District Court Finds Online Lotteries and Casinos Not Subject to Wire Act

District-Court-Finds-2011-Holder-Opinion-Valid-Online-Casinos-Not-Subject-to-Wire-Act_In a landmark decision for the iGaming industry and big operators like IGT, the United States District Court for the District of Rhode Island has ruled that the Wire Act of 1961 applies only to sports betting.

The court’s decision came as a response to a lawsuit filed late last year by IGT seeking a final answer to a question that has dogged online gambling operators since the advent of the internet. It upholds a ruling by the First Circuit Court of Appeals (N.H. Lottery Comm’n v. Rosen) stating in essence that contrary to a 2018 opinion issued by the US Department of Justice, online gambling other than sportsbetting is not illegal at the federal level.

International Game Technology and IGT Global Solutions Corporation (IGT) sought and received a declaratory judgment that the 2018 DOJ Opinion, which held that the 1961 wire law prohibited every type of online gambling including lottery ticket sales, was incorrect.

The Providence Rhode Island-based international iGaming and lottery giant filed the suit against the Department to protect its online gambling and lottery products through declaratory relief – in essence asking for a black and white answer.

That answer was needed due to a misapplied 2006 law, an opinion by the Obama administration’s DOJ that the Wire Act applied only to sports, the 2018 Trump DOJ opinion reversing that decision, and an appeals court decision overruling that opinion which the incoming Biden administration decided not to litigate further.

Securing IGT’s $3.68 Billion Market Cap

IGT sought to protect its products by seeking declaratory relief that its online lotteries and iGaming products would be free from federal prosecution. The morass of uncertainty threatened not only IGTs company with over $3.68 billion in market capitalization, but also over $100 billion in annual US lottery ticket sales by all providers, and the entire offshore casino market. Most lottery transactions are done over the internet with at least one server’s digital traffic crossing state lines in the process.

During the trial, the DOJ moved to dismiss the case and argued that IGT hadn’t been prosecuted or suffered other injuries due to the decision so the company had no standing to sue for relief. The court disagreed, as had the unanimous Court of Appeals who noted that although no prosecutions had occurred the DOJ had threatened the Illinois State Lottery with enforcement if it continued operations past a 60-day window of compliance issued by the DOJ.

The Department also argued that the New Hampshire Lottery case and Appeals Court decision rendered the matter too speculative to give IGT Article III Standing.

The court rejected the motion to dismiss stating that simply the threat of prosecution was enough. The court found that IGT “should not have to operate under a dangling sword of indictment while DOJ purports to deliberate without end the purely legal question it had apparently already answered and concerning which it offers no reason to expect an answer favorable to the plaintiffs.”

Summary Judgement Granted – Wire Act Applies Only to Sports Betting

The court also granted IGT’s separate Motion for Summary Judgment and stated that “as to the parties now before it, the Wire Act applies only to ‘bets or wagers on any sporting event or contest.’

While the decision should open the door to all online gambling in the United States except where prohibited by state laws, it’s not likely to thanks to the 2006 Unlawful Internet Gambling Enforcement Act (UIGEA).

The UIGEA specifically states that it neither modifies existing laws nor creates new gambling prohibitions. However, “Guidance” given to all US and US-connected financial institutions in the Bush era prohibits the transfer of money to or from online casinos – under the false assumption that they are illegal (under the wire act).

The 2011 Obama DOJ opinion didn’t address intra-state gambling as it’s not a federal matter, but oddly enough it was the impetus that gave state lawmakers the confidence to launch online casinos and poker in three states. New Jersey and Delaware approved both while Nevada land-based interests kept their iGaming restricted to poker.

Today, Delaware, New Jersey, Pennsylvania, Michigan, West Virginia, and Connecticut all have online casinos but only those currently located within the state’s borders are allowed to play.

Some interstate gambling has already been coordinated between states with regulated online gambling in the form of poker “player liquidity pools”.

While individual states could conceivably model regulatory regimes the way sports betting is handled, there is apparently no need to keep all activity within a state’s own borders. Failing the creation of a federal online gambling legal framework – which is not likely given the current political climate, it would be incumbent upon states to coordinate their efforts with some sort of harmonizing framework. Barring that, there is and never has been any federal law that prohibits offshore casinos from openly and aggressively recruiting US players.

