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Bad Actor Clause for California Online Poker

Friday, April 22, 2016 : BAD ACTOR CLAUSE RAISED AGAIN IN CALIFORNIA ONLINE POKER BILL (Update)
 
Late amendment indicates there is still demand for notorious competition-killing clause.
 
Assemblyman Adam Gray's California Assembly bill AB2863 - due for consideration at a hearing next Wednesday- became the centre of attention this week when a late amendment again raised the spectre of the notoriously anti-competitive "bad actor" clause.
 
Tribal opponents of the entry into the local market of Pokerstars have repeatedly insisted on a bad actor clause in any online poker legalisation measure, seeking to exclude applicants who previously offered online poker in the United States, allegedly in contravention of the law.
 
Demands for the inclusion of such a clause have contributed to the frustration of repeated legalisation attempts over almost a decade in the California Legislature.
 
The new amendment states:
 
"The bill would become operative when criteria are established by statute addressing involvement in Internet betting prior to the state’s authorization of Internet poker pursuant to its provisions."
 
And:
 
"The act that added this subparagraph shall not become operative until criteria are established by statute to address involvement in Internet betting prior to the state’s authorization of Internet poker pursuant to this chapter."
 
It should (again) be noted here that although Pokerstars - under its former ownership - was involved in a multi-million dollar settlement with US authorities some years back, it has never been convicted of wrongdoing.
 
In recent times it appeared that the insistence on a bad actor clause was in most quarters diminishing following the acceptance of  Pokerstars-Amaya by the tough New Jersey regulators, and tribal opposition appeared to be increasingly focused on keeping the race tracks out of any legalised poker sector.
 
The exception has been the powerful Pechanga tribe and its allies, who remain resolute in demanding the inclusion of a bad actor clause.
 
However, there has been speculation that the charges against Amaya's suspended CEO David Baazov following inside trading charges may have resurrected interest in the bad actor issue, although that has not been confirmed.
 
That said, the California Nations Indian Gaming Association recently opined through chairman Steve Stallings that the Baazov affair complicates Pokerstars' position in California  There has to be a reason behind the new and somewhat ambiguous draft amendments, and for another "tweak" that has removed the need for AB2863 to secure Appropriations Committee approval, thus making for a faster advance.
 
Next Wednesday's hearing promises to be a lively and interesting affair.

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Gambling News :

HeyPoker Closing - The operator is licensed by the UK Gambling Commission and the Malta Gaming Authority, with the registering company listed as Evoke Gaming Ltd.

Can Jack Lam Make Things Right in Philippines - Lam will no doubt seriously consider the offer, having lost access to his Philippines businesses and with charges of attempted bribery and "economic sabotage" and an arrest warrant hanging over his head .

PPA Wants pre-emptive strike against RAWA - It's not just civic associations that are warning against the introduction of a federal ban on online gambling in a denial of states' rights . The Poker Players Alliance action group has begun mustering its over a million US members in a campaign as well.

UK Wants Fixed Odds Betting Terminals Changes - The group, titled FOBT All-Party Parliamentary Group plans to release its full report early in the new year, but for now has claimed that changes to FOBT regulations could help in reducing "associated crime" and problem gambling.

Sportech Wins 8 Year Old VAT case - An eight-year long, GBP 97 million VAT repayment claim dispute between Sportech PLC and HM Revenue and Customs (HMRC) has come to an end with the Supreme Court refusing HMRC permission to appeal a previous Court of Appeal ruling.

2017 MPN Poker Tour - Main Event packages, worth 1,500, are available online and players can qualify via any of the MPN participating card rooms through a variety of satellites, with buy-ins starting as low as 0.25. Each 1,500 package includes:

Realistic Games in deal with Kindred Group - The UK-based online gambling games developer Realistic Games has signed a deal to supply its games to online operator Kindred Group, parent company of quality brands that include Unibet, Stan James and Maria Casino.

Opposition to Anti Online Gambling Bill in Congress Lame Duck Session - Action groups appeal to House Appropriations Subcommittee to ensure that RAWA style language is not attached to unrelated spending bill.

DFS banning bill Introduced in Illinois - The legislative season in Illinois may be drawing to a close, but that hasn't stopped a new bid to ban daily fantasy sports from being assigned to the House Executive Committee; whether there is sufficient time to pass the bill is a matter for speculation.

Cambodia To More Closely Control Online Gambling - Cambodia, where online #gambling is operated by licensed land casinos alone, and Cambodian punters are banned from participating, is to tighten monitoring, control and management of the activity by setting up a centralized server, a Ministry of the Economy official revealed this week in a media interview.

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