News rund ums I-Gaming - 500 Beiträge pro Seite

[RAZ]

Hallo zusammen,

da sich in der letzten Zeit einige News im I-Gaming aufgetan haben und die Quellen nicht zu versiegen scheinen, möchte ich hiermit einen Thread eröffnen, der sich mit den News rund ums I-Gaming im allgemeinen beschäftigen wird. Einige Analysten der Investmenthäuser Bear Stearns, Merril Lynch, ABN Amro, Morgan Stanley Dean Writer u.a. setzen sich bereits heute mit diesem Thema auseinander ... und es scheint so, als würden es mehr und mehr. Hier geht es nicht ausschließlich um Starnet ( ich bin seit mehr als 2 Jahren investiert), hierbei geht es um eine Branche, die vor excellenten Wachstumschancen bzw. -prognosen steht. Ich hoffe die ein oder andere News, wird Euer Gehör finden ... und dazu führen, daß Ihr an dieser Chance partizipieren könnt.

Viel Glück

RAZ

[RAZ]

Lawmakers Amend Nevada`s Internet Gaming Bill
Fri May 18 2001

The Internet gaming portion of Nevada Assembly Bill 578 is being "tweaked" in the Senate Judiciary Committee; casino reps, slot manufacturers, and lawmakers are requesting a variety of amendments. The bill would enable state gaming regulators to permit hotel-casinos that hold unrestricted gaming licenses to offer games on the Internet as long as online gaming is proven secure and legal. One proposed amendment to the bill is a measure that would reduce the license fee for gaming manufacturers from $250,000 to $75,000. Another amendment would allow the Longstreet Hotel-Casino in Nye County to enter into Internet gaming. Another unrelated amendment deals with labor unions in casinos and another concerns bets on fixed sporting events. Yet another amendment related to the suitability of landlords in businesses that have slot machines. "My bill has everything in it but the kitchen sink," says Gaming Control Board Chairman Dennis Neilander of AB578, originally a housekeeping bill for the board. The Senate Judiciary committee has until today to pass the bill on to the full Senate.
The Las Vegas Sun has the complete story.


Nevada wird der erste Staat in US sein, der selber Lizenzen für das I-Gaming vergibt.

Grüße

RAZ

[RAZ]

LV Casinos No Longer Support Internet Gambling Ban
Thu May 17 2001

Last Congress, Senator Jon Kyl and Representative Robert W. Goodlatte sponsored legislation to ban Internet gambling, but Kyl admits that given the casino industry`s change of heart and the power of its lobby, the window to pass such a law "may have closed." J. Terrence Lanni, chairman and chief executive of MGM Mirage and one of the most powerful men in the casino lobby, predicts that when the American Gaming Association meets on Tuesday, there "may well be a vote against reintroduction of the bill." Lanni, a prominent AGA board member, opposed Internet gambling until late 1999. Then he realized that even with a ban, people would still be able to gain access to overseas gambling sites. "My view, very simply, is you should not put American business at a disadvantage to business outside the U.S.," says Lanni. Philip G. Satre, chairman and chief executive of Harrah`s Entertainment and another prominent member of the AGA board, will also support a reversal of the gaming industry`s position on Internet gambling. Gary Thompson, Harrah`s spokesman, says that once questions about enforcement and legality are cleared up, and presuming Internet gambling fits his company`s code of ethics, "we plan to be a player."
The New York Times has the complete two-page story (free registration required).


Diese Nachricht war eine der wichtigsten Nachrichten der letzten Monate zum Thema I-Gaming in den USA. Die großen "landbased" Casinos entziehen einem möglichen Verbot in den USA ihre Unterstützung und wollen nun selber am "Kuchen" teilhaben.

Grüße

RAZ

[butzbutz]

Gute Idee raz, wie Du richtig erwähnst schon aufgrund der enormen
Ausichten weltweit (hoffentlich auch für Starnet) ist diese Zusammenfassung der Neuigkeiten unbedingt
lohnenswert und als selbständiger thread gerechtfertigt; zumal Du als
"unermüdliche Suchmaschine" auf diesem Sektor der "leader" bist!

Thanks and keep up!

butz

[butzbutz]

Nachtrag: Vor allen Dingen die Form mit anschließender und
komprimierten Zusammenfassung ist für jeden schnell erfassbar!

butz

[RAZ]

@butz,

danke für die Blumen, aber bei Vergabe dieses Titel möchte ich Offi ( der gerade lecker auf Antigua an einer Pinacolada schlürft) nicht vergessen. Der Junge hat ja schließlich über weite Strecken des letzten+diesen Jahres die Gemeinde mit Infos rund um und über Starnet beliefert. Und ich denke er wird uns noch mit mehr versorgen ...

Zu der kleinen Zusammenfassung, werde ich leider nicht immer meine Zeit finden.

Grüße

RAZ

PS: Es ist übrigens jeder herzlich eingeladen Infos zu posten!


NEWS:

Nevada Senate Judiciary Committee Passes AB578
Tue May 22 2001

The bill to legalize Internet gambling in Nevada, AB578, moved another step closer to becoming state law yesterday when the Senate Judiciary Committee passed the bill with a few amendments. If regulators determine that Internet gambling is secure and legal, the law would allow hotel-casinos with unrestricted gaming licenses to seek an interactive gambling license for a $500,000 application fee plus a 6.25 percent tax on gross revenue. State Gaming Control Board