Poker Players Alliance News

[AZ] Poker gaining players and fans in Tucson

April 3rd, 2008

Chris Moneymaker was a mild-mannered accountant in Tennessee when he spent $40 to enter an Internet poker tournament. Before he was done, he’d won $2.5 million in the 2003 World Series of Poker (the first tourney he’d ever played in a casino) — giving the hundreds of thousands who watched on ESPN something to shoot for.

“I think anyone who comes in this room thinks, yeah, that could be me,” said 40-year-old Fran Lieberman, who sat waiting for a tournament to begin in the poker room at Casino del Sol last month. “Who wouldn’t?”

Even five years after the start of what is commonly referred to as the “poker boom,” the Moneymaker Effect continues to draw new waves of players to poker tables at local casinos, corner bars, living rooms and online.

“It’s probably more popular now than ever,” says Rick Chaurette, poker room director at Casino del Sol since 2003, who sees no end to the increased interest. “We’ve taught a whole new generation about poker, and a percentage of them are locked in for life.”

The game that has sucked in so many is Texas hold’em. With its relatively simple rules and a format that makes it easy to show — and analyze — on TV, hold’em has become part of the national lexicon.

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Selected Coverage of UIGEA Hearing on 04/02/08

April 3rd, 2008

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PPA Recap on UIGEA Hearing

April 2nd, 2008

Today, the House Financial Services Committee held a hearing to discuss the UIGEA regulations and the burden it imposes on the financial services industry.  By all accounts the hearing was a huge success that verified what the PPA and others have been saying all along: prohibition does not work.  It also reaffirmed our position that there is no federal statute that would preclude someone from playing a game of skill, like poker, on the Internet.  
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Alfonse D’Amato Statement on House Hearing on UIGEA

April 2nd, 2008

Contact:           
Teresa Schofield
(202) 347-7516
tschofield@theheraldgroup.com

Poker Players Alliance Statement on House Hearing on UIGEA

Washington, D.C. (April 2, 2008)- Former Senator Alfonse D’Amato, chairman of the Poker Players Alliance (PPA), the leading poker grassroots advocacy group comprised of almost one million online and offline poker players nationwide, issued the following statement on today’s hearing before the House Financial Services Committee hearing on the Unlawful Internet Gambling Enforcement Act (UIGEA).
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Poker players seeking trump card in lawyers

April 1st, 2008

The nation’s poker players are enlisting lawyers to keep them from running afoul of gambling laws.

A group called the Poker Players Alliance started operating a Litigation Support Network last week.

The alliance gives members free referrals to lawyers who can advise them on how to avoid overstepping legal limits while betting on their poker games.

“With the myriad local, state and federal laws impacting poker, the Litigation Support Network is an important service that our members can and should use,” said former New York Sen. Alfonse M. D’Amato, chairman of the Poker Players Alliance.

The nonprofit group claims to have nearly a million members nationwide.

Members play their games at private homes, taverns, charity events or over the Internet.

As long as they do not bet money, no state law allows for prosecution of poker players. Even if they gamble with only small amounts of money between friends in private games, there is almost no chance of prosecution.

But when the level of gambling could be considered a business, state and federal laws either require a license or forbid it outright.

That’s where the Litigation Support Network comes in. The Poker Players Alliance wants poker players to know when they step over the line to operating a business.

“The patchwork of state and local laws relating to poker is leaving [Poker Players Alliance] members confused about what is legal and what is illegal,” said Patrick Fleming, a lawyer who leads the Litigation Support Network.

The proliferation of online poker games and gambling has led to more police raids of suspected gamblers, according to the alliance.

Click here to go to the article and read more.

[DE] Friendly game? Don’t bet on it

March 28th, 2008

When William Holley of Middletown holds a barbecue at his house, a few friends often will sit down for a game of Texas hold ‘em poker at $2 a hand.

Holley never thought he or his friends were committing a crime.

“I let them go have their drinks, have their fun,” said Holley, 42. “It’s a barbecue. What are your friends supposed to do when they get there, play hopscotch?”

