Online Gambling May be Cut off By New Legislation
There is a new law waiting to be signed by Director Plant which was presented to Congress that is holding the $12 billion Online Gambling industry by a twine. It seems that lokgwang Tennessee Senator Bill Frist, introduced the bill on Weekend by joining it to the Safe Port Act before Congress took its political election recessed in Nov.
The Against the law Internet Gaming Enforcement Act that is expected to be signed by Director Plant, will practically finish off all Online Gambling sites by making it illegal for any bank, credit card company or online payment system to process any payments being meant to Online Gambling companies.
The new law states that Online Gambling sites are now banned from accepting any good check, credit card or electronic transfer payments for internet gaming the united states and seriously puts a in chaos.
Surprised at the passing of this new debilitating law, the leaders in the Online Gambling industry took drastic measures and started to trade off stock on the London Stock exchange which erased $8 billion from the industry. PartyGaming, the world’s biggest Online Gambling site said that they would cease their ties with the 920, 000 active US customers they have actually only when Plant actually signs the new act.
Although the new law hasn’t already yet been signed, a is being drastically affected. PartyGaming’s stocks alone have dropped 60% ending up at a measly. seventy eight cents a share. Other sites like SportingBet and 888 Holding were also affected by the change and have since lost a lot of money on their shares. 888 Holding, for example, had a 48% decrease on their shares dropping them down to $1. 40 on the British Market and announced that it would definitely no longer continue its Online Gambling business in the united states.
This is simply not the first Act, however, that has given the federal government power to break down the Online Gambling industry. Under the 1961 Line Act, the federal government has the right to brake down online gambling on in sports, poker and other casino games that are considered to be illegal under the law.
This is seriously debilitating the industries economy because the US consumer market is in charge of 50-60% of the Online Gambling revenue. These critical laws up against the Online Gambling site owners are driving companies to banned or transfer but what’s clear is that they are no longer welcome in the united states.
The Madam Chairman of the Interactive Gaming Authorities, File suit Schneider, has expected that over 500 companies running around 2, 300 Online Gambling sites around the world will be facing defunctness and will most likely be wiped out of the industry all together. The small number of companies that manage to live through this incredible crisis will have to live with a huge cut back on their revenue and figure out new ways of growing again. The idea of opening up in the Asian kitchenware market has become a favored idea for many.
Whatever the case may be, companies have 270 days after the bill is signed to figure out their method before the U. S. Attorney General Alberto Gonzales decides how the law will be unplaned.