Poker News

The Nightly Turbo: Tom “durrrr” Dwan’s New Full Tilt Poker Commercial, Lots Happening in France and More

Could the U.S. take a page out of France's "legalizing online poker" book? PokerStars has announced a new poker tour and Full Tilt has released a new commercial. We've got it all in tonight's Nightly Turbo.

The Nightly Turbo: Tom “durrrr” Dwan’s New Full Tilt Poker Commercial, Lots Happening in France and More

Could the U.S. take a page out of France's "legalizing online poker" book? PokerStars has announced a new poker tour and Full Tilt has released a new commercial. We've got it all in tonight's Nightly Turbo.

New Hampshire Governor Considers Legalizing Internet Gambling

With the state budget stretched and deficits building, New Hampshire Governor John Lynch is looking for ways to provide a much needed revenue injection for the Granite State.  One way avenue he is considering, according to The Nashua Telegraph, is legalizing internet gambling, including online poker.

"The governor is working on developing a comprehensive strategy to address the revenue shortfall," spokesman Colin Manning told the Telegraph. "There are a number of options the governor is looking at."

Lynch expects to unveil his internet gambling plan within the week and, to this point, no details about it are known.  One would assume that a tax would have to be paid by any company that offers online gambling, but even that is pure speculation right now.

Interestingly, the state's House is currently debating a bill that would permit up to 17,000 slot machines and table games at licensed locations throughout New Hampshire.  Lynch has come out in opposition to the bill, which has already passed through the Senate, because it does nothing to halt the proliferation of gambling.

Supporters of the bill are, perhaps understandably, confused as to how Lynch could be concerned with the proliferation of gambling, yet want to make online gambling legal.  Former State Senator Bob Clegg said, "The governor is worried about proliferation of gaming, but it sounds like he's going to make every computer terminal in every home and every BlackBerry -- including those BlackBerrys held by kids in high school -- a gambling facility."

It should be noted that Clegg is currently serving as a lobbyist for a golf club that is looking to build a casino and resort in Hudson.  He also says that his Hudson facility would create 3,800 jobs, far more than legalized online gambling would create.

State Senator Lou D’Allesandro agrees with Clegg, saying, "I haven’t seen his proposal, but if the governor is afraid of proliferation, what easier way to proliferate it than online gambling.  Anytime you get something online, you run the risk of who’s playing, what it involves, the extent of play. We’ve had so many problems with things online."

New Hampshire would not be the first state to consider legalizing online gambling should Lynch's plan make any progress.  In March, New Jersey Assemblyman John Burzichelli introduced Assembly Bill 2570, which would allow New Jersey casinos to offer internet gambling to the state's residents.  The casinos would have to acquire a license to do so and would be required to adhere to strict regulations.  The California and Florida state governments are also considering internet gambling legislation.

New Jersey Introduces Internet Gaming Bill

A newly proposed law in New Jersey could allow the state's licensed casinos in Atlantic City to offer internet gambling to residents within state lines. New Jersey Assembly Bill 2570, introduced into by Assemblyman John Burzichelli, would enable New Jersey residents to place wagers on casino games, including poker, via the Internet.

"We're happy that New Jersey has taken this issue into their own hands," said Interactive Media Entertainment and Gaming Association (iMEGA) chairman Joe Brennan Jr. "New Jersey is recognized as having the toughest gaming regulators in the US, but as a leading gaming state with a long track record of doing things the right way, Internet gambling will have a great home here and the opportunity to begin normalizing the industry."

The bill states that Atlantic City casinos must apply for a permit to establish internet wagering, with the permit valid for one year and subject to renewal. The annual fee for an internet wagering permit is expected to be at least $200,000, with the renewal fee to be at least $100,000 to cover the costs of regulation by the commission and the division.

Once in place, gambling regulations will be implemented for the conduct of internet wagering that will be consistent with the regulations of the governing casino. Those regulations will include age restrictions, credit and debit procedures, game corruption checks, and features to assist problem gamblers.

New Jersey took the first step toward legalizing online gaming in the United States in January. Then, Lesniak introduced a bill that called for New Jersey residents to vote on a constitutional amendment that would permit state-regulated sports wagering in Atlantic City casinos and to state residents via an intra-state internet gambling system.

Should New Jersey succeed in becoming the first state to approve intrastate online gambling, it is expected that other states will follow suit. Iowa, Florida, and California have all been considering legislation as a means of straightening out state deficits. New Jersey is currently facing the worst deficit in the nation, but experts believe the state could earn hundreds of millions of dollars per year by regulating sports betting and online gaming.

The matter of when the legislation will pass remains up for debate. Poker Players Alliance (PPA) Executive Director John Pappas told CardPlayer magazine, "I think it’d be difficult for states to enact intrastate regulation by the end of this year. It is our goal to have something passed at the federal level this year. I think it’ll be a race to see who gets there first."

Congressman Barney Frank (D-MA) remains focused on pioneering a federal solution on Capitol Hill. Frank recently added a 66th co-sponsor, Representative Charles A. Wilson from Ohio's Sixth Congressional District, as he prepares to go into the markup phase for the proposed for HR 2267. Frank has until June 1st to work out the details of the legislation in order for the bill to be passed.

Stay tuned to Poker News Daily for updates on poker legislation news from New Jersey and the rest of the country.

Poker Players Alliance Focusing Efforts on State Level

To open the 2010 calendar year, officials from the Poker Players Alliance (PPA) have largely focused their energies on the state level, including Florida, California, Alaska, and Delaware.

With momentum on Capitol Hill largely riding on the shoulders of Congressman Barney Frank (D-MA), the Chairman of the powerful House Financial Services Committee, the PPA has gradually turned towards the movement to legalize and regulate online poker at the state level. In Florida, calls for legalized intrastate online poker have been building, leading PPA Executive Director John Pappas to testify in front of the Florida Senate Regulated Industries Committee in February.

Despite the seemingly positive introduction of intrastate internet gambling legislation, the PPA has been cautious about throwing its full weight behind any bill. In an update to PPA members sent recently, the organization explained its skepticism: “Florida is contemplating a single-source provider of online poker, i.e. one poker website. PPA is concerned that the lack of competition and consumer choice could also negatively impact the player experience.”

Pappas told Poker News Daily that building an online poker site from the ground up is far from an easy endeavor: “The idea that they’ll be able to maintain liquidity is a bit of a fallacy, particularly if it’s going to be limited to one operator. Players will be bored with one site and they currently like the ability to play on multiple sites. My pitch has been to look at what’s going on at the federal level.” On Capitol Hill, Frank’s HR 2267, the Internet Gambling Regulation, Consumer Protection, and Enforcement Act, allows multiple internet gambling sites to solicit U.S. customers.

In Delaware and Pennsylvania, legislation has been passed in 2010 introducing and expanding table games, including poker. As you might expect, the PPA has been wholly enthusiastic about both developments, commenting, “The PPA welcomes this as a first step in advancing opportunities for poker players to play games of skill such as Texas Hold’em in a licensed and regulated atmosphere.” Table games will likely debut in the middle of 2010 and according to the Allentown Morning Call newspaper, the Sands Corporation has set a target rollout date of July 1st.

In Alaska, a unique battle is brewing as to whether charity poker tournaments are permitted under state law. PPA Alaska State Director Rich Markgraf has reportedly sent a letter to government officials seeking clarification of the legality of charity events. The PPA dubbed the Alaskan stance against charity tournaments a “misguided notion.”

In early February, Pappas testified in front of the California Senate Governmental Organization Committee arguing for increased competition in any proposal legalizing intrastate online poker. Pappas explained to Poker News Daily, “We believe in a competitive marketplace, one that favors everyone who wants to get into the marketplace.” However, increased momentum at the state level for legalized internet gambling could pay dividends on a national level. 2010 is an election year, leading many in the industry to question whether legalizing internet gambling will even be addressed.

In its monthly update, the PPA was quick to point out that online poker players helped raise more than $1.5 million for victims of the devastating earthquake that struck Haiti on January 12th. Major online poker sites matched player donations dollar-for-dollar, resulting in a $1.5 million haul for charity. PPA Chairman Alfonse D’Amato applauded the efforts of many in the community in the organization’s mailer: "Like the rest of the world, the poker community is eager to do anything it can to aid Haiti in the wake of the devastating earthquake. I applaud PokerStars, Full Tilt Poker, and Cake Poker for providing poker players across the globe an easy way to make a contribution."

Visit the official website of the PPA to keep up-to-date on its latest endeavors.

Poker News in Brief: March 1-7, 2010

Between the LAPC and WPT Invitational winners, Isildur1 getting busy online and the start of the NBC National Heads-Up Championship there was nary a dull moment for poker fans.

As usual, we’re going to list some of the poker stories you might have missed as part of our ongoing Poker News in Brief feature.

This week we’re going to take a look at online gambling in Iowa, a WSOP all-star game, Roland de Wolfe winning a London tournament and more.

Legal Online Gambling in Iowa?

Iowa is the latest U.S. state apparently looking at legalizing online gambling.

Rep. Doug Struyk of Council Bluffs told the Quad City Times that 50,000 people in Iowa already participate in online gambling and the government could provide better protection for them if the industry was legalized and regulated.

Struyk’s proposal would regulate the practice through the Iowa Racing and Gaming Commission.

If the proposal goes through Iowa would become the first state in the country to allow online gambling.

Tiger Woods Turns Down Paddy Poker Deal

Many of Tiger Woods major sponsors have dropped him since his sex scandal broke but at least one online poker room seems to have no problem with the golfer.

Ireland-based Paddy Power Poker reportedly offered the disgraced sports star a five-year deal worth $75 million to represent the site.

Although Woods has already turned the offer down, Paddy Power Poker has claimed it is planning on coming back with an even better offer in the future.

It’s not the first time a poker organization has offered a deal to a fallen sports star. Last summer the Asian Poker Tour invited Olympic swimmer Michael Phelps to its Macau event.