So Holley was shocked when his town’s newly formed police force busted up a poker game in a suburban cul-de-sac of mini-mansions. While allegations surrounding the arrests of the home’s residents sound like the game was more than a few friendly hands of poker, many in the state were surprised to learn that there’s nothing written in Delaware laws that allows even penny-ante gambling in the home.

State Attorney General Beau Biden’s office put out a brief statement that said gambling in Delaware is illegal except through state-run lotteries, horse betting at race tracks and charitable gambling licensed by the state. Although Biden’s office added that it considers other factors when deciding whether to prosecute, it gave Holley and other poker aficionados cold comfort.

“It would really [tick] me off if the cops came up and raided a game at my house,” Holley said. “Don’t you think there’s better things to do?”

Unlike many other states, there’s no exception in Delaware law for social gambling, which is described as games at a private home where the winnings go to the players, said I. Nelson Rose, an authority on gambling law and a professor of law at Whittier Law School in Costa Mesa, Calif. But the police rarely make arrests in friendly card games, he said. John Mancus, past chairman and now a member of the Delaware Gaming Control Board, said there hasn’t been an arrest in recent memory. “It’s one of the laws on the books that nobody wants to enforce,” Rose said.

The Delaware situation illustrates the tension that arises when changing social trends butt up against gambling laws from the 19th and early 20th centuries, legal experts said.

Not only have Americans increasingly come to view gambling as legitimate entertainment, with the rise of state-sanctioned lotteries and casinos, but poker has become a national craze with televised tournaments of the popular Texas hold ‘em game, according to William Eadington, professor of economics and director of the Institute for the Study of Gambling and Commercial Gaming at the University of Nevada, Reno. “The trend has been to legalize it through legislation — or just ignore it,” Eadington said.

As a result, most players tend to believe it’s legal. Take poker lover Phil Shernofsky, 42, of Dover, who has played cards at friends’ homes.

He, like many, always believed that such games are legal unless the house is taking a cut of the action. “I don’t think it ever came up in conversations that something we were doing was illegal,” Shernofsky said.

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[UIGEA] Time to Fold the Unlawful Internet Gambling Enforcement Act

March 26th, 2008

Hoping to be seen to be “doing something” about the perceived problem of Internet gambling, Congress approved the Unlawful Internet Gambling Enforcement Act (UIGEA) in October of 2006.1 The Act, however, seems unlikely to stop Internet gambling and could even threaten the stable, smooth operation of America’s banking system. UIGEA and its currently proposed enabling regulations will undermine the financial privacy of all Americans and reduce the security of their bank accounts. In short, UIGEA makes almost no financial, social, or economic sense. It deserves reexamination.

To that end, this paper’s first section gives an overview of UIGEA’s provisions and the regulations proposed to implement them, the second describes the law’s likely and perverse consequences, and its conclusion outlines some principles for reforming or eliminating this harmful law.

About UIGEA and its Implementing Regulations. Congress enacted UIGEA into law as part of a port security measure. The law’s title suggests that it deals with gambling. But UIGEA, at its root, serves to regulate banking and credit cards. It has nothing to do with port security and, just as importantly, does not actually ban any type of Internet gambling activity that was not already illegal under state laws.

Instead, the law focuses on electronic financial transactions potentially linked to Internet gambling. Its core provision, section 5363, forbids people “engaged in the business of betting or wagering” from “knowingly” accepting “in connection with the participation of another person, in unlawful Internet gambling” any automated clearing house transaction, or bank draft. The law, furthermore, offers an amorphous description of “wagers” as any effort to stake: something of value upon the outcome of a contest of others, a sporting event, or a game subject to chance, upon an agreement or understanding that the person or another person will receive something of value in the event of a certain outcome.

Thus, the law touches every sort of financial service provider: banks, credit unions, credit card companies, wire transfer services, and even brokerages. It exempts insurance, stock and commodity trades, fantasy sports leagues, horse racing, and all activities permitted under state and tribal law.

Click here to go to the white paper and read more.

Note: The author of this piece is also a co-author of the article:
No Dice (The American Spectator, 03/25/08)

[UIGEA] No Dice

March 25th, 2008

Anybody who has spent time in Washington knows that Congress often passes bad laws. But even the most widely derided laws — think of 2003’s Medicare drug benefit — end up doing roughly what their authors set out to do.

