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Navigating the US Ban

Churchill Downs has entered the US online casino gambling industry despite the fact that the UIGEA is still in place and the US Department of Justice is still actively enforcing the gambling ban. The UIGEA specifically works to block the financial transactions between offshore online casinos and US financial systems. But there seems to be a lot of leniency in place for US companies that are operating forms of internet gambling that may or may not fall within the UIGEA’s gambling carve-outs. Churchill Downs has just announced that the company is launching a national internet betting operation that will sync up the racetracks all over the US.

The only issue with this new business is that it runs the fine line of legality. The UIGEA is highly flawed and categorically unclear. There are not even many lawyers willing to go firmly on record for interpreting the confusing nuances of the US’s ban on online casinos. But yet Churchill Downs is moving full steam ahead on efforts to launch the new internet division that will link the racetrack (and other racetracks around the state) with an internet site that allows gamblers to place their horse racing wagers right through the site.

As the online casino betting site becomes more of a reality, Churchill Downs has made efforts to protect itself from federal interaction or breaking the laws laid out within the UIGEA. To that end, Churchill Downs has announced that it has hired a former lobbyist for the AGA and the land gambling industry to represent the company. D. Brett Hale is well-versed in the US gambling legalities and will guide Churchill Downs in launching the new online division.