A picture of Phelps holding a bong surfaced on the internet in early 2009, which led to several sponsors dropping the multiple gold-medalist.

Check Paddy Power Poker for more.

Roland de Wolfe Wins London Open

Full Tilt pro Roland de Wolfe outlasted 110 players to win the 2010 Mansion Poker Les A London Open last week.

De Wolfe overcame a final table of mostly unknown players to win the £77,000 first place prize. The Hendon Mob’s Ross Boatman came in eighth place for £6,600.

The inaugural £2,000+£200 buy-in Mansion Poker Les A London Open ran February 23-24.

WSOP to Introduce All-Star Tournament?

It appears Harrah’s is interested in hosting some form of an all-star tournament at the 2010 WSOP.

Harrah’s released a cryptic message via the WSOP Twitter account this week that read:

“Which 20 WSOP Bracelet-Holders would you like to see compete in an All-Star game? Stay tuned…”

Last summer the WSOP held the 40th Anniversary Champions Invitational, which was open to every player that had won the Main Event. The tournament was won by 1983 World Champion Tom McEvoy.

In previous years, Harrah’s held a Tournament of Champions that featured a large number of notable pros. Annie Duke, Mike Matusow, and Mike Sexton were all winners of that event.

More Gold for Cake Poker Players in March

Cake Poker is giving its players two exclusive promotions during the month of March.

The first is the Cake Poker Turbo Gold Cards March Madness event that features Gold Cards dropping four times more often.

Gold Cards randomly appear in your account when you are playing ring games on Cake Poker. The cards are redeemable for cash or tournament entries depending on what card you receive.

Cake Poker will also be offering more satellites to the 2010 Irish Open, starting March 14.

"Dublin is a wonderful town and when you bring a major tournament there with the accompanying insane side action, it's hard to beat,” said Cake Poker room manager Lee Jones.

To learn more visit the Cake Poker website.

Visit PokerListings.com

Poker Predictions for 2010 by Mike Sexton

2009 was an amazing poker year.  The first thing that jumps out at me is the continuing trend of young guys doing so well in live events.  The two biggest events of the year were won by 21 year-olds.  Yevgeniy Timoshenko captured the World Poker Tour (WPT) World Championship and Joe Cada won the World Series of Poker (WSOP) Main Event.  They were the youngest players to ever win those events.  By now, you must recognize that internet poker has developed a tremendous crux of terrific poker players and they continue to prove themselves in the biggest live events in the world.

I carried the torch for the old guys in 2009, the highlight being my induction into the Poker Hall of Fame on November 7th.  The Poker Hall of Fame is the one area in poker that old guys have a big edge.

I am happy to point out that two well-known, experienced, high-stakes players had the best WSOP in 2009.  Three bracelets and the best all-around player award went to Jeff Lisandro and poker superstar Phil Ivey won two bracelets and made the final table of the Main Event.  You have to salute both those guys.

A real buzz was created in 2009 by the nosebleed high-stakes games online.  It's difficult to follow the swings these guys take, which amounted to millions of dollars per week.   These guys have moxy (a polite way of saying “balls”) that is hard to believe.

It's always exciting to think about what's ahead for the poker world.  Here are some things I believe will happen in 2010:

1. The young guys will continue to dominate the big events in poker.  I say that because the big events take at least four or five days to play and I believe the younger guys can handle those long, tough, consecutive sessions better than the older guys.  Generally speaking, when stamina plays a role in something, young guys fare better.

2. The direction of online poker will finally come out of the "gray area."  I believe that legislation will finally come forth in some fashion, so we'll know whether or not online poker will become regulated.  If it's not on the federal level, I believe you'll see individual states, starting with California, attempt to legislate and regulate online poker.

3. More countries around the world will individually regulate online poker like Italy and France are doing.  For those who may not know, those countries are legalizing online poker, but you can only play against players from your own country.  This is the model I believe that individual U.S. states will follow.

4. The WPT will expand its brand worldwide with more live tournaments in more countries around the world.  Party Gaming purchased the WPT, which bodes well for poker players around the world.  Players can qualify online for these events at PartyPoker.com and, hopefully, other sites as well.

5. The enforcement of Unlawful Internet Gambling Enforcement Act (UIGEA) will come to an end.

6. Here's a good thing:  Far more money will be raised through poker charity events than has been in the past.  PokerGives.org is designating September "Poker Charity Month," where numerous live casinos as well as online sites will hold charity events for PokerGives.org.  In my mind, benefiting worthwhile charities is a big plus for the entire poker industry and players, management, and casinos should all do more to support charity events.

7. Two players will win two bracelets at the 2010 WSOP and no one will win three.  I don't know who they will be, but I know who I'd bet on to do it.

8. I'm afraid that the trend will continue for women on the WPT.  They won't win a $10,000 buy-in or higher event in 2010.  There just aren't enough aggressive women in poker to favor them winning a WPT event.  Incidentally, I hope I'm wrong about this prediction.  Go ladies!

9. Two people will be inducted into the Poker Hall of Fame in 2010.  The top candidates are Erik Seidel, Barry Greenstein, Phil Ivey, Daniel Negreanu, and Tom McEvoy.  Who do you like?

10. Championship poker events will continue to thrive and television will continue to play a major role in bringing more players into the poker world.

Best of luck to everyone in 2010!

Poker Industry Reacts to Senate Internet Gambling Legislation S 3018

Last month, Senators Ron Wyden (D-OR) and Judd Gregg (R-NH) introduced S 3018, the Bipartisan Tax Fairness and Simplification Act. The measure includes language legalizing and regulating internet gambling in the United States. Now, the industry has had a chance to react.

As its name implies, S 3018 is primarily a financial bill whose mandates include abolishing the Alternative Minimum Tax and slashing the number of individual tax brackets in half from six to three. Among those keeping a watchful eye on Capitol Hill is Interactive Media Entertainment and Gaming Association (iMEGA) Chairman Joe Brennan, who told Poker News Daily, “It’s encouraging to see two people in the Senate who are as serious as Wyden and Gregg, particularly Gregg, who is as respected more than anyone in the Republican caucus when it comes to the economy. To see him offer internet gambling in the bill is encouraging for what may happen down the road as Republicans take a look at paying for things.”

The legalization and taxation of internet gambling appears as Subtitle C of the bill on page 126. Wyden and Gregg’s piece of legislation borrows language from Congressman Barney Frank’s (D-MA) Internet Gambling Regulation, Consumer Protection, and Enforcement Act, which was introduced last May and currently carries 66 co-sponsors. The bill is numbered HR 2267 and was discussed in the House Financial Services Committee in December. However, no markup has been scheduled.

Gregg nearly became the Secretary of Commerce for the Obama administration. According to CNN, “irresolvable conflicts” led to Gregg withdrawing his bid to join Obama’s Cabinet last month. Gregg told reporters at the time, "I realize that to withdraw at this point is really unfair in many ways, but to go forward and take this position and then find myself sitting there and not being able to do the job the way it should be done on behalf of the President, 100%, that would have been an even bigger mistake." Now, Gary Locke holds down the Secretary of Commerce position.

To Brennan, Wyden and Gregg’s inclusion of internet gambling may signal a changing of the guard of sorts in the Senate: “While it’s not necessarily a victory, it’s something that shows that there are now people every bit as serious as Congressman Frank in the financial sector in the Senate.” Wyden had previously offered a proposal to use funds derived from taxing internet gambling to pay for health care reform.

The Poker Players Alliance (PPA) has made no official comment on the bill. In fact, there is no mention of S 3018 on the organization’s website. PPA Executive Director John Pappas told Poker News Daily in a prior interview that the lobbying group was still assessing the bill's merits.

Contrastingly, the Safe and Secure Internet Gambling Initiative (SSIGI) has thrown its full support behind the measure. SSIGI spokesperson Michael Waxman commented in a press release, “With so much media focus on the differences between Democrats and Republicans in Congress, this bipartisan initiative highlights the growing support on both ends of Capitol Hill for replacing the failed prohibition on internet gambling with a system to regulate the industry, protect consumers and generate billions in new revenue.” Whether S 3018 will be addressed in Committee is not yet known. It was referred to the Senate Committee on Finance, whose Chairman is Max Baucus (D-MT).

Despite several promising bills on Capitol Hill, several posters on the online poker forum TwoPlusTwo were not overly optimistic. “grdred944” explained, “Do you realize the Senate is sitting on 209 bills already passed by the House during this Congress? Overturning UIGEA and coming up with an online gaming bill is so far off the radar right now.”

Other members questioned the bill’s language, which includes a 50% tax on deposits for residents of states that opt out of the legislation. Pappas posted on TwoPlusTwo, “We have provided language to relevant staff about removing the 50% tax for opt out states. We hope that it will be part of a change to the base bill in what is called a ‘manager's amendment.’ If they do not accept it, we will seek a sponsor of a regular amendment to the bill.” Licensed operators are subject to a 2% tax on deposits under S 3018.

We’ll keep you posted right here on Poker News Daily.

Iowa Looking at Online Poker

Lawmakers in Iowa a trying to decide is online poker and gambling would be a good option for their state. Suggestions about legalizing online poker in Iowa were being tossed around in the legislature recently with Rep. Doug Struyk saying the timing to make online gambling legal is now.

Quebec to Enter Online Poker Market

The world of internet gaming and online poker continues to become more convoluted, as it was announced earlier this week that the Canadian province of Quebec has entered into a deal to open a State-authorized online gaming operation.

It was announced on Wednesday that Loto-Quebec, who holds the monopoly on the online lottery in the Canadian province, was authorized by the provincial government to begin operating an internet gambling and online poker portal for its citizens. The new site would compete against other online casino and poker sites and would not, officials state, monopolize the industry in the province. Despite the fact that online gaming is legal in Canada, the move by the provincial government has been painted as a way to eliminate unregulated operations that currently are in existence and increase revenue for the province.

