Congress considers legalizing Internet poker

A House subcommittee heard testimony today on legalizing online poker.

The bill would let gamblers place bets and collect winnings via the Internet. Republican Congressman John Campbell of Irvine told the Commerce, Trade and Consumer Protection Subcommittee that Americans are gambling now unprotected on offshore websites. "There’s no regulation," he says. "There’s no oversight. They don’t know if they’re going to get the money they’re betting. They don’t know if the game is fair."

Gamblers who lost $150 million when the online site Full Tilt Poker went bust may have a shot at getting their money back. The Justice Department and a French investment group reached an agreement yesterday that would let U.S. poker players sue the offshore gaming company. It doesn’t guarantee the gamblers would get reimbursed. Campbell says the Full Tilt case shows that trying to outlaw online gambling is a bust. "Many Americans don’t drink. Most drink responsibly. Some have a problem. We tried making that illegal. We tried prohibiting it. It didn’t work. We forced a lot of honest Americans, because they were going to do it anyway, into a dishonest and illegal practice. And so prohibition was ended."

Subcommittee chair, Republican Congresswoman Mary Bono Mack, says she wants everyone “dealt a fair hand.” She says she's taking a "very careful approach when it comes to this issue and I want to examine all of the relevant facts before deciding whether or not to proceed."

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Bono Mack’s Palm Springs district includes seven Indian casinos. Indian gaming earned more than $26 billion nationwide last year. Bono Mack says she wants to know how Internet poker would affect that revenue.