But there is a catch

Unless the Federal Trade Commission and the Department of Justice are both sued for declaratory relief in the matter of UIGEA unfairly restricting trade, it will remain illegal for offshore casino operators to process deposits and withdrawals to players in the USA since US financial institutions will most likely refuse to conduct the business.

It remains, as always, legal at the federal level for players to deposit and withdraw their funds from offshore casinos.

Interstate sports betting remains illegal as it has been since 1961.

It’s unclear if the Biden (Garland) DOJ will appeal the latest ruling.

Source: Rhode Island District Court Sides with Prior First Circuit Opinion on Wire Act Interpretation, JDSUPRA, September 19, 2022

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California Sports Betting: Prop 27 Group Cuts TV Ad Buy, Report States

With less than seven weeks before the election, proponents of Proposition 27, the measure to legalize online sports betting in California, are looking to go in a new direction.

Prop 27
Prop 27
A screen cap from a commercial for Proposition 27, a California ballot measure that asks voters to legalize online sports betting. This week, supporters of the measure revealed they will now look to reach voters through direct pieces and cut back on commercial spending. (Image: Californians for Solutions/YouTube)

The San Francisco Chronicle reported Tuesday that Californians for Solutions to Homelessness and Mental Health Support, the committee that’s nearly $170 million from seven national sports betting operators, yanked its television ad buy in the Golden State’s major markets. The paper cites campaign ad trackers that indicate the group plans only to run on network TV in Los Angeles next month and on cable in markets like San Diego, Sacramento, and the Bay Area.

The measure is one of two sports betting measures that are slated to appear on the ballot. The other is Proposition 26, a tribal-backed measure that – among other things – would allow in-person sportsbooks at tribal casinos and state-licensed racetracks. However, a good deal of tribal gaming nations’ efforts has been spent on campaigning against Prop 27.

Californians for Solutions spokesperson Nathan Click confirmed the move in a comment to the Chronicle.

“Clearly, the saturated television market is not benefiting either side, so our campaign is putting those dollars toward additional direct communication with voters in order to pass Prop. 27 — the only sports betting measure that provides real solutions to communities and nonprofit organizations in California,” Click said.

The new tack for Prop 27 proponents comes less than a week after an independent poll by the Public Policy Institute of California (PPIC) found that 54% of registered voters plan to vote no on the measure that’s on the Nov. 8 ballot. That’s compared to just 34% who support it.

While Election Day is less than seven weeks away, there’s actually less time than that for online sports betting supporters to turn things around. Election officials in California’s 58 counties will mail ballots to all active registered voters on or by Oct. 10.

Opposing Group: ‘Prop 27 is in Serious Trouble’

The PPIC survey results show similar findings to an internal poll conducted for “Californians for Tribal Sovereignty and Safe Gaming,” one of two tribal-funded groups opposing the online sports betting measure. In a memo Tuesday, the group released its latest results showing 58% reject and only 24% support Prop 27.

That internal poll was conducted after the PPIC poll was conducted but before those results were released.

Prop 27 proponents have pushed the message that tax funding from legalized online sports betting would provide hundreds of millions for social services for California communities and economic development initiatives for non-gaming tribes. However, the ballot measure still has been rejected by both Republican and Democratic state parties and key legislative leaders in Sacramento.

More importantly, the selling points for Prop 27 appear to have not won over voters.

With opposition above 50%, with opposition growing as voters learn more, with voters believing Prop 27 will lead to negative outcomes, and with voters rejecting the premise that it will help address homelessness, Prop 27 is in serious trouble,” the Californians for Tribal Sovereignty polling memo stated.

Prop 26 also has its fair share of opponents, as the Republican Party has also rejected it. In addition, several municipal labor unions have announced their opposition, as cities with cardroom casinos fear a provision in the tribal measure that could lead to lawsuits against the gaming venues that generate significant tax revenue for local governments.

While there has been no independent polling released on Prop 26, some gaming industry experts believe that measure is likely not to succeed either.