According to reports from CTV Montreal, Loto-Quebec, along with the operators the British Columbia and Atlantic Lottery Corporations, will set up a singular site in the second half of 2010 that will cater to citizens of Quebec. CTV Montreal reports that over $600 million in revenue is pulled in by over 2000 operations, many of them outside of the government’s jurisdiction or the “black market,” as the government believes. CTV Montreal quotes the Quebec Finance Minister Raymond Bachand as saying, “Our citizens are not protected and the money goes to illegal channels.”

Loto-Quebec states that, beyond the money side of the equation, the company and the government are looking to expand protections for consumers. According to Loto-Quebec, the new site will feature several preventative measures that will help to thwart the occurrence of difficult issues such as age verification, deposit limits, and problem gambling. “(Other) online gambling sites obviously do not offer an assistance program for vulnerable players and it is left to the (government) to pick up the costs of problem gaming,” according to Loto-Quebec Chief Executive Officer Alain Cousineau as saying.

Loto-Quebec has said it is looking to a European nation that has nationalized its gaming, Sweden, as a template. The Swedish site Svenska Spel offers internet gaming and online poker and is the only legal outlet for Swedes to pursue such activities. Svenska Spel was founded in 1997 and opened its online poker operations in 2006; it is currently the 13th largest online poker site in the online poker industry, according to PokerScout.com.

This latest move by Quebec follows other efforts in the United States, where jurisdictions are looking to take the online gaming industry out of the hands of the federal government. Three states - California, Florida, and New Jersey - may open their own state-run sites.

A thread on the online forum TwoPlusTwo is debating the issue, with opinions landing on both sides. Poster “defactocrippler” states in a post, “I assume they did some investigating and it is pretty likely that some money is going to illegal channels… Citizens are in fact not protected because there is no regulation.” Others point out that the move by Quebec could be seen as an attack on the Mohawk Council of Kahnawake Indians, who operate the Kahnawake Gaming Commission and are responsible for the licensing and operation of hundreds of online casino and poker sites.

Stay tuned to Poker News Daily for the latest on Quebec legalizing internet gambling.

Quebec to Enter Online Poker Market

The world of internet gaming and online poker continues to become more convoluted, as it was announced earlier this week that the Canadian province of Quebec has entered into a deal to open a State-authorized online gaming operation.

It was announced on Wednesday that Loto-Quebec, who holds the monopoly on the online lottery in the Canadian province, was authorized by the provincial government to begin operating an internet gambling and online poker portal for its citizens. The new site would compete against other online casino and poker sites and would not, officials state, monopolize the industry in the province. Despite the fact that online gaming is legal in Canada, the move by the provincial government has been painted as a way to eliminate unregulated operations that currently are in existence and increase revenue for the province.

According to reports from CTV Montreal, Loto-Quebec, along with the operators the British Columbia and Atlantic Lottery Corporations, will set up a singular site in the second half of 2010 that will cater to citizens of Quebec. CTV Montreal reports that over $600 million in revenue is pulled in by over 2000 operations, many of them outside of the government’s jurisdiction or the “black market,” as the government believes. CTV Montreal quotes the Quebec Finance Minister Raymond Bachand as saying, “Our citizens are not protected and the money goes to illegal channels.”

Loto-Quebec states that, beyond the money side of the equation, the company and the government are looking to expand protections for consumers. According to Loto-Quebec, the new site will feature several preventative measures that will help to thwart the occurrence of difficult issues such as age verification, deposit limits, and problem gambling. “(Other) online gambling sites obviously do not offer an assistance program for vulnerable players and it is left to the (government) to pick up the costs of problem gaming,” according to Loto-Quebec Chief Executive Officer Alain Cousineau as saying.

Loto-Quebec has said it is looking to a European nation that has nationalized its gaming, Sweden, as a template. The Swedish site Svenska Spel offers internet gaming and online poker and is the only legal outlet for Swedes to pursue such activities. Svenska Spel was founded in 1997 and opened its online poker operations in 2006; it is currently the 13th largest online poker site in the online poker industry, according to PokerScout.com.

This latest move by Quebec follows other efforts in the United States, where jurisdictions are looking to take the online gaming industry out of the hands of the federal government. Three states - California, Florida, and New Jersey - may open their own state-run sites.

A thread on the online forum TwoPlusTwo is debating the issue, with opinions landing on both sides. Poster “defactocrippler” states in a post, “I assume they did some investigating and it is pretty likely that some money is going to illegal channels… Citizens are in fact not protected because there is no regulation.” Others point out that the move by Quebec could be seen as an attack on the Mohawk Council of Kahnawake Indians, who operate the Kahnawake Gaming Commission and are responsible for the licensing and operation of hundreds of online casino and poker sites.

Stay tuned to Poker News Daily for the latest on Quebec legalizing internet gambling.

Quebec to Enter Online Poker Market

The world of internet gaming and online poker continues to become more convoluted, as it was announced earlier this week that the Canadian province of Quebec has entered into a deal to open a State-authorized online gaming operation.

It was announced on Wednesday that Loto-Quebec, who holds the monopoly on the online lottery in the Canadian province, was authorized by the provincial government to begin operating an internet gambling and online poker portal for its citizens. The new site would compete against other online casino and poker sites and would not, officials state, monopolize the industry in the province. Despite the fact that online gaming is legal in Canada, the move by the provincial government has been painted as a way to eliminate unregulated operations that currently are in existence and increase revenue for the province.

According to reports from CTV Montreal, Loto-Quebec, along with the operators the British Columbia and Atlantic Lottery Corporations, will set up a singular site in the second half of 2010 that will cater to citizens of Quebec. CTV Montreal reports that over $600 million in revenue is pulled in by over 2000 operations, many of them outside of the government’s jurisdiction or the “black market,” as the government believes. CTV Montreal quotes the Quebec Finance Minister Raymond Bachand as saying, “Our citizens are not protected and the money goes to illegal channels.”

Loto-Quebec states that, beyond the money side of the equation, the company and the government are looking to expand protections for consumers. According to Loto-Quebec, the new site will feature several preventative measures that will help to thwart the occurrence of difficult issues such as age verification, deposit limits, and problem gambling. “(Other) online gambling sites obviously do not offer an assistance program for vulnerable players and it is left to the (government) to pick up the costs of problem gaming,” according to Loto-Quebec Chief Executive Officer Alain Cousineau as saying.

Loto-Quebec has said it is looking to a European nation that has nationalized its gaming, Sweden, as a template. The Swedish site Svenska Spel offers internet gaming and online poker and is the only legal outlet for Swedes to pursue such activities. Svenska Spel was founded in 1997 and opened its online poker operations in 2006; it is currently the 13th largest online poker site in the online poker industry, according to PokerScout.com.

This latest move by Quebec follows other efforts in the United States, where jurisdictions are looking to take the online gaming industry out of the hands of the federal government. Three states - California, Florida, and New Jersey - may open their own state-run sites.

A thread on the online forum TwoPlusTwo is debating the issue, with opinions landing on both sides. Poster “defactocrippler” states in a post, “I assume they did some investigating and it is pretty likely that some money is going to illegal channels… Citizens are in fact not protected because there is no regulation.” Others point out that the move by Quebec could be seen as an attack on the Mohawk Council of Kahnawake Indians, who operate the Kahnawake Gaming Commission and are responsible for the licensing and operation of hundreds of online casino and poker sites.

Stay tuned to Poker News Daily for the latest on Quebec legalizing internet gambling.

Tribes meet in city to discuss internet poker

After the California Nations Indian Gaming Association chairman called for unity at the Western Indian Gaming Conference on Wednesday, tribes began to tackle the complicated issue of legalizing Internet poker in the state.

Poker News in Brief: Jan. 4-10, 2010

The 2010 PokerStars Caribbean Adventure drew a record 1,529 players to generate a $14.8 million prize pool – the seventh biggest in poker history.

Plus, there was some poker news that happened outside of the Bahamas and we’re breaking it down for you below in our ongoing Poker News in Brief feature.

This week we’ll look at a new poker film coming to DVD, Pennsylvania legalizing live poker and table games, Belgium moving to nationalize online poker and Bodog making a big brag.

Legal Poker for Pennsylvania

Pennsylvania legalized poker, blackjack and other table games at Casinos this week in an attempt to generate extra revenue for the State.

Previously, casinos in Pennsylvania had been restricted to slot machines only.

It will be six months before games start being dealt in Pennsylvania, but the State stands to make millions in licensing fees.

Several neighboring states are taking notice and Indiana is considering allowing riverboat gambling in Lake Michigan and the Ohio River. Back in November, Ohio voters passed a law that will see four casinos constructed in four cities.

The Pennsylvania law change could have a potentially negative effect on neighboring Atlantic City if Pennsylvania residents opt to gamble closer to home.

Poker Film “Shark City” to See DVD Release

Indie poker flick Shark City is scheduled to be released on DVD on Feb. 16 though Morningstar Entertainment and Stardust Pictures.

The film stars Vivica A. Fox, Carlo Rota, Jefferson Brown and David J. Phillips and it centers around around the story of two friends who get mixed up with the daughter of a gangster. The two attempt to con a group of gangsters through a poker game and the plan goes awry.

High stakes poker, both live and online, is central to the theme of the film.

Shark City won the John Muir award at the Yosemite Film Festival.

To learn more go to the film’s website.

Belgium Attempts to “Nationalize” Online Poker

Belgium appears to be the latest country that is trying to restrict its citizens to only playing on local online poker rooms.

A recent story in Belgian newspaper Da Standaard claims the government has plans to demand Internet Service Providers block any foreign online poker sites.

This could potentially have huge ramifications for sites like PokerStars, Full Tilt or PartyPoker as they would have to set up regional offices in the country to continue operations.

The changes are scheduled to become law before the end of the year.

