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  Gambling News - May 2005  

"Online Betting Platform BetBug.com Not Intimidated by Kyl Bill"

The 1960s Wire Act has been the key piece of legislature that the U.S. Government cites concerning its position that online gambling is illegal and it has been this law that government officials have used in order to prosecute those in the online gambling industry. Typically, however, law enforcement officials have not gone after individual Internet gamblers. Rather, law enforcement agencies have tended to target Internet casino operators and owners. All that may change, though, if Arizona Senator John Kyl has his way. The Senator has drafted a bill that will target Internet gamblers directly instead of overseas operators. If passed, Kyl’s bill, The Unlawful Internet Gambling Enforcement Act of 2005, will prohibit the use of banking services for online gambling purposes.

It’s unlikely that the bill will pass, however, since online gambling’s immense popularity indicates that there won’t be much support for the bill. Most of the opposition to online gambling, and gambling in general, comes from the religious right. While the religious right is quite vocal and powerful for its size, chances are slim that they will have enough influence to completely do away with online gambling.

Still, those in the Internet gambling industry will feel better when they know that the bill didn’t make it. Even BetBug.com, an Internet gambling company that actually stands to benefit from Kyl’s bill, does not want it to pass because it would be detrimental to the industry as a whole. BetBug.com could benefit from Kyl’s bill because, according to co-founder and CEO of BetBug.com, John O’Malia, BetBug.com is the only company to offer a betting platform that does not violate the Wire Act. BetBug.com’s platform, unlike other Internet gambling companies, allows bettors to make private wagers, and does not act as the bookmaker in any way. If Kyl’s bill were to pass then, BetBug.com would be the only legal option available for those wishing to gamble over the Internet. Still BetBuc.com stands behind its position that if it’s not good for the entire gambling industry, they don’t want the bill to pass.

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