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Federal Employees Play Online Casinos

Internet gambling and sportsbook betting is illegal in the United States as a result of the Unlawful Internet Gambling Enforcement Act, but despite that fact, a report from the U.S. Government Accountability Office indicates that some federal employees are gambling at the online casinos. And even more startling and worrisome is the fact that the federal employees are using their government issued credit cards to pay for the gambling activity. The GAO’s latest report indicates that in addition to online casinos gambling on the government credit cards, federal employees are using their cards to purchase iPods, lingerie, laptops, lavish dinners, and other questionable expenses.

Use of the government credit cards is a wide-spread practice in the U.S. and was implemented not only for convenience, but as a way to save the government more than $1.8 billion in administration costs each year. The only problem is that the GAO’s report show that an astronomically high number of charged expenses do not follow procedure on filing for the charges – 41 percent of the more than $14 billion government credit card charges. This is apparently where the online casinos gambling and other questionable activities are slipping through the cracks.

The GAO’s report is calling for the General Services Administration and Office of Management and Budget to find controls that will eliminate fraudulent charges for online casinos gambling, electronics, and other questionable activities. The report notes, "Breakdowns in internal controls over the use of purchase cards leave the government highly vulnerable to fraud, waste and abuse." As for the specifics on federal employee online casinos gambling, the GAO’s report noted that U.S. Postal Service workers spent more than $35 000 on internet and sportsbooks gambling activities. And sadly, that was just the tip of the iceberg on questionable expenditures.