Meanwhile, the European Commission is reportedly not pleased with Belgium’s decision claiming it goes against the free trade agreement made by members of the European Union.

Despite the European Commission’s objections, Italy currently restricts its online poker market to rooms that have a presence in the country.

Study Shows Bodog Best Brand

Bodog may not have the most players, but according to a recent independent study it carries the strongest brand recognition.

The report was conducted by gaming consultant Josh Apiafi using Google to understand the brand strength of the top 10 online poker websites including PokerStars, William Hill, 888.com, Bet365, Betfair, bwin, Ladbrokes, Paddy Power, PartyPoker and Bodog.

“We had a hunch since I first rolled out the Bodog brand and business model that we are considered interesting,” said Bodog founder Calvin Ayre. “But that’s only part of the story – we also stand for having fun and that’s what all people want, especially ones that like to gamble."

The survey was conducted by looking at the number of Google alerts generated daily during December. Apiafi recorded every time a document was published that contained a mention of the brands listed above.

In the end, Bodog narrowly edged PokerStars by a score of 510 to 493.

Huge Growth for HeadsUp Entertainment

HeadsUp Entertainment, a poker media company out of Canada, posted its most recent quarterly statement this week and the company showed massive expansion in 2009.

The company sanctioned 362 events under its Canadian Poker Tour (CPT) brand this year, up from the 71 since it acquired the tour in 2008. HeadsUp Entertainment is aiming to host more than 560 events in 2010.

Also in 2009, HeadsUp Entertainment helped produce the CPT Finals in the Dominican Republic and Canadian Open Poker Championships in Calgary for television.  The Canadian Open Poker Championship drew big-name poker players like Gavin Smith, Jennifer Tilly and Huck Seed.

HeadsUp Entertainment also currently runs www.canadianpokertour.tv and Canadian Poker Magazine.

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South Carolina Attorney General Appeals Poker Skill Game Ruling

The fight for five poker players in South Carolina is far from over. According to the Associated Press, the state’s Attorney General will appeal the October ruling that Texas Hold’em, the world’s premier poker genre, is a skill game.

It’s a familiar debate as the poker industry enters 2010. Is Texas Hold’em a game of skill or is it ultimately determined by chance? South Carolina Attorney General Henry McMaster filed an appeal with the state’s Supreme Court, the Associated Press explained on Thursday: “McMaster's appeal says he doesn't think whether there is skill or just chance involved has anything to do with lawmakers' attempt to ban gambling. The attorney general skipped the Court of Appeals and filed with the state Supreme Court, saying the question deals with the constitution's wording on gambling.”

Five poker players were charged in Mount Pleasant, South Carolina back in 2006. According to the favorable ruling by Judge Markley Dennis in October, the buy-ins for a weekly home game in the South Carolina town varied between $5 and $20. The small blind was $0.25 and the big blind was $0.50, with pots ranging between $5 and $10. Fifty cents was taken from several pots in order to provide food and drink for players, but the “house” did not profit from the game.

The game got ugly on April 12th, 2006, when police officers raided it and began arresting participants on the grounds that they were playing in a “house used as a place of gambling.” The defendants, under the guidance of the Poker Players Alliance (PPA), argued that poker is a game of skill, not chance, and therefore did not constitute illegal gambling. The trial court heard the case in February, which featured World Poker Tour (WPT) host Mike Sexton recap hands played on the roving tournament series to demonstrate poker’s skill component.

Dr. Robert Hannum was also brought in to testify last February. The October ruling explains, “Dr. Hannum also testified that a statistical analysis of professional poker players demonstrated that past performance was a reliable indicator of future success, establishing that the skill of the player was the predominant factor in determining wins and losses.” The lower court ruled that poker was a game of skill. However, because South Carolina’s laws were vague on whether that mattered, the five defendants were found guilty.

An appeal was filed, setting up October’s ruling. Judge Dennis candidly explained, “This Court agrees with Appellants that the South Carolina Supreme Court, if faced with the question, would adopt the dominant factor test for the purpose of defining gambling.” He added, “It should also be noted that the South Carolina Attorney General has consistently applied the dominant factor test when providing opinions about whether certain activities are legal.”

Judge Dennis harped on the overwhelmingly broad nature of South Carolina’s gambling statute, which could be construed to mean that nearly any game played with cards or dice is illegal. Judge Dennis specifically called out Bunco, Go Fish, and Solitaire as possible infractions of state law, saying, “Simply put, [the law], as written, has the potential to make criminals of virtually every man, woman, and child in the state of South Carolina.” Twenty of the original defendants pled guilty to gambling charges, while five fought against the state.

According to the Charleston Post and Courier newspaper, the filing by the Attorney General was 57 pages long and McMaster is a Republican candidate for Governor. The Courier revealed, “No timetable has been set on when the case will be heard, and more rounds of legal filings are expected. The legislature is expected to take up a bill legalizing social card games next year.”

UIGEA Hearing Held

Over the 90-minute hearing, Frank delivered his case for legalizing and regulating the poker industry while Republican Rep. Spencer Bachus opposed the idea of changing the Unlawful Internet Gambling Enforcement Act (UIGEA) that was passed in 2006.

Frank once again championed the two bills he introduced earlier this year, which would legalize and regulate the online gambling industry and delay the compliance date for UIGEA by one year.

The meeting was mostly informational and a number of witnesses took the floor including representatives from the Problem Gambling Council, the Morongo Band of Mission Indians, the Wired Safety Group, the Independent Community Bankers of America and Youbet.com.

The majority of the witnesses appeared to support Frank's proposed legislation and the idea of legalizing and regulating the online gaming world.

Speaking in opposition, Bachus revealed a letter from the FBI, claiming it suggested there were several ways to cheat at online poker and legalizing it would be opening up a pandora's box of corruption.

After the meeting concluded, the Poker Player’s Alliance said Bachus' argument sounded more like one to legalize and regulate online gaming than anything else.

“Every concern the letter raises is better addressed by licensing and regulation than by prohibition,” said John Pappas, executive director of the PPA. “The letter misconstrues much about the current state of online poker, but it does so in a way that clearly makes the case for why federal oversight is necessary.”

Although the hearing was adjourned without a vote, it does appear there will be more discussion on the topic as Committee Chariman Frank finished saying, “We will be returning to the subject next year.”

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House Financial Services Committee Holds First Hearing

U.S. Congress took the first step toward potentially legalizing and regulating the online poker industry Thursday with a hearing in the House Financial Services Committee. As initial baby steps usually go, little was actually accomplished but the...

Internet Gambling Discussed in House Financial Services Committee

On Thursday morning, the subject of internet gambling took center stage in an informative hearing in the House Financial Services Committee, Chaired by Congressman Barney Frank (D-MA). Seven witnesses participated.

The hearing began with Frank candidly stating, “It is nice to be able to think legislatively about other things besides the financial crisis, which has consumed this Committee since September of 2008.” It was over one year ago, just before the world’s economy crumbled, that internet gambling was last discussed in the Committee. Frank added, “There are a whole range of things on the internet that we would not like underage people to use. The notion that because some people abuse something, you prevent everyone from doing it is as great of a threat to the individual as any cause I have ever seen.” He went on to cite smoking, video games, and dieting as activities that people abuse.

The Committee’s Ranking Member, Congressman Spencer Bachus (R-AL), summed up many of the opposing arguments for legislation like HR 2266 and HR 2267. The former delays compliance with the regulations of the Unlawful Internet Gambling Enforcement Act (UIGEA) by one year, while the latter establishes a comprehensive framework for licensing and regulating the industry in the United States. Bachus asserted, “I believe that internet gambling is, has been, and will continue to be a substantial threat to our youth. Any economic benefits from taxing internet gambling would be more than offset by the harm it causes young people.” He then sourced a New York Times Letter to the Editor from a mother lamenting her son’s turn to internet gambling.

Bachus expressed remorse that the regulations of the UIGEA had not been fully implemented, citing last week’s six-month delay of their compliance: “These regulations should have been finalized and implemented more than two years ago. The House voted by an overwhelming number to stop illegal internet gambling. Chairman [Frank], it’s time for you, the Treasury, and the Fed to stop delaying the will of the great majority of this Congress and the American people.

Bachus noted that the Treasury and Federal Reserve, who granted the six-month compliance reprieve, should have been a part of Thursday’s witness panel. The Alabama Congressman quoted a letter from the FBI he received in November stating, “The FBI warns that technology exists to manipulate online poker games. The FBI rejects claims from vendors that they can validate age and location.” Frank retorted that he had not received a request from Bachus for the Treasury or Federal Reserve to be present, but later recanted his statement, referencing an e-mail from the Ranking Member’s staff late Tuesday afternoon. Both agreed that the Federal Reserve and Treasury should testify at a future hearing.

Seven witnesses each spoke for about five minutes, offering different viewpoints on the issue. Robert Martin, Tribal Chairman of the Morongo Band of Mission Indians, noted that tribes were not consulted in the extension of the UIGEA deadline and “By following the law, we are now facing unfair competition because of these bills. Allow the regulatory scheme [currently in place] to protect what we have built.”

Parry Aftab, Executive Director of Wired Safety, candidly explained, “It’s ironic that I am sitting here today saying that the only way to protect consumers is by legalizing it. If we don’t legalize it, we can’t regulate it.” She referenced a study by Professor Malcolm Sparrow from the John F. Kennedy School of Government at Harvard University, who explained, “Legalization with regulation would provide U.S. authorities the power to grant or deny licenses.” He added that HR 2267 is an “adequate framework” in which to operate.

Keith Whyte, Executive Director for the National Council on Problem Gambling, remarked, “While participation in internet gambling by U.S. residents appeared to decline after the passage of the UIEGA, we did not see a decrease in indicators of gambling problems, such as help line calls.” A chart submitted by Whyte showed that help line calls instead gradually increased every year since 2006, when the UIGEA was approved.

