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Nevada group Betting Proposal Issues

Saturday May 11,2013 :  PROBLEMS AHEAD FOR NEVADA'S 'GROUP BETTING' PROPOSAL (Update)
 
Nevada Gaming Control Board chief has some reservations.
 
Nevada bill SB346, which proposes allowing private equity companies to place large 'group' or 'equity' bets on sports events through Nevada bookiesmay have sailed through the state Senate, but it could face a more difficult passage through the House.
 
Nevada Gaming Control Board chief AG Burnett gave his rather negative opinion to the state House of Assembly Judiciary Committee Friday, commenting that the bill presents serious regulatory concerns over how the state would police activities to protect the reputation of Nevada's core multi-billion gambling industry and guard against money laundering, corruption and fraud.
 
"If there is a scandal or a fund manager closes the book and runs off to the Cayman Islands ... Nevada's reputation may be on the line," Burnett warned committee members, reminding them that in terms of current Nevada law only individuals can place bets.
 
And as the Associated Press news agency pointed out in its report on the hearing: "It's also illegal to pay someone else to place a bet for you - something called "messenger betting."
 
But back to Burnett, who said the bill would essentially "gut" that law.
 
Sen. Greg Brower, a Republican from Reno who sponsors the bill, claims that it will enable Nevada to capture some of the estimated $380 billion bet illegally on sports each year in the U.S.
 
However, Burnett said the concept of entity wagering appears to be an attempt to allow hedge funds and other big investment firms to gamble on behalf of investors at Nevada sports books.
 
"How that complies with federal law, the Gaming Control Board is not sure," he told the committee.
 
Burnett has concerns regarding enforcement, too, pointing out that if all participants and every aspect of private equity wagering were based in Nevada, the regulatory task would be manageable.
 
But what happens when out-of-state equity bettors start making wagers through Nevada bookies, he asked? That would bring unique regulatory and legal challenges, one being whether out-of-state investors who transfer money electronically would run afoul of federal or other state laws.
 
Another possibility could be major investment companies creating separate entities to manage and place sports bets...and who would be subject to regulatory scrutiny to determine suitability to operate in Nevada?
 
Calling the bill a gamble in itself, Burnett emphasised that the NGCB does not have a problem with new ideas that can enhance the state's gambling industry...but he stressed that the approach has to be careful, legal and cautious to avoid embarrassing the state.
 
Referring to the bill, Burnett opined: "It's a wager that these entities will come here, will not run into trouble with the federal government ... that they will not engage in any corruption...and that they will bet lots and lots and lots of money."
 
The NGCB chief recommended that the US Congress pass a law, or an opinion be obtained from the federal government Department of Justice, approving the concept that money wired to Nevada sports betting firms for purposes of wagering is a legal activity...and that this should be done before going any further.
 
Burnett's organisation also moved to prepare for the possible passage of the bill, attaching to it a fiscal note estimating that the bill's enforcement would entail an additional budget cost of $745,000 over the next two years.
 
The note also contained a proposed amendment seeking authority to charge 'equity betting' firms for initial investigative costs.
 
The committee adjourned its hearing Friday with no action on the bill.

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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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