US Legislators Ask Treasury To Wait On Casino Rules

US Legislators have sent a letter to the Treasury Department asking for an immediate postponement of the implementation of the regulations against online gambling payment processing. They cite that the UIGEA rules would cause economic stress during an already critical period of recovery for the financial industry.



The message was sent featuring the signatures of Representatives Barney Frank and Pete King, and fifteen others joined in. The group asserted that the UIGEA is fundamentally flawed, and it also faces legislation delay implementation and to regulate Internet gambling, which would effectively repeal the UIGEA. “We also believe this is an unreasonable burden on regulators and the financial-services industry at a time of economic crisis,” wrote the collective Congressmen, a statement carrying weight due to Frank’s position as head of the Financial Services Committee.



The UIGEA makes it illegal for payment processors, including credit card companies, to handle transactions involving illegal online gambling. A recent court decision found that the law does not itself make any gaming illegal, but only prevents payments for gambling that has been made illegal by existing state laws. The legislators told the Treasury that the bills to delay and remove the UIGEA are likely to advance through Congress before the end of this year.