Jim Dowling from the Dowling Advisory Group lent his insight into fraud, money laundering, and terrorism, while Mike Brodsky, Executive Chairman of YouBet.com, discussed the presumably legal online horse racing market. The legality of online horse racing was discussed at length, with Frank noting that the Department of Justice said it was against the law in 2006. Brodsky added that 88% of online horse racing wagers are transmitted across state lines electronically, which Frank also questioned the legality of.

Also speaking was Samuel Vallandingham, Chief Information Officer and Vice President for The First State Bank in West Virginia. Interestingly, Vallandingham was the only financial services industry representative present and explained, “The added burden [of enforcing the UIGEA] would drain our resources… The law doesn’t define unlawful internet gambling. As a result, the burden rests solely on financial institutions.”

After 90 minutes, the hearing adjourned, with Frank noting that the Committee would take up the issue again in 2010. No markup vote on HR 2266 or HR 2267 was scheduled.

PPA asks players to Tweet for Poker

The PPA launched "Tweet for Poker" yesterday and online poker supporters can go to the website, sign in and make an appeal for online poker to their Congressional representative in about 30 seconds.

"Poker players are online, they're active, and they're weighing in on the policy battles that impact their right to play," said PPA executive director John Pappas.

"Tweet for Poker is PPA's most instant and dynamic tool for our members to directly contact legislators in a way that engages the public in debate. We're proud of the instant success, and look forward to hearing what our elected officials think of the legislation and this new advocacy program."

The Tweets will support either Sen. Robert Menendez' pro-online poker bill in the Senate or Rep. Barney Frank's poker bill in the House. Users have the option of choosing whether they want Tweets sent to their respective Senator or House Representative.

The Twitter-based campaign is just the latest initiative the PPA has started with the intent of legalizing online poker.

This summer the PPA launched National Poker Week and collected over 375,000 signatures on a petition to President Obama asking for licensing and regulation of online poker.

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CNBC Closing Bell Tackles Internet Gambling

The Global Gaming Expo is currently unfolding from Las Vegas and, as part of its coverage of the event, CNBC’s “Closing Bell” aired a four-minute segment entitled, “Odds Favor Online Gambling?”

Two industry experts joined CNBC “Closing Bell” host Melissa Francis on Thursday, Andrew Parmentire of Height Analytics and David Katz, an Oppenheimer gaming analyst. The former began the discussion, which did not take in a debate form, but rather featured both parties agreeing that legalized internet gambling in the United States is inevitable. Parmentire explained, “Barney Frank has put a bill out there and the stars are lining up in a lot of ways. Harrah’s has shown that they have an online strategy, Congress and states are in desperate need for money, and $50 billion can offset a lot of social programs that Democrats are pushing these days.” The proposed health care initiative, for example, could come with a price tag approaching $1 trillion.

Katz told CNBC viewers, “Gambling in the U.S. has become a far more acceptable consumer product than it was five or ten years ago. That said, we really are much more focused on the publicly traded companies and that would be the brick-and-mortars like Harrah’s as well as the game providers and the technology companies that support those industries.” Katz added that Harrah’s has become a major proponent of licensing online gaming. The Las Vegas-based private company recently launched Harrah’s Interactive Entertainment (HIE), based on Montreal, to oversee its online brand, with former Party Gaming CEO Mitch Garber as its lead figure.

Harrah’s inked an agreement with 888, the parent company of Pacific Poker, to fill its online gaming needs. 888 is a publicly traded company in London, where it can be found under the same three-number acronym. Katz explained that with casinos slowly reaching their limits in the live space, the switch to the Web is inevitable: “If you go to the Bellagio, they have a couple of hundred seats to sit in, so there’s a physical constraint. If you look at the number of states out there that are considering legalizing gaming, they’re going down every year. There’s a finite opportunity for the brick-and-mortar guys to expand in the United States and at some point, they have to start thinking globally.”

The CNBC spot occurred about two weeks prior to December 1st, the date by which the financial services industry in the United States must fall into line with the Unlawful Internet Gambling Enforcement Act (UIGEA). The Poker Players Alliance (PPA), the industry’s main lobbying voice, issued a letter to Federal Reserve Chairman Ben Bernanke and U.S. Treasury Secretary Timothy Geithner to postpone the date by one year while effective legislation can be crafted. However, the two government officials have not yet responded.

The UIGEA was passed during the waning moments of the 2006 Congressional session at the direction of former Senate Majority Leader Bill Frist (D-TN). It was approved by a 3:1 margin in the House of Representatives and by unanimous consent in the Senate after being attached to the SAFE Port Act. The Third Circuit Court of Appeals recently ruled that the UIGEA did not in and of itself make any sort of internet gambling activity illegal. Instead, the legality of an online activity depends on a player’s jurisdiction. Parmentire candidly explained, “There is a lot of anger as to how this happened in 2006.” The PPA has expanded its membership from 50,000 in 2006 to over 1.2 million today.

Concurrently with the Global Gaming Expo, 2009 World Series of Poker (WSOP) Main Event champion Joe Cada, who represents the online poker room PokerStars, has spread goodwill by appearing on mainstream outlets like the “Late Show with David Letterman,” ESPN’s “SportsCenter,” and USA Today. Cada, an online poker pro, became the youngest winner of the $10,000 buy-in tournament ever at age 21, breaking Peter Eastgate’s record of 22 years-old set in 2008.

Poker News in Brief: Oct. 26-Nov. 1, 2009

Of course not every piece of poker news makes it to the front page of PokerListings.com, which is why we've compiled a list of lesser-known stories below as part of our ongoing Poker News in Brief feature.

This week we'll take a look at yet another PokerStars heads-up style TV show, a former ladies champion suing the WSOP, new features on the CEREUS poker network and more.

PokerStars introduces new ((UK poker)) TV show

UK poker fans will get a crack at Team PokerStars Pros and sporting celebrities as part of a new poker TV show on Sky Sports 2 airing this November.

The PokerStars.com Bounty Stars of Poker will see contestants compete against each other for a chance to play a best-of-three heads-up match against a poker pro or a sporting celebrity. Contestants won't know who they are playing until they take their seat.

If a player manages to win their best-of-three match they will win a £5,000 cash prize.

Poker pros taking part include 2008 World Champion Peter Eastgate, EPT London winner Victoria Coren and the illustrious Marcel "Flying Dutchman" Luske.

The sports celebrities include ex-England test cricketer Phil Tufnell, English rugby star Mike Tindall and Welsh football legend Gary Speed.

"This is an excellent opportunity for previously unknown poker players to make a name for themselves and play against some of the best in the business," said Team PokerStars Pro Coren.

PokerStars.com sponsors several TV shows around the globe with Daniel Negreanu's Million Dollar Challenge in the U.S. and Joe Hachem's The Poker Star in Australia.

Study finds U.S. could generate $41 billion from legalizing internet gambling

A new study released by Rep. Jim McDermott this week estimates the U.S. government would generate more than $41 billion over the next decade by taxing online poker.

The study was performed by the Joint Committee on Taxation and McDermott said the revenue could go to critical social and economic recovery programs.

"I suspect that many of my colleagues, especially those on the fence, will take more interest in this issue once they see $41 billion available that they can match up with any number of worthy programs," said Rep. McDermott.

"I suspect it's only a matter of time before Congress appropriately moves to regulate the industry in order to protect consumers and reverse the flow of billions of dollars currently lost offshore as Americans gamble billions online despite attempts to prohibit the activity."

Both Rep. McDermott and Rep. Barney Frank have introduced bills that would legalize online poker. Frank's bill currently has 62 co-signers.

New features on the CEREUS poker network

UltimateBet and Absolute Poker players will benefit from synchronized tournament breaks and a new raising feature thanks to a recent software update.

Both sites run on the CEREUS poker network and the latest update will give multi-table tournament players a synchronized break at the 55th minute of every hour.

That means players involved in multiple tournaments will finally be able to step away from their computers at least once an hour.

In addition, players will be able to utilize a new "RAISE TO" button, which should significantly speed up the betting process on both Absolute and UltimateBet.

Sally Ann Boyer sues WSOP Academy

WSOP bracelet winner Sally Ann Boyer is suing the WSOP Academy for allegedly using her name and image in advertisements without her permission.

Boyer won the 2007 WSOP Ladies event for $262,077 and was subsequently featured in ads by the WSOP Academy that featured a picture of Boyer calling her a graduate of the program and a tagline that read, "The quickest way to a WSOP bracelet."

Boyer is seeking unspecified damages and recovery of the profits earned from using her name.

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Internet Gambling Revenue Analysis Released by Joint Committee on Taxation

Today, Congressman Jim McDermott (D-WA) released a study by the Joint Committee on Taxation (JCT) revealing that up to $41 billion could be generated by regulating and taxing the internet gambling industry over a 10-year period.

This is one of several studies to be released by various outfits, but is the first to be handed down by an agency of the United States Government. On the importance of the JCT’s findings, McDermott commented in a press release distributed on Thursday, “I suspect that many of my colleagues… will take more interest in this issue once they see $41 billion available that they can match up with any number of worthy programs.” Being debated on Capitol Hill is major health care reform, one social program that could conceivably be funded through internet gambling.

McDermott continued, “I would suspect it’s only a matter of time before Congress appropriately moves to regulate the industry in order to protect consumers and reverse the flow of billions of dollars currently lost offshore as Americans gamble billions online despite attempts to prohibit the activity.” In May, the Washington Congressman unveiled HR 2268, the Internet Gambling Regulation and Tax Enforcement Act. The measure imposes a fee of 2% of deposits on licensed internet gambling operators.

HR 2268 is a companion bill to Congressman Barney Frank’s HR 2267, which establishes a comprehensive framework for companies to solicit U.S. customers. The two bills were introduced on the same day and HR 2267 is up to 62 cosponsors on both sides of the political spectrum. Safe and Secure Internet Gambling Initiative (SSIGI) spokesperson Michael Waxman told Poker News Daily, “This is a very significant development in support of the push to regulate the industry. We would expect that there will be more conversation and more interest in internet gambling regulations as Congress is attempting to figure out funding for health care and other various programs.”

