Kentucky Online Gambling Seizure Backfires

Kentucky Online Gambling Seizure Backfires

A few months ago the Kentucky State Government decided to attempt to flex its muscles in a big way. Acting on a court order given by Judge Thomas Wingate, Governor Steve Beshear of Kentucky has embarked on a crusade to seize the names of 141 different online casino domain names as a way to protect the state of Kentucky from what he says are online operations that are dangerous to children and harmful to the overall economy of the state of Kentucky. When it was initially introduced as being part of the online gambling news at the time it had many people wondering what was going to happen because of the relative uniqueness the case had with it. Nobody seemed to know exactly where jurisdiction fell in this case and because of that many of the online gambling services called for a public boycott of everything from Kentucky including Twin Spires, the online gambling operation based in Kentucky for the express purpose of online horse betting.

Online Gambling

The theme of irony that flows through everything associated with online gambling these days appears to be a theme that is not lost on this particular issue as well. In a turn of events that is dripping with irony, the federal government has moved forward with putting the UIGEA into place firmly before the changeover in President so that the bans on money transfers to online gambling websites can be put into place. Once regulation is put into place it is very difficult to get rid of it and for that reason the Republicans in power at the moment are hoping that Barack Obama decides that the issue is not worth pursuing at the current moment in time amidst everything else that the country as going on at the moment.

UIGEA

Normally, this might be good news for the Governor of Kentucky but what is interesting about this particular instance is that the UIGEA is going to be targeting Twin Spires at the same time that it targets a number of other online gambling operations. The difficulty with the UIGEA is that it does not require strict definitions of the difference between lawful and unlawful online gambling and for that reason essentially places a blanket ban on all online gambling operations. Since there is no way to distinguish between legal and illegal in its eyes this can be interpreted to mean a ban of even the online gambling operations that are excepted from the bill in the first place and Twin Spires is one of the online gambling operations on that latter list.

Governor Beshear started this move in the first place because he wanted to protect Twin Spires from competition by other online gambling operations and now that the federal government has gotten wind of things it appears as though he has now set into motion events he can not stop with the end result likely being worst for the state of Kentucky than if he had just left things alone. Once again, it appears as though fate is not without a sense of irony.

January 1, 2011 by : posted in Gambling Abroad No Comments