The misbegotten 2006 Unlawful Internet Gambling Enforcement Act (UIGEA), however, won’t even get that far. It will fail at its intended purpose of ending most Internet gambling while simultaneously creating enormous headaches for banking institutions and account holders. It’s a bad, bad law.

Despite its name, the Act has rather little to do with gambling. It doesn’t actually outlaw any online game — there’s still no federal penalty for wagering $1,000 on the spin of a virtual roulette wheel — and doesn’t directly create any new federal penalties for running an online casino.

Instead, the Act imposes an obligation on banking institutions to block transactions “related” to illegal online gambling. At first blush, this looks like an elegant solution for those who dislike gaming. Rather than trying to force all online gambling sites out of business directly or penalize people who play a few hands of poker online, the law — a brainchild of recently unseated Iowa Republican Jim Leach — simply threatens to cut off the money that makes gambling possible.

In practice, the language of the law, the nature of the Internet, and the wide availability of gambling in the United States make the law both unenforceable and enormously burdensome.

LANGUAGE FIRST: The statute’s definition of “gambling” contains dozens of loopholes. Some exceptions, like a safe harbor for stock and insurance transactions stem from common sense. Others, like loopholes for state lotteries and horse racing, are there because of the political power of existing industries.

Finally — and here is real the doozy — the government has decided not to create a particular list of “blocked” providers. Banks really don’t have any clearly defined law to enforce. So they’re most likely to simply leave it unenforced or, if threatened by regulators, over-enforce the law by blocking all sorts of perfectly legal transactions.

Click here to go to the article and read more.

[ID] Idaho woman wants to change state law banning poker

March 24th, 2008

Wendy Nutting’s love of poker has her in a whole new game – advocating in a state that outlaws gambling.

The 35-year-old Coeur d’Alene native recently was selected as a state director for the national Poker Players Alliance, an advocacy group for the game based in Washington, D.C.

Within days, Nutting learned she was unintentionally breaking Idaho law by betting for cash during weekly games in friends’ living rooms and kitchens.

Idaho outlaws gambling – including poker – regardless of whether it’s played in the bar or the basement with work buddies over beer and pizza.

Nutting is left not only with the mission of promoting one of the most popular games in America, but also one of advocating for a state law change to make friendly in-home games legal.

In the meantime, Nutting vows not to play in any illegal games – not wanting to jeopardize her advocacy for legal poker or become a hypocritical influence for her two teenage children.

“It’s asinine,” Nutting said Tuesday while logging in to PokerStars.net to play Texas Hold’em with fake money. “How can I be vocal about something I know is illegal?”

Kootenai County Chief Deputy Prosecutor Marty Raap said he didn’t realize in-house poker games were illegal until he considered having one at his Post Falls home. Before he invited friends he checked the law. The game was canceled.

“I can’t think of a case I’ve ever seen where friendly home games with other buddies are prosecuted,” he said, comparing laws regarding poker to those outlawing adultery and sodomy – Idaho laws that aren’t prosecuted.

He thinks the Idaho Legislature should clean up some of these antiquated laws.

Raap said it makes no sense, especially when he can cross the state line and, within 10 minutes, get in a live poker game at Hooters Owl Club Casino in the Spokane Valley. Friendly wagering is allowed at in-home games in Washington as well, provided the host doesn’t charge anything simply for offering the game. Poker is also legal in Montana.

Click here to go to the article and read more.

PPA Launches Litigation Support Network

March 24th, 2008

For Immediate Release                
March 24, 2008                            
                                     
Contact:  
Taylor Gross
(202) 347-7943
tgross@theheraldgroup.com

Program will provide legal advice, attorney referrals for members
 
Washington, D.C. (March 24, 2008) – The Poker Players Alliance (PPA), the leading poker grassroots advocacy group, today launched its Litigation Support Network.  This free member service will provide basic, initial legal advice as well as refer members to a network of attorneys who have expressed interest in helping PPA members with poker-related legal issues.
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