Online gambling is a growing phenomenon in the United States. With the internet, more Americans are able to play their favorite casino games from the comfort of their own homes. But, it is important to be aware of the risks and potential financial loss associated with this activity.
The Unlawful Internet Gambling Enforcement Act (UIGEA) is a criminal statute that prohibits illegal gambling activities on the Internet. It also covers money laundering.
However, the UIGEA is not the only federal law in play when it comes to illegal Internet gambling. Seven other federal criminal statutes are implicated in this case, including the Wire Act, the Illegal Gambling Business Act, and the Racketeer Influenced and Corrupt Organizations Act (RICO).
These laws are enforced by the Justice Department, the Attorney General’s Office, and state and local law enforcement agencies. The Wire Act prohibits gambling on sporting events or contests, while the RICO provisions prohibit gambling businesses that are engaged in illegal activity.
In addition, the Commerce Clause and the Due Process Clause are two factors that have been cited as challenges to the UIGEA and other federal gambling statutes. Nonetheless, there have been little success in these attempts.
The first instance of general-public Internet gambling took place in Liechtenstein, where the country’s International Lottery website allowed players to wager on lottery games. In other cases, gamblers have been found to be using Internet sites to wager on sports and other entertainment.
The Fifth Circuit and the Tenth Circuit have both ruled that Internet gambling falls under the jurisdiction of state law. In this case, the court held that the act of transmitting information from New York to a computer located in New Jersey via the Internet constitutes a gambling activity in New York.