Who’s Behind Prop 27

Across all four groups that have staked a position either for or against at least one of the measures, more than $412 million during the campaign. That’s the most ever raised on a ballot initiative in California.

Through Monday, Californians for Solutions has raised $169.2 million of that total, according to records from Cal-Access, the database maintained by the Secretary of State’s office.

The largest share of the contributions come from FanDuel and DraftKings, which have provided $35 million and $34.2 million, respectively. Barstool Sportsbook, BetMGM, and Fanatics have given $25 million each, while Bally Bet and WynnBET each have contributed $12.5 million.

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Bally’s Recommended for Tropicana Las Vegas License – Close this Month

Nevada gaming regulators have unanimously recommended that Providence, Rhode Island-based Bally’s be approved to acquire the Tropicana on the Las Vegas Strip and be licensed to operate the casino.

The preliminary approval comes over a year after the $308 million purchase from Penn Entertainment Inc., was first announced. Bally’s Corp. representatives told the Board they expected to close on September 25 or 26.

Bally’s is already licensed in Nevada with Bally’s Lake Tahoe close to the California border near Reno/Sparks. Bally’s considers Tropicana to be its flagship property in the west. The company renamed the former MontBleu Casino Resort after purchasing it last year.

All told, Bally’s has over a dozen premier properties and was recently awarded the tender to build Chicago’s first and only casino. A temporary casino is planned to open there next June.

Company spokespeople said that no redevelopment is expected to occur on the Tropica this year. However, like all of their newly acquired properties, the site is expected to bear Bally’s name.

One Final Approval

It was the last major hurdle to completing the takeover, with the Nevada Gaming Commission making the final decision on Sept. 22.

Gaming and Leisure Properties, formed as a spin-off of Penn National Gaming and the owner of more than 50 casino properties, owns the hotel and casino complex which is currently operated by Penn Entertainment. When the deal is closed that agreement will become moot as Bally’s begins the first of its $10.5 million a year payments set to continue for the next 50 years.

Bally’s President George Papanier said, “Over the last several years, we’ve been very busy growing Bally’s footprint. We view Tropicana Las Vegas as an opportunity for a flagship property for our western region.”

Regulators questioned company officials for more than 2 hours. They said they were comfortable with company oversight being adequate while mentioning they had questions for Bally’s compliance officers and executives due to the rapid expansion the company has embarked on over the last couple of years.

According to the Review-Journal, Bally’s online operations are now almost on “the same footing” as their land-based operations. The company purchased Gamesys of London for $2.7 billion in early 2021. Gamesys handles all of its online casino storefronts.

Bally’s Expanding Rapidly

In addition to the $1.7 billion resort on the former site of the Chicago Tribune next to the Chicago River, the company opened Bally’s Quad Cities in Rock Island, Illinois, and Bally’s Evansville in Indiana in the last two years. Bally’s Evansville was formerly known as Tropicana Evansville.

It’s unclear to the company at this point whether it will renovate in Las Vegas, do a completely new construction project, or a mixture of the two.

Other developments for the company include $100 million in renovations at properties in Atlantic City and Rhode Island along with remodeling Bally’s Kansas City – a project slated for about $50 million. Construction has already begun on a casino in State College, Pennsylvania.

No immediate changes in restaurant operations are planned at this time and total staffing is expected to remain the same for the time being.
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The William Hill sports book is also expected to remain in operation until Bally’s transitions to in-house sports betting.

Source: Bally’s says it will close purchase of Tropicana Las Vegas next month, The Nevada Independent, Argust 10, 2022

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Cristiano Ronaldo called up to lead Portugal in Nations League prior to 2022 World Cup

On Thursday, September 14th, 2022 one of the ultimate greatest footballers of all – time, Cristiano Ronaldo, was included in the Portugal national football club for upcoming Nations League games versus both the Czech Republic as well as Spain.

The head coach of Portugal, Fernando Santos, claimed that he is not concerned with Cristiano not playing much with the Manchester United football during this season.

“Nobody here has any doubts about how important he continues to be for the national team,” the head coach of Portugal’s National team Fernando Santos exclaimed.

