by Mike Masnick
Mon, Nov 10th 2008 4:55pm
Even as some of our elected representatives are trying to re-legalize poker, the White House appears to be trying to shove through the regulations put in place a couple years ago to stop online gambling. The Unlawful Internet Gambling Enforcement Act of 2006 put the responsibility on financial institutions to stop any financial transactions used in online gambling. As we see all too often, it's a situation where the government is putting the liability on a third party to stop an undesirable activity, rather than on those actually involved in the activity. Not surprisingly, financial institutions have been protesting any regulations enforcing this law -- and with the current financial collapse going on, they're pushing back hard on any effort to enforce the law. So, what happens? Apparently, the White House has assigned a former NFL lobbyist working for the White House to try to force the regulations through, apparently putting tremendous pressure to get things moving. Congress is now asking the White House to explain why they're trying to rush this through, just as financial institutions are having so much trouble. It certainly does raise questions. Considering the push to reverse the law in the first place, combined with the protests from financial institutions that it shouldn't be their problem to stop online gambling, why is the White House putting excess pressure to try to make it happen?
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