Today, Democrats in Congress unleashed health care reform that comes with a price tag of nearly $900 billion. While not able to cover the full amount, legalizing internet gambling could, in theory, put a dent in the price tag. The JCT’s analysis does not include online sports betting, which is barred in Frank’s legislation. Moreover, the findings assume that states will not opt out of HR 2267. A February study by the U.S.-based firm PricewaterhouseCoopers revealed that up to $52 billion could be raised by taxing internet gambling companies over a 10-year period.

On the significance of a $4 billion per year revenue stream when programs like health care run over 200 times that total, Interactive Media Entertainment and Gaming Association (iMEGA) Chairman Joe Brennan explained, “It’s realistic to see it packaged with a number of revenue enhancers. As a standalone, in my opinion, it’s not enough money to be able to get people off the mark who have been against this in the near-term.”

Information released today by the SSIGI noted that Frank planned to hold a markup hearing on HR 2267, but the House Financial Services Committee has released no official information. For the balance of the week, Frank’s committee will be bogged down in discussion of systematic regulation, overdraft protection, and investor protection. The grizzly state of the U.S. economy has been the committee’s main focus since September of 2008.

Frank has also introduced HR 2266, the Reasonable Prudence in Regulation Act. The measure delays industry compliance with the regulations of the Unlawful Internet Gambling Enforcement Act (UIGEA) by one year. As it stands, the financial services industry in the United States must come into full compliance with the 2006 law by December 1st, which is just five weeks away. The Poker Players Alliance (PPA), the industry’s main lobbying force, has been working feverishly to delay the deadline through other means, including appealing directly to U.S. Treasury Secretary Timothy Geithner and Federal Reserve Chairman Ben Bernanke.

The JCT study assumes that wagering taxes will be levied and that HR 2267 will be amended so that internet gambling companies doing business in the United States must also be incorporated in the United States. Read the full internet gambling study.

Stay tuned to Poker News Daily for the latest news from Capitol Hill.

Poker News in Brief: Sept. 21-27

But despite the focus on London there was even more going in the poker world with Jamie Gold having more legal troubles and Yevgeniy Timoshenko taking down yet another major tournament by winning the WCOOP Main Event.

Of course there's always even more going on behind the scenes that doesn't necessarily make it to the front page of PokerListings.com. Fortunately, as part of our ongoing Poker News in Brief feature we've collected a list of those stories below.

This week we'll take a look at the death of a Las Vegas legend, Phil Hellmuth taking a shot at the WSOP, PokerStars potentially adding an online division to their team and poker in politics.

Wyden pulls online gaming amendment

It didn't take long for Senator Ron Wyden to change his mind about a possible amendment that would have seen legalized online gambling revenues go towards healthcare reform in the U.S.

Barely one week after proposing the amendment, Wyden opted to pull it from the table deciding he didn't want to add another controversial issue to the healthcare debate.

Wyden's bill had already gained support from Rep. Jim McDermott, Rep. Barney Frank and Internet gambling advocacy groups like the Safe and Secure Internet Gambling Initiative.

Las Vegas Icon Bob Stupak dies at 67

Bob Stupak, builder of the Stratosphere and a WSOP bracelet winner, died at Desert Springs Hospital on Thursday after a long battle with leukemia.

Stupak was one of the earliest visionaries in Las Vegas and was also responsible for creating Las Vegas world in 1974.

"Bob Stupak was a true visionary and he will be sorely missed," said a statement from the Stratosphere.

Puggy Pearson taught Stupak to play poker and in 1989, Stupak won a WSOP bracelet in the $5,000 Deuce-to-Seven event. Stupak also made the final table of the 2003 WPT's L.A. Poker Classic and put in an appearance on the GSN series High Stakes Poker.

Phil Hellmuth takes shot at WSOP

Phil Hellmuth is arguably the WSOP's most successful player with 11 bracelets, but the UltimateBet pro is hinting he might not play the series if Harrah's opens its own online poker room.

In an appearance on the Hardcore Poker Show, Hellmuth mentioned he thought there was a potential battle brewing between Harrah's and established online rooms like UltimateBet, PokerStars and Full Tilt Poker.

Hellmuth went on to say that if Harrah's decided to restrict competing poker room logos from its competitions there was a possibility that all the players from the major sites would form their own WSOP-style event.

PokerStars adding Online Pro division?

It appears that PokerStars will be adding a primarily online section of its Team Pro roster.

The employee that runs the official PokerStars twitter account tweeted the following Friday:

"Team PokerStars Online Pro is a new branch of our team who'll be playing mainly online not live. Anyone will be able to apply in due course."

Team PokerStars Pro Daniel Negreanu re-Tweeted the message.

PokerStars already has some very respectable online players with Bertrand "ElkY" Grospellier, Jason "treysfull21" Mercier and Hevad "RaiNKhaN" Khan all in the Team PokerStars Pro fold.

Bobb Barr speaks out on Internet Gambling

Former House Representative Bob Barr is the latest public figure to comment on the state of online gambling in his Atlanta Journal-Constitution column - the Barr Code.

Barr mentioned that the potentially revenue generated from legalizing, regulating and taxing online poker was becoming harder for the government to ignore.

Barr went on to say it was very likely that Barney Frank's pro-online gambling bill would go before a hearing this fall.

Earlier this year, conservative columnist George Will wrote in his Washington Post column that he supported the legalization of online poker.

Harrah's extends contract with IMG Sports & Entertainment

Harrah's Interactive Entertainment and IMG Sports & Entertainment announced a four-year contract extension for global representation of the WSOP property this week.

According to the agreement, IMG will continue to use its international network to help establish the brand in areas beyond Las Vegas and London.

"We are looking to emphasize the 'World' in World Series of Poker as our vision of the brand extends beyond the annual events in Las Vegas and London," said Mitch Garber, CEO of Harrah's Interactive Entertainment.

"By tapping the global reach and expertise of IMG, we are confident that together we can take the brand to new levels on the international stage through new international bracelet events and other WSOP licensed poker events."

IMG has worked with the WSOP since 2005 and helped attract corporate sponsors like Jack Link's, Hershey's and Planters.

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Poker News in Brief: Sept. 14-20, 2009

The tournament series dominated the news with Annette_15 turning 21, J.P. Kelly taking the early lead in the first event and Anestis Metsas winning $1 million in a Betfair freeroll.

Of course, there's always more going on behind the scenes that doesn't necessary make it to the front page of PL.com.

As part of our ongoing Poker News in Brief feature we've compiled a list of these stories below. This week we'll take a look at a man taking first in a female event, an online player taking down his second WCOOP event, record numbers at the Commerce Casino and more.

Man wins women's poker tournament

It's story that is becoming more and more frequent in the poker world. Men are entering women-only poker tournaments.

This week, Abraham Korotki of New Jersey entered the Ladies Event at the Borgata Poker Open and, after outlasting 268 women, took down the event for $20,982.

Korotki was able to enter the tournament because organizers are not allowed to exclude players based on gender.

Nicole Rowe finished in second place for $11,889 to become the last woman standing in a ladies event. Rowe was recently diagnosed with breast cancer.

Korotki allegedly offered to donate some of the money to a breast cancer foundation, but an exact amount wasn't given.

In 2007, former baseball player Jose Canseco entered a ladies event at the Bicycle Casino and recently a man filed a discriminatory lawsuit against Hollywood Park Casino because its poker room offered a ladies-only event.

g0lfa drives his way to two WCOOP titles

Ryan "g0lfa" D'Angelo proved that lightning can strike twice by winning his second WCOOP title this week.

D'Angelo outlasted 1,406 players to take first place and $69,245 in the $320 PLH/PLO event on Tuesday.

In winning his second bracelet of the online series, D'Angelo rocketed to the top of the 2009 WCOOP leaderboards with 220 points. George Danzer is the closest competition with 190 points.

D'Angelo also upped his total winnings in the 2009 WCOOP up to $120,782.

Commerce Casino event draws nearly 4,000

Say what you will about the economy, but poker tournaments are still booming in California.

A total of 3,967 bought into the $220 No-Limit Hold'em event at Commerce Casino this week, the first tournament of its Hold'em series. It was enough to create the largest land-based poker tournament in history outside of the WSOP.

Los Angeles-based player Moshe Mashiah outlasted everyone to take down a $164,627 first-place prize. But according to tournament director Matt Savage, the last 10 players actually chopped for $45,000 each.

The Commerce Casino Hold'em Series is currently in full swing with the $2,580 main event scheduled to take place this coming Friday.

SSIGI introduces new pro-online gambling ads

The Safe and Secure Internet Gambling Initiative went on the offensive this week with a new ad campaign aimed at legalizing online poker.

One of the ads featured a photograph of the prohibition era in the U.S. with the tagline, "End Prohibition! Again."

The ads were in support of Rep. Barney Frank's Internet Gambling Regulation Consumer Protection and Enforcement Act of 2009 (H.R. 2267).

"As Congress searches for ways to pay for health care reform and other worthy programs, it should end the unsuccessful prohibition of Internet gambling and start collecting taxes on the billions in revenue currently lost to unlicensed, offshore gambling operators," said Jeffrey Sandman, spokesperson for the Safe and Secure Internet Gambling Initiative.

((Full Tilt)) goes with new data expert

Full Tilt Poker is already known as one of the most secure poker sites on the web, but this week it added to that reputation.

FTP announced it would be using Aster Data for fraud detection and analytics. The goal is to provide better customer service to players, more security and manage increasing data volumes.

Full Tilt will also use Aster to fuel customer access to hand history data, meaning players will be able to learn more about how they play.