The following players: João Félix, Diogo Jota, Bernardo Silva, and Bruno Fernandes also were included in the list of the 26 – players called up to play for the Portuguese national team recently, along with defenders João Cançelo, Pepe, and their exciting newcomer Tiago Djaló.

Some players that are out of contention to play for the Portugal football club due to injuries at the moment are Otávioand Renato Sanches. Santos also left out André Silva, Gonçalo Guedes as well as João Moutinho, Portugal’s player with the 2nd – most match appearances with the Portuguese national team behind Cristiano.

Portugal is presently scheduled to play at the Czech Republic on Saturday, September 24th, 2022, and then the Portuguese national football club will be hosting Spain just 3 – days after that on Tuesday, September 27th, 2022.

Portugal was the ultimate victor of the inaugural edition of the Nation League back in the year of 2019, and they are presently behind Spain at the moment by only 1 – point in Group 2 of the League A. The Portuguese football club is also just 3 – points in front of the Czech Republic. So, the upcoming games have a very significant meaning during the group stage of this season’s Nations League.

Earlier on Thursday, September 14th, 2022 the Portuguese soccer federation released their new uniforms for the 2022 World Cup which is scheduled to be played in Qatar a few months from now. The newly released Portuguese uniforms include a jersey inspired by the nation’s red and green flag, and they seem to be quite classy. Moving away from the traditional plain red, the new uniform has both the red and green colors on each side of a diagonal line across the chest.

The 2022 National Team of Portugal

Goalkeepers: Diogo Costa (Porto), José Sá (Wolverhampton Wanderers), Rui Patrício (Roma)

Defenders: Diogo Dalot (Manchester United), João Cancelo (Manchester City), Danilo Pereira (Paris Saint – Germain), Pepe (Porto), Rúben Dias (Manchester City), Tiago Djaló (Lille), Nuno Mendes (Paris Saint-Germain), Raphael Guerreiro (Borussia Dortmund)

Midfielders: João Palhinha (Fulham), Rúben Neves (Wolverhampton Wanderers), Bernardo Silva (Manchester City), Bruno Fernandes (Manchester United), João Mário (Benfica), Matheus Nunes (Wolverhampton Wanderers), Vitinha (Paris Saint-Germain), William Carvalho (Real Betis)

Forwards: Cristiano Ronaldo (Manchester United), Diogo Jota (Liverpool), Pedro Neto (Wolverhampton Wanderers), João Félix (Atlético Madrid), Rafa Silva (Benfica), Rafael Leão (AC Milan), Ricardo Horta (Braga)

Cristiano Ronaldo’s Football Career Achievements, Honors, & Awards

Sporting CP

  • Supertaça Cândido de Oliveira: 2002

Manchester United

  • Premier League: 2006 – 2007, 2007 – 2008, 2008 – 2009
  • FA Cup: 2003 – 2004
  • Football League Cup: 2005 – 2006, 2008 – 2009
  • FA Community Shield: 2007
  • UEFA Champions League: 2007 – 2008
  • FIFA Club World Cup: 2008

Real Madrid

  • La Liga: 2011 – 2012, 2016 – 2017
  • Copa del Rey: 2010 – 2011, 2013 – 2014
  • Supercopa de España: 2012, 2017
  • UEFA Champions League: 2013 – 2014, 2015 – 2016, 2016 – 2017, 2017 – 2018
  • UEFA Super Cup: 2014, 2017
  • FIFA Club World Cup: 2014, 2016, 2017

Juventus

  • Serie A: 2018 – 2019, 2019 – 2020
  • Coppa Italia: 2020 – 2021
  • Supercoppa Italiana: 2018, 2020

