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Closing a Loophole

You might have a hard time gambling at the online casinos in all over the United States, but in North Carolina you just might be able to circumvent state legislation canning video poker machines and internet sweepstakes games – at least for a bit longer. The North Carolina state government is looking to pass new legislation that will greatly tighten the legislation and regulations surrounding video poker and slot machines that are growing in popularity despite a state-wide ban. The fact is that through the online sweepstakes regulations, some land companies are able to offer online contests through phone cards – thus neatly circumventing the legislative ban in place that is designed to protect North Carolina residents from addictive gambling problems.

The new more targeted legislation will specifically address the beginnings of an online casino gambling industry through the state internet sweepstakes. Politicians allege that state gamblers are still looking for any method to appease their gambling streak. The state has allowed video poker gambling for more than a decade but passed a ban on the machines just last year. The video poker ban was intended to address and ban the online phone card sweepstakes gambling as well, but loopholes in the laws have made enforcement difficult at this point.

The U.S. government as a whole has begun to take a tough stance toward the perceived dangers associated with online casino gambling, and now some of the state governments are similarly looking to protect state gamblers from the threat of gambling online or at unregulated places like truck stops and convenience stores. And while the state government sees this as just closing a small loophole, some companies are alarmed by the imminent ban and are attempting to block the new legislation. Theresa Kostrzewa is a Texas lobbyist for the land gaming machine company, Hest Technologies. She observed, “This is an issue that if we move too quickly, will open the gate up to unforeseen consequences.” While she is attempting to stall the legislation, other politicians are hoping for a quick passage of the new ban.