Could Online Poker Be Returning To California?
A new bill to legalize online poker in California has been introduced to be studied by the state legislature in Sacramento. Assemblyman Lloyd Levine (D-Van Nuys) is looking to exploit a loophole in federal online gambling law that would allow California to set up a poker network to serve California residents only.
Levine’s bill, AB2026 would order a study on the federal law that essentially banned poker on the internet for American citizens, and explore whether a California-only online poker room would be legal. If it is deemed legal, the state would be able to regulate the online wagering and take a cut of the action.
“Our understanding of the law is that so long as the player and server (hosting the online game) are in California, it would be legal,” said Levine. “But that’s what we are trying to find out.”
The online group, Poker Players Alliance is helping to push the bill into law. PPA is a group of poker players pushing for legalization and regulation of online poker in America. PPA now boasts a membership of over 934,000 Americans who hope that one day, the US government will come to its senses and give its citizens back the power to decide what to do with their own money in their own homes.
The United States government uses the ancient Wire Act or 1961 to enforce a ban on interstate gambling that was originally enacted to curb people from calling in sports bets to bookies in Las Vegas. They also enacted a law in 2006 that made it illegal for American financial institutions to do business with online gaming companies.
While it is unclear at the moment just who would run the online poker action and just who would benefit, Indian gaming tribes and the California state budget are sure to be big winners.
Gov. Schwarzenegger has been pushing for more Indian gaming in the state since he took office in November of 2003. If he stays true to his course of expanding gaming to help woe the ailing California state budget, then this looks like it will have a real chance to pass if it hits his desk.
I have not decided if this would be a small step or a big one in the right direction, but at least it is moving along the correct path. Let’s keep our fingers crossed.
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