The real reason behind the state administrations’ sudden ferocity in vocalizing their concerns to Attorney General Jeff Sessions on the subject of online gambling is much more political.
No state wants to see the federal government interfering in matters that their respective administrations are best equipped to handle. Regardless of their stance on online gambling, National Governors Association did not go easy with words as they sent an extremely passionate, probably unnecessary, letter to the office of Attorney General Jeff Sessions earlier this month. The letter read as follows:
Dear Attorney General Sessions:
“The nation’s governors are concerned with legislative or administrative actions that would ban online Internet gaming and Internet lottery sales.
The regulation of gaming has historically been addressed by the states. While individual governors have different views about offering gaming—in a variety of forms—within their own states, we agree that decisions at the federal level that affect state regulatory authority should not be made unilaterally without state input. A strong, cooperative relationship between the states and federal government is vital to best serve the interests of all citizens.
As you review this issue, we encourage you to take note of the current regulatory mechanisms put in place by the states to ensure that consumers and children are protected, and that licensees comply with strict standards of conduct. States are best equipped to regulate and enforce online gaming. A ban drives this activity offshore to unregulated jurisdictions, out of the reach of state and federal law enforcement and with risk to consumers.”
“The nation’s governors stand ready to discuss this issue with you further”
But why the sudden ferocity? Turns out AG Sessions said some pretty damning things about online gambling in his confirmation hearing earlier this year when Senator Lindsey Graham inquired Sessions as to his opinion on the application of the Wire Act on online gambling.
In the year 2011, the Department of Justice released a memo that said that the Wire Act of 1961 applied only to sports betting and not online gambling. Sessions, in his hearing, confirmed that he very much opposed the DOJ’s decision at the time of the enactment, and would likely revisit the issue in future after careful research. (READ SO 10 STATE ATTORNEY GENERALS SUPPORT THE FORBIDDANCE OF ONLINE POKER IN EE. UU)
