Grant Gross
Senior Writer

House passes Internet gambling bill

news
Jul 11, 20062 mins

The bill is an attempt to stop U.S. gambling from spending "over $6 billion a year to illegal, untaxed sites," one of the bill's sponsors said

The U.S. House of Representatives passed legislation on Tuesday that would ban most forms of Internet gambling and require banks to develop systems to block their customer’s transactions to gambling Web sites.

By a 317-93 vote, the House approved the Internet Gambling Prohibition and Enforcement Act, sponsored by Representatives Bob Goodlatte, a Virginia Republican, and Jim Leach, an Iowa Republican. The bill amends the 1961 Wire Act, which prohibits gambling using telephone wires, to include Internet gambling as a prohibited activity.

The bill, opposed by a new group called the Poker Players Alliance, would increase criminal penalties for gambling businesses settling Internet wagers with credit cards, checks or fund transfers, and it would require financial institutions to create systems to block payments to gambling sites.

The bill is an attempt to stop U.S. gambling from spending “over $6 billion a year to illegal, untaxed sites,” Goodlatte said on the House floor. He called Internet gambling a “cash cow” for offshore gambling businesses.

The Poker Players Alliance has criticized the bill for targeting the popular online game. In addition, the bill would “deputize” banks to look into the financial transactions of their customers, the group has said. In addition, the bill does not ban existing online gambling industries such as horse racing and state lotteries, the group said.

The bill, which would have to pass through the Senate before becoming law, allows states to continue to regulate gambling within their borders.

The Family Research Council, a conservative religious organization, applauded the House for passing the bill. The bill provides “real protection to American families from destructive and unlawful” Internet gambling, Tom McClusky, the group’s vice president for government affairs, said in a statement.

Grant Gross

Grant Gross, a senior writer at CIO, is a long-time IT journalist who has focused on AI, enterprise technology, and tech policy. He previously served as Washington, D.C., correspondent and later senior editor at IDG News Service. Earlier in his career, he was managing editor at Linux.com and news editor at tech careers site Techies.com. As a tech policy expert, he has appeared on C-SPAN and the giant NTN24 Spanish-language cable news network. In the distant past, he worked as a reporter and editor at newspapers in Minnesota and the Dakotas. A finalist for Best Range of Work by a Single Author for both the Eddie Awards and the Neal Awards, Grant was recently recognized with an ASBPE Regional Silver award for his article “Agentic AI: Decisive, operational AI arrives in business.”

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