18 Jun 2008 17:52

Implementation of UIGEA

Two congressmen introduced new legislation in the United States, because they want to block the implementation, which would enforce the UIGEA, Unlawful Internet Gambling Enforcement Act. The rules which had been proposed were criticised as unenforceable by the House of Representatives Subcommittee on Domestic and International Monetary Policy, Trade and Technology, a testimony from the US Treasury, Federal Reserve and also by many industry bodies like the American Bankers Association and the Financial Services Roundtable.
The legislation proposed by the US Congressmen Barney Frank and Ron Paul, called the Frank-Paul bill, would forbid the Secretary of the Treasury and the Board of Governors of the Federal Reserve System from proposing, prescribing, implementing any regulation. These are important moves to solve problems caused by the UIGEA.

Now the internet gambling ban creates other responsibilities for the U.S. financial institutions. Currently there are many economic pressures, so an employee of Credit Union National Association claimed that they are considering if it’s the right time to dedicate recourses to comply an according to them unworkable law.
Another problem is the ambiguity of the law that offers many interpretations of what may be illegal activities.  
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