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Falsely Labeling Online Casinos

The United States is in the process of fully implementing an online casino gambling ban that will force state banks and financial services companies to block all transactions with offshore gambling groups. The process has been hotly debated over the past three years, but several US companies are ready and willing to make the changes needed – and this includes PayPal, a major US e-payment processing company that handles a wide range of services and payments. Unfortunately, as PayPal struggles to reclassify all of the transactions that the site processes legally, there have been a couple of sites that have been lumped in with the online casinos and thus blocked even though they operate fully outside of the gambling industry.

The latest casualty of the online casino gambling bans is the South Florida Blues Society. The Blues Society notified members just this week that the site would no longer be taking payments because Paypal has falsely blocked the site/company from making transaction through the e-payment processor. The Blues society found itself caught up in this big online casino gambling situation because the site sells raffle tickets through the internet to raise money for the Blues Society – interested members of the site buy raffle tickets for a chance to win a Blues Cruise. Florida does actually allow very specific forms of raffles within the state, and the Blues Society has been running this raffle through SFBS for more than ten years now.

The online casinos are fast becoming a national issue though and with the threat that the UIGEA enforcement regulations will take effect in June. US payment processing companies are all making quick adjustments to their blocked transaction list to ensure that they are operating inside of the law and thus not at risk of negative action from the US Department of Justice.