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CALIFORNIAN ENTREPRENEURS TEST ONLINE GAMBLING LAW

10/09/2012 :  CALIFORNIAN ENTREPRENEURS TEST ONLINE GAMBLING LAW
 
"Playing for something of value is illegal," says Attorney General's spokesman
 
Californian entrepreneurs Sean Stavropoulos and Jonathan Aiwazian could be about to test Californian law on online poker. The duo's recently launched online poker site Cafrino.com is the subject of the state Attorney General's scrutiny, although it does not require players to bet money or pay a subscription fee.
 
According to the Ventura County Star newspaper, Cafrino.com represents a novel test of California's online gambling laws, and opinions are mixed on whether it will pass legal muster.
 
A spokeswoman for Attorney General Kamala Harris said the state statute pertaining to online poker generally says "playing for something of value is illegal."
 
However, Aiwazian thinks the site is operating legally.
 
"The reason we are legal is we are not a gambling site," he said, adding that money generated from advertising revenue is what's paid to players, who don't have to make any payments.
 
And Cafrino.com's New York-based lawyer, Adam Solomon, describes the site as "a lawfully structured sweepstakes."
 
Cafrino has attracted around $300,000 in financing from Kayweb Angels LLC in New York and went live on September 10, operating and marketing from Southern California. Media company LiveRail is partnering with Cafrino.com to provide advertising.
 
"It's done a lot better than we anticipated," Aiwazian told the Ventura County Star. "We're on pace to reach over a half-million hands dealt in the first month of operation."
 
Online gambling legal expert Prof. I. Nelson Rose, says State law allows poker games to be played for money in limited circumstances at state-licensed card clubs, tribal casinos, charities and private homes. The California statute, however, is sloppily worded, he claims.
 
The wording led then Attorney General Bill Lockyer to issue a flawed opinion, in Rose's view, that "gambling" includes instances when a person spends nothing to play poker for a prize.
 
"The attorney general is simply wrong when saying that something you can enter for free is gambling," Rose said. "If anyone and everyone can enter for free, then it is not gambling."
 
Rose said legal precedent provides that "gambling" involves three key elements: a prize, chance and consideration.
 
"I don't think the state Legislature intended to overturn 2,000 years of legal history when it said poker, if played for money or other prizes, is gambling without having to pay anything to enter and without any chance of losing money," Rose said.

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Gambling News :

Tain Fast Bet - Our readers will recall Tain recently increased the number of live events it covers each month to 23,000, covering both traditional markets such as football, tennis and US sports and the more obscure curling, biathlon and Water Polo.

Olympic Entertainment Group Mobile Gaming - In its full-year 2016 report, Olympic Entertainment Group (OEG) has informed the establishment of a Malta-based company registered to facilitate its intended expansion into remote gambling.

Circus Evolution HD Slot - Malta-based content provider World Match has released its first title of 2017, “Circus Evolution HD”, a 5-reel, 3-row, circus-themed adventure offering Free Spins, Wilds and a Bonus Game.

Kindred Group Gets EU Recommendation on Consumer Protection - Kindred Group (formerly Unibet) has become the first operator to successfully meet the requirements of the EU Recommendation on Consumer Protection and Responsible Gambling following an external audit.

17 Crown people still detained - Reports from China over the weekend suggest that the 17 Crown people still detained could be looking at another twelve months of imprisonment as investigations into their alleged and still unspecified crimes drag on

SB1400 Virginia Poker Skill Game Bill - Her bill SB1400 is currently with the Senate General Laws and Technology Committee, whose 15 members will decide whether to progress it or condemn the Senator to another year of failure.

Pennsylvania Video Gaming Association - With the focus on Pennsylvania as the most likely next US state to legalize online gambling as part of a general gambling expansion measure, reporters noted this week the emergence of a new lobbying group in the state - the Pennsylvania Video Gaming Association.

Stiffer Problem Gambling Penalties in UK - The Guardian newspaper reports that the UK Gambling Commission plans to unveil new enforcement strategies on problem gambling and money laundering prevention this month, laying down tougher penalties for operators who fail to tackle these issues.

Malaysian police Destroy over 5000 Gambling Computers - Malaysian police in Kajang have destroyed 5,042 computer sets seized in online gambling raids over the past two years, explaining that the action is designed to take the machines out of circulation.

Spartan Poker vs SpartanPoker name War - Pokerguru, which owns the brand SpartanPoker.com, has threatened to sue the Indian Poker Championship over its use of the title Spartan Poker, and recently published a notification that it is not associated with the IPC version of the brand.

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