Federal Regulations of Online Gambling
The federal government has acted on several fronts to prevent illegal online gambling. In a criminal case, the U.S. government has prosecuted a Costa Rican casino operation, and the Marquette Sports Law Journal has reported on the issue. Several online gambling companies have also been targeted by the government.
While federal law doesn’t specifically ban online gambling, it does prohibit certain types of gambling, including sports wagering. However, federal law can still interfere with state-authority law enforcement efforts. This is particularly problematic when interstate or foreign elements enter the picture. In addition, state officials have expressed concern that the internet could be used to bring illegal gambling into their jurisdictions.
The Federal government’s legal framework for regulating Internet gambling is complex. The Wire Act and the Illegal Gambling Business Act prohibit Internet gambling. These laws prohibit wagering on sports events or contests and involve interstate commerce. Additionally, the Travel Act and the Racketeer Influenced and Corrupt Organizations Act (RICO) provisions prohibit gambling business activities on the internet.