Portugal

  • UEFA European Championship: 2016
  • UEFA Nations League: 2018 – 2019

Individual

  • FIFA Ballon d’Or/Ballon d’Or: 2008, 2013, 2014, 2016, 2017
  • FIFA World Player of the Year: 2008
  • The Best FIFA Men’s Player: 2016, 2017
  • The Best FIFA Special Award for Outstanding Career Achievement: 2021
  • European Golden Shoe: 2007 – 2008, 2010 – 2011, 2013 – 2014, 2014 – 2015
  • FPF Portuguese Player of the Year: 2016, 2017, 2018, 2019
  • PFA Players’ Player of the Year: 2006 – 2007, 2007 – 2008
  • Premier League Player of the Season: 2006 – 2007, 2007 – 2008
  • Premier League Golden Boot: 2007 – 2008
  • La Liga Best Player: 2013 – 2014
  • Pichichi Trophy: 2010 – 2011, 2013 – 2014, 2014 – 2015
  • Serie A Footballer of the Year: 2019, 2020
  • Capocannoniere: 2020 – 2021

Orders

  • PRT Ordem de Nossa Senhora da Conceicao de Vila Vicosa Cavaleiro ribbon.svg Medal of Merit, Order of the Immaculate Conception of Vila Viçosa (Portuguese Royal Family)
  • PRT Order of Prince Henry – Grand Officer BAR.png Grand officer of the Order of Prince Henry
  • POR Ordem do Merito Comendador BAR.svg Commander of the Order of Merit
  • Cordão Autonómico de Distinção

Sources:

The Associated Press News Services. “Ronaldo called up to lead Portugal in Nations League”. The Associated Press. Friday, September 15, 2022.

Football Reference News Services. “Cristiano Ronaldo”. Football Reference. Friday, September 15, 2022.

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Luckily for Real Madrid Karim Benzema’s Tendon Injury is Minor

Benzema injury is minorOn Wednesday, September 7th, 2022 the Real Madrid football club was extremely relieved to announce that their superstar French striker, Karim Benzema, is actually not projected to be sidelined for all that long after he suffered a tendon injury as well as a strained muscle in his upper thigh of his right leg.

The Injury

Real Madrid was forced to substitute for Benzema during the 30th – minute of Real Madrid’s 3 to 0 win at Celtic in the squad’s 1st – match of the group stage of the Champions League competition on Tuesday, September 6th, 2022.

Real Madrid disclosed that Benzema was diagnosed with, “an injury to the semitendinosus tendon and a strain to the quadricep muscle in his right thigh.”

Time away from Football Activities for Karim Benzema

The Real Madrid football club was unable to provide any sort of a timeline for the return of Benzema as they stated his recovery will be continuously assessed throughout his rehabilitation of the recovery process.

Many of the Spanish media outlets have said Karim is anticipated to be out of action for at least a couple of weeks, which means Benzema will most likely have to sit out of the Madrid city derby at Atlético Madrid in the La Liga Spanish League competition which is currently scheduled to be played on Sunday, September 18th, 2022.

The highly talented goal scorer should be able to recover in time to join France’s national team in order to prepare for the 2022 World Cup during the upcoming international break.

Benzema pulled up limping during a hard sprint while controlling the ball following him assisting the Real Madrid defense in the backfield of the pitch earlier this during their match at Celtic. Karim immediately put his hand up on his face as he had to slowly walked off the playing field and he was eventually replaced by Eden Hazard, who ultimately managed to score a goal as well as helping to set up his teammates on 2 other goals.

The head coach of the Real Madrid football club, Carlo Ancelotti, attempted to downplay Karim’s injury following the conclusion of the game as he said it did not appear to be a very serious injury or a major setback for his team.

The Importance of Karim Benzema to his Football Club

The now 34 – year – old striker is coming off of the best ever season of his decorated and illustrious professional football career, when he was the leading goal scorer in both the Champions League as well as the La Liga Spanish League competitions that Real Madrid managed to win.

Benzema scored 15 – goals in just the Champions League this season, and his performances included some very dramatic and decisive goals in the Real Madrid’s outstanding run to their current record of their 14th – European championship title.