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Legal Online Poker’s Biggest Obstacle: Nanny Democrats

One might think that when Republicans suffered much-deserved humiliation in the last general election, the notorious Unlawful Internet Gambling Enforcement Act (UIEGA) would soon be history.  Remember, it was back in 2006 that Senate Republican leadership effectively guillotined the “Moneymaker Effect.”  Whatever one’s views are on other worldly issues, the popular perception within the poker community was that Democratic political gains would be very good for players.

With Democrats now in complete control of all branches of the Federal Government, we can no longer limit our anger and disappointment to those musty old Republicans.  Indeed, trampling on the rights of poker players now appears to cut across party lines.  While Senator Jon Kyl (R-AZ), Representative Bob Goodlatte (R-VA), and Representative Frank Wolfe (R-VA) continue to merit our universal contempt, the sad fact is that the “out-of-touch brigade” now has plenty of company on the other side of the partisan aisle.

Consider the positions of many powerful Democrats.  The fact is that many national Democratic leaders happen to be women from western states.  Virtually all of these influential Democratic women are opposed to overturning the UIEGA.  In other words, these proud liberals march lock and step with the most repulsive elements of the religious right.  These same Democratic women champion countless progressive causes and wouldn’t agree with the likes of Kyl, Goodlatte, or Wolfe on anything except, peculiarly enough, smothering the freedoms of millions of American citizens who want to play online poker.  These Democrats are just as bad as the Republicans.

For your displeasure, here’s a list of the guilty:

Representative Nancy Pelosi (D-CA) – The Speaker of the House has repeatedly stated that she is dead-set against any expansion of gambling.  She remains stubbornly opposed to legalizing poker on the internet because a family member reportedly once had a gambling problem.  Pelosi may be the worst House Speaker in my lifetime (note that this opinion comes from an avowed political liberal), but her powerful influence on introducing bills and the legislative process unquestionably remains the biggest obstacle to overturning the UIEGA.

Senator Diane Feinstein (D-CA) – The senior U.S. Senator from California recently demonstrated her appalling confusion on the issue of internet gambling.  Consider her response to a constituent in a published letter.  She wrote, “Internet gambling has become too easily accessible to minors, subject to fraud and criminal misuse, and too easily used as a tool to evade State gambling laws.” Aren’t these the very reasons we desperately need legalization, licensing, and regulation of online gambling?

Senator Barbara Boxer (D-CA) – It’s unclear precisely why Senator Boxer remains strictly opposed to online poker.  Unlike her contemporaries Pelosi and Feinstein, Boxer has not widely expressed her views on the subject other than making her opposition known.  However, California’s junior Senator has backed major initiatives on behalf of tribal resorts.  Perhaps tribal opposition to legalized online poker (the Pachanga Tribe, for example) has influenced her position.

Representative Maxine Waters (D-CA) – Oddly enough, Representative Waters represents a Congressional district in Los Angeles that has reaped enormous financial rewards for various municipal projects directly from casino tax revenues.  Hollywood Park is located within her district.  Waters’ opposition to online poker and internet gambling appears to be based on her view that gambling activities disproportionally harm poor people.  That said, to date there has been no word from Waters’ office as to when she plans to start fighting to dismantle the California State Lottery.

Governor Christine Gregoire (D-WA) – This politician is guilty of supporting and ultimately signing into law the most draconian sanctions against poker in more than a century.  It’s eerily reminiscent of what many Southern states did in the 1830s when gamblers were rounded up and hanged publicly.  Gregoire made Washington the first state in the nation to make gambling on the internet a Class C felony (contrary to the opinion of many courts, poker is considered gambling in Washington state).  A poker player living in Seattle or Tacoma is risking far more than a few dollars when he or she plays online.  Thanks to the Governor, the poker playing vermin could very well receive the same punishment doled out to child molesters and drunk drivers.

For far too long, groups like the Poker Players Alliance (PPA) believe they can win the political debate with simple logic.  Sure, our argument is better than their argument and most rational people would agree after listing to a five-minute exchange, but this isn’t a high school debate class.  It’s a political street fight versus powerful forces camped out on both the right and the left.  Until the PPA rolls up its sleeves and dives into the trenches with an all-out media bombardment aimed directly at the oblivious mainstream voter, nothing is going to change.  Sure, we might sway a few Ivy League professors and political columnists from time to time.  A few poker players might get five minutes of airtime on MSNBC or FOX.  That’s all good, but online poker is not going to be legalized and regulated in the United States until some significant changes in strategy take place.

The first rule of politics is that “right” and “wrong” have little to do with any issue of significance.  The debate you see on C-SPAN is pretty much scripted and irrelevant.  No Congressman or Senator is swayed one way or the other on any legislation without either coercion or compromise.

Indeed, Washington is nothing more than a gigantic power plant fueled by the only lubricant of any real action – money.  Lots of money.  Whatever your political views may be, I strongly advise against poker players donating money to national party organizations.  If you support a political candidate, donate to the person directly and not to the Democratic National Committee or to the Republican National Committee.  If you make a donation to either of these organizations, there’s a good chance some of your money is going to be funneled into the re-election campaigns of Kyl and Pelosi.  Just say no.

WSOP edges closer to online poker with 888 deal

Harrah's Interactive Entertainment and 888 Holdings reached an agreement where 888's Dragonfish division will provide online poker and casino software to Harrah's as it attempts to enter the online gaming market.

"The intent is to be in the online gaming space, wherever it's legal," said WSOP Communications Director Seth Palansky. "We've partnered with 888 to develop a platform."

No timeline was given for Harrah's online launch, but it was confirmed that both the WSOP and Caesars Casino brands will have an online presence. In addition, Dragonfish will also provide ePayments, VIP services and Customer Service to help develop both brands.

888 Holdings is a major player in the online gaming market in Europe, but not as well-known in the U.S. after pulling out of the market when the Unlawful Internet Gambling Enforcement Act (UIGEA) was passed in 2006.

Although the 888.com website offers no games, it acts as a portal to popular gaming sites like Pacific Poker, 888sport (sports betting) and Reef Club Casino.

"This is a ground breaking deal for 888.com and demonstrates our ability to provide real value to globally renowned, land-based casinos and their leading brands," said Gigi Levy, CEO of 888.

It remains to be seen if the WSOP having an online presence would be a conflict of interest with live event sponsors like Everest Poker and Betfair Poker.

Palansky didn't see it becoming an issue.

"I really don't think there's anything for anybody to worry about," he said. "The WSOP will remain a premier live poker destination. Our offline events are great opportunities for our sponsors.

"If all this goes through and we do develop an online gaming site then we would be competing in some of the same markets. We would still have relationships with the other sites, however."

Mitch Garber, the CEO of Harrah's Interactive Entertainment, went into more detail about why they decided to go with 888.

"As we develop and roll out our interactive strategy, we have chosen to work with 888, primarily for their world-class technology, scalability and strong commitment to compliance and responsible gaming," said Garber.

The announcement of the joint effort between Harrah's and 888 comes just as the U.S. appears to be warming up to the idea of legalizing and regulating online poker.

An article by conservative columnist George Will appeared in the Washington Post calling for the legalization and Barney Frank's pro-online poker bill HR 2267 is scheduled for a hearing in September.

Palansky said it wasn't a factor in the deal, however.

"Harrah's has been looking into this for years," he said. "We just felt the timing was right for us to start exploring our options.

"Obviously we are hopeful the U.S. government will recognize that - like our brick and mortar gaming establishments - online poker can be regulated, taxed and run with the utmost confidence.

"If that happens, great, if not we'll focus on other markets."

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California Intrastate Online Poker Update

Recently in California, the Morongo Band of Mission Indians presented a bill calling for the legalization of online poker in the state, according to the Capitol Weekly news publication. Poker News Daily sat down with Poker Voters of America (PVA) Executive Director Melanie Brenner to get the organization’s reaction.

Capitol Weekly explained the Indian tribe’s proposal, which could mark the first step towards intrastate online poker. The draft bill would “create a centralized, online poker website they would offer to online customers within California’s borders. The consortium would have an exclusive right to offer online poker, but all California Indian tribes and card clubs would be eligible to be members.” California finds itself stuck in an ongoing budget crisis, adding momentum to the Morongo proposal for increased revenues.

In response to the submission, State Senator Darrell Steinberg claimed that the bill should not be discussed in the waning days of the 2009 Congressional session. Now, the PVA has embarked on a mission to formulate a ballpark revenue figure that the State of California would realize should it choose to allow online poker. The news outlet quoted a study done of over 800 voters in August that showed that 61% of voters opposed legalizing online poker in California. This amid brick-and-mortar card rooms sprinkled throughout the state, including the Bicycle Casino and Commerce Casino in Southern California. The former is fresh off hosting the World Poker Tour’s (WPT) Legends of Poker.

Brenner, who is also spearheading an effort to legalize and regulate the game in Florida and elsewhere throughout the United States, explained her position.

Poker News Daily: We’ve seen headlines like “Online poker suffers setback in California” in response to State Senator Steinberg’s remarks. Can you give us your reaction?

Brenner: This has been one of the best things that has happened to the PVA in the last couple of weeks. I want to open a bottle of champagne. What I think you’re seeing is a part of the political process. There are so many different parts to the process. One of the biggest challenges in California has been the opposition of the tribes not wanting online poker. One of the tribes now wants to run an online poker site. That’s a huge breakthrough.

PND: Have you been in discussion with the Morongo Tribe and others in California?

Brenner: Our plan was to have educational outreach to the tribe. When the Morongo Tribe announced this, we knew that the tribes had been starting to understand what we were saying. However, they jumped the gun a bit and hadn’t worked out all of the details.

PND: What was the feedback you received from lawmakers in Sacramento?

Brenner: The feedback was that there are way too many blanks to put this through. They have a three-week session that started last week. The Senate President said that they have too much on their plates and there isn’t enough here for them to tackle it now.

PND: What financial figures did the Morongo Tribe intend to use?

