Congress to Take Testimony on Internet Gambling Ban - New York Times Blogs

The Unlawful Internet Gambling Enforcement Act of 2006 made it illegal for banks and other financial institutions to process online wagers. The goal was to find an indirect way to regulate offshore casinos, which are outside the jurisdiction of American law enforcement. In short: the casinos are out of reach, but not the banks in the United States that process their transactions.

The question now is whether the banks are capable of stopping the transactions. That is the topic of a hearing scheduled for Wednesday in front of a subcommittee of the House Committee on Financial Services.

It’s a hearing that has, perhaps not surprisingly, an interesting political subtext. But first, a bit of background.

Read more of this online gambling article here...