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iMEGA Fights the UIGEA

It’s not just the international community opposed to the restrictions and regulations imposed by the Unlawful Internet Gambling Enforcement Act on the online casinos industry, but U.S. based groups are beginning to fight back on last year’s invasive legislation. iMEGA brought up a case against the U.S. Department of Justice (DoJ) based concerning the legality and constitutionality of the UIGEA. iMEGA is one of the first companies to take on the U.S. government concerning the highly debated U.S. online casino ban in what will undoubtedly become a landmark case.

The Interactive Media Entertainment & Gaming Association’s (iMEGA) case against the U.S. DoJ has been delayed for two more weeks as the legal team defending the government asked for two weeks to further prepare the case. A federal judge approved the request for delay, so the court date has been rescheduled for September 4, 2007 in the U.S. Circuit Court (New Jersey, 3rd District).

The bass for the case centers on the iMEGA’s claim that the ban on online casino transactions violates Constitutional rights and also indicates a precedent in the government toward criminalizing internet transactions that could later snow-ball. iMEGA is the first of many groups to actively seek judicial interference in the implementation of the online casinos ban.

iMEGA actively recognizes that the online casino industry could lead to dangerous and criminal activities, but rather than a prohibition supports the licensing and regulation of the industry – much like Barney Frank’s new bill.

Says the President at iMEGA of regulating online casinos, "Two major benefits come immediately from U.S. recognition and regulation of Internet gaming; transparency and tax revenues. As with the U.S. financial markets, transparency assures that broad access to relevant data and the balancing forces of a free market all operate to maintain fairness and prevent corruption. Similarly, in this age of a yawning federal "tax gap," U.S. taxation of Internet gaming transactions and companies could generate more than $20 billion during the next several years - all while saving federal law enforcement dollars for the fight against terrorism and other dire issues.”