Brenner: They are using numbers from the Commerce Casino earlier in the year. We are familiar with the study and saw it, but aren’t quite comfortable with the credibility of the numbers.

PND: Will we see legalized intrastate online poker in California in 2009?

Brenner: From a political insider’s perspective, you can never say never. These are crazy times, but it’s very doubtful.

PND: Give us an update on your Florida endeavors.

Brenner: Things are going well, but nothing is happening right now. We’re on track and our timeline is to introduce legislation during the 2010 session.

Jim Tabilio Leaves Poker Voters of America

With the organization growing leaps and bounds, Jim Tabilio has left his post after founding the Poker Voters of America, an advocacy group that promotes protection of online poker players in California and around the United States.

Tabilio founded Poker Voters of America two years ago. He was well-suited for the role, having served as a poker player and political consultant. Now, Melanie Brenner has assumed the role of Executive Director and told Poker News Daily why Tabilio stepped down: “Jim has a family and is at a point in his life where he has other things he wants to do. This has been extremely time consuming, especially when the decision was made that we could do this in other states. It was a unique opportunity since states are looking for revenue.” Tabilio will remain on in an advisory role.

California is one of many states actively searching for new forms of revenue in the wake of budget shortfalls caused by a severe economic downturn. Brenner explained what could occur: “There are going to be big budget shortfalls that may make a lot of the challenges against legalized online poker evaporate. When you’re able to say to a legislator that it’s about revenue, they know the state needs it. You’re spending millions of dollars protecting live poker players, but there are a lot of other players not being protected online.” Brenner noted that she expects movement towards legalized and regulated intrastate poker in California in the near future.

According to eGaming Review and H2 Gambling Capital, legalizing intrastate online poker in California could generate $250 million per year for 10 years and $625 million per year after that. Brenner added that Poker Voters of America is also hard at work in Florida pushing for intrastate online poker. As such, she is constantly traveling back and forth to promote the organization’s agenda. Brenner explained, “The biggest pushback we get is that legalizing online poker is just the tip of the iceberg. With that kind of mentality, nothing gets done.”

During National Poker Week, over 30 State Directors of the Poker Players Alliance (PPA) and a handful of the game’s elite descended on Capitol Hill in Washington, DC to call for the legalization and regulation of online poker in the United States. Poker News Daily was also on the scene in the nation’s capital. Several obstacles we ran into were Congressmen and their staffers not understanding how to play online poker, what safeguards are in effect to combat underage and problem gambling, and how deposits and cashouts work. Brenner told Poker News Daily, “The major challenge hasn’t been on the legislative side, it’s been educating the stakeholders on how online poker works. It’s been fascinating talking with legislators about online poker.”

In addition to California and Florida, the Poker Voters of America is directing its attention towards New York, New Jersey, Pennsylvania, and Louisiana. In each case, local casinos would likely be able to open their own online poker rooms, although Brenner noted that several are apprehensive for fear that it will cannibalize their live business. The Bicycle Casino in Bell Gardens, California is set to play host to the World Poker Tour’s (WPT) Legends of Poker Main Event on August 22nd. The $10,000 buy-in tournament will crown a champion four days later. In February, the WPT returns to the state for the Commerce Casino’s L.A. Poker Classic. A Celebrity Invitational follows the $10,000 buy-in event.

Membership to the Poker Voters of America is free and requires a person’s first name, last name, e-mail address, and mailing address. Becoming a part of the PPA is also free, although a premium membership is available for $20 per year.

Senator Robert Menendez Introduces S 1597 Legalizing Online Poker

On Thursday, Senator Robert Menendez (D-NJ) officially unveiled S 1597, the Internet Poker and Games of Skill Regulation, Consumer Protection, and Enforcement Act. Congress remains on recess until after Labor Day in the United States.

As its name implies, Menendez’s legislation explicitly legalizes and regulates games of skill like online poker, which should come as a welcome sign to players in the United States who question the legality of the game. The bill notes that poker, bridge, mahjong, backgammon, and chess are examples of games in which a player’s skill dominates the outcome: “While each of these games contains an element of chance, over any substantial interval, a player’s ultimate success is determined by that player’s relative level of skill.” Menendez’s measure weighs in at a hefty 89 pages.

The bill focuses heavily on online poker, noting, “Poker is part of the cultural and recreational fabric of the United States and has been since the founding days of the United States. United States poker aficionados have included presidents, judges, and statesmen.” S 1597 calls for the continuance of laws against sports betting online in a similar fashion to Congressman Barney Frank’s (D-MA) HR 2267, which establishes a complete licensing and regulatory framework for the internet gambling industry in the United States. HR 2267 was introduced exactly three months ago and is up to 54 co-sponsors.

The Secretary of the Treasury is responsible for overseeing the licensing process for skill game operators and prescribing regulations. Each applicant for a license must submit a comprehensive financial background, an outline of the company’s structure and that of its affiliates, criminal and credit histories of executives, and how each licensee plans to combat underage gambling and compulsive gambling. In addition, they must convey how the games offered will be fair. All gamblers must be at least 21 years-old.

Licenses run for five years and can be renewed at the end of each term. Like other recent internet gambling legislation, Menendez’s S 1597 calls for a list of “persons self-excluded from gaming activities at all licensee sites.” States have a period of 90 days to opt out of the legislation after it becomes law; Indian tribes can also exempt themselves from the bill. S 1597 addresses problem gambling, allocating $14.2 million per year between 2010 and 2014 for awareness, treatment, and research.

S 1597 clearly states, “Nothing… shall be construed to repeal or amend any provision of State or Federal law prohibiting, restricting, or otherwise addressing bets or wagers on sporting events.” Professional sports leagues like the NFL have expressed a desire for Frank’s HR 2267 to contain clearer language outlawing sports betting. During a working dinner as part of National Poker Week, the Poker Players Alliance (PPA) claimed it was part of a “broad coalition” that included the NFL.

The Federal Government and State Governments will each reap 5% of a licensee’s deposits during each calendar month in taxes. Unauthorized gambling is subject to a 50% fee. Menendez’s S 1597 is similar in scope to last session’s S 3616, the Internet Skill Game Licensing and Control Act. However, Thursday’s version focuses on consumer protections. The PPA reviewed a draft of the bill in mid-July with what the organization called a “commitment” from Menendez to introduce it. The online poker measure was scheduled to be released before August 1st. However, it was ultimately revealed to the world on Thursday.

The 1.2 million member strong PPA will likely push its members to call their Senators and urge support of Menendez’s S 1597. As of the time of writing, no companion bill exists in the House of Representatives. Frank’s HR 2267 encompasses all forms of internet gambling except sports betting, whereas Menendez’s only legalizes games of skill. Congressman Robert Wexler (D-FL) introduced the Skill Game Protection Act (HR 2610) during the last Congressional session. It exempted player versus player games from internet gambling law, including the Wire Act of 1961 and Unlawful Internet Gambling Enforcement Act (UIGEA).

The PPA had not released an official statement on S 1597 as of press time. We’ll have full industry reaction to Menendez’s online poker legislation on Poker News Daily.

Senator Menendez to Introduce Online Poker Legislation on Thursday

In breaking news from Capitol Hill, Senator Robert Menendez (D-NJ) will introduce legislation to license and regulate online poker in the United States on Thursday, according to Dow Jones Newswires.

During National Poker Week, which occurred from July 19th to 25th, it was revealed that Menendez would likely drop legislation during the festivities or the following week. Then, Poker News Daily learned that a bill similar to last Congressional session’s S 3616 would likely be introduced this week. Poker Players Alliance (PPA) Executive Director John Pappas stated during a working dinner to open National Poker Week, “Pushing poker will be an immediate lift and will be easier than [legalizing] other things.” He also reminded over 30 of the PPA’s State Directors, a handful of poker pros, and media in attendance, “Poker has always been played in people’s homes. We are the Poker Players Alliance. We aren’t the Roulette Alliance. We love the Menendez bill because it focuses on our core beliefs.”

The PPA had a draft of the bill in mid-July. Menendez’s S 3616 was introduced last September and dubbed the Internet Skill Game Licensing and Control Act. The bill’s definitions specifically included online poker, explicitly legalizing the game in the United States: “The term ‘Internet skill game’ means an Internet-based game that uses simulated cards, dice, or tiles in which success is predominantly determined by the skill of the players, including poker, bridge, and mahjong.” The bill called for the legalization of skill games not backed by the house, meaning that the action was primarily player versus player. Online poker rooms like PokerStars and Full Tilt Poker raise revenue by taking a percent of each pot or tournament buy-in, dubbed the “juice” or “rake.”

In order to apply for a license to operate a skill game online and solicit customers from the United States, complete financial information was required. Also required were an outline of an organization’s corporate structure and the “names of all persons directly or indirectly interested in the business of the applicant and the nature of such interest.” Background checks of individuals and directors associated with each licensee would have been conducted and betting on sports was specifically prohibited. S 3616 vanished from the record after the 110th Congress adjourned.

According to the PPA, the legislation to be introduced by Menendez on Thursday will be similar to S 3616. The Dow Jones report notes, “It would establish a regulatory framework that would allow online poker companies to register in the U.S.” A 10% tax on deposits would be added, 5% to State Governments and 5% to the Federal Government. During the last Congressional session, Congressman Robert Wexler introduced a similar measure in HR 2610, the Skill Game Protection Act, which exempted poker and other skill games from existing internet gambling legislation.

At the beginning of May, Congressman Barney Frank (D-MA) introduced HR 2266, which would delay industry compliance with the Unlawful Internet Gambling Enforcement Act (UIGEA) by one year to December 1st, 2010. In addition, the Massachusetts lawmaker unveiled HR 2267, which establishes a comprehensive licensing and regulatory framework for the internet gambling industry in the United States. HR 2267 currently boasts 54 co-sponsors, while HR 2266 has 35.

We’ll have full details on Menendez’s new Senate bill as soon as it’s released right here on Poker News Daily.