Karim Benzema’s Football Career Achievements, Honors, & Awards

Club

Lyon

  • Ligue 1: 2004 – 2005, 2005 – 2006, 2006 – 2007, 2007 – 2008
  • Coupe de France: 2007 – 2008
  • Trophée des Champions: 2006, 2007

Real Madrid

  • La Liga: 2011 – 2012, 2016 – 2017, 2019 – 2020, 2021 – 2022
  • Copa del Rey: 2010 – 2011, 2013 – 2014
  • Supercopa de España: 2012, 2017, 2019 – 2020, 2021 – 2022
  • UEFA Champions League: 2013 – 2014, 2015 – 2016, 2016 – 2017, 2017 – 2018, 2021 – 2022
  • UEFA Super Cup: 2014, 2016, 2017, 2022
  • FIFA Club World Cup: 2014, 2016, 2017, 2018

International

France – U17

  • UEFA European Under – 17 Championship: 2004

France

  • UEFA Nations League: 2020 – 2021

Individual

Lyon

  • Bravo Award: 2008
  • Ligue 1 Top Scorer: 2007 – 2008
  • Coupe de France Top Scorer: 2007 – 2008
  • UNFP Ligue 1 Player of the Month: January 2008, April 2008
  • UNFP Ligue 1 Player of the Year: 2007 – 2008
  • UNFP Ligue 1 Team of the Year: 2007 – 2008
  • Golden Lion for the Best Lyon Sportsman: 2007, 2008
  • French Rookie of the Year: 2006
  • Peace Cup Best player: 2007
  • Peace Cup Bronze Boot: 2007
  • Étoile d’Or: 2007 – 2008

Real Madrid

  • UEFA Men’s Player of the Year: 2021 – 2022
  • Onze d’Or: 2020 – 2021, 2021 – 2022
  • French Player of the Year: 2011, 2012, 2014, 2021
  • UEFA Champions League Player of the Season: 2021 – 2022
  • UEFA Champions League Top Goal Scorer: 2021 – 2022
  • UEFA Champions League Top Assist Provider: 2011 – 2012
  • UEFA Champions League Squad of the Season: 2020 – 2021
  • UEFA Champions League Team of the Season: 2021 – 2022
  • La Liga Player of the Season: 2019 – 2020
  • La Liga Best Player (voted by Marca fans): 2019 – 2020, 2020 – 2021, 2021 – 2022
  • Trofeo Alfredo Di Stéfano: 2019 – 2020
  • Pichichi Trophy: 2021 – 2022
  • La Liga Team of the Season: 2018 – 2019, 2019 – 2020, 2020 – 2021, 2021 – 2022
  • UEFA La Liga Team of the Season: 2019 – 2020
  • La Liga Player of the Month: October 2014, June 2020, March 2021, September 2021, April 2022
  • Supercopa de España Top Scorer: 2021 – 2022
  • Real Madrid Player of the Season: 2015 – 2016, 2018 – 2019, 2019 – 2020, 2021 – 2022
  • Best French Player playing Abroad: 2019, 2021, 2022
  • AS Player of the Year: 2021
  • Kicker Player of the Season: 2022
  • Madrid Sports Press Association Award (APDM)
  • ESM Team of the Year: 2020 – 2021, 2021 – 2022
  • L’Équipe’s Team of the Year: 2020, 2021
  • Ballon d’Or Nominee: 2009, 2011, 2012, 2014, 2015, 2017, 2018, 2019, 2021
  • FIFA FIFPRO World 11 Nominee: 2009, 2011, 2012, 2014, 2015, 2016, 2017, 2018, 2019, 2021
  • UNFP Best French Player playing Abroad Nominee: 2016, 2017, 2018
  • Member of Guinness World Records 2021: Player with the most consecutive seasons in the UEFA Champions League (qualified in the competition without interruption since 2005)

France

  • 2005 UEFA – CAF Meridian Cup Top Scorer
  • 2014 FIFA World Cup Man of the Match: Honduras (GS), Switzerland (GS)
  • UEFA Euro 2020 Star of the Match: Portugal (GS)
  • UEFA European Championship Bronze Boot: 2020
  • UEFA Nations League Final Man of the Match: 2021
  • UEFA Nations League Finals Bronze Boot: 2021
  • UEFA Nations League Finals Goal of the Tournament: 2021

Sources:

Azzoni, Tales. “Relief for Real Madrid as Benzema has minor tendon injury”. The Associated Press. Wednesday, September 7, 2022.

Football Reference News Services. “Karim Benzema”. Football Reference. Friday, September 9, 2022.

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