gaming domicile, and the authorities pride themselves on the quality of the island's e-gaming regulations.

In February, the Manx government's head of e-gaming, Bill Mummery, told the London Stock Exchange, where a number of e-gaming firms are listed, that new regulations governing online gaming have been introduced in an attempt to establish the Island as an "e-gaming centre of excellence".

Porter, who voted against the Internet Gambling Prohibition and Enforcement Act, which was recently approved by the House, is attempting to establish a bipartisan commission to study the impact of online gaming.

“The impact of Internet gambling reaches far and wide, which is why we need to have a comprehensive understanding of its effects, both socially and economically, before making any rash decisions about its future,” said Porter.

Opponents of online gaming, such as the bill's chief sponsor Bob Goodlatte, a fellow Republican, charge that the industry sucks money out of the US and acts as a facilitator for money laundering. The Christian right also contends that there are inadequate safeguards to prevent minors from accessing internet gaming websites.

However, according to Porter, too many lawmakers proceeded to approve the prohibition bill without having a sufficient understanding of the e-gaming industry.

"Unfortunately, a majority of my colleagues from both sides of the aisle chose to move forward with an online gaming ban despite having limited information on this evolving technology," he observed.

In late May, Porter introduced the Internet Gambling Study Commission Act, which established a commission to examine the impact of online gambling. The bipartisan legislation will result in the first study of its kind.

The nine-member commission will conduct a comprehensive study of Internet gambling, including the existing legal framework that governs activities and transactions. Within eighteen months, the Commission will submit a report on their findings and conclusions to the President and Congress, which will contain recommendations, if any, for legislative or administrative action.

Porter met with several senior members of the Manx government during their Washington trip, including Chief Minister Donald Gelling, Treasury Minister Allan Bell, chief secretary Mary Williams, Director of External Relations Della Fletcher, and Attorney General John Corlett.

The Manx delegation also engaged with other senior US lawmakers, including influential members of and advisors to the powerful House Ways and Means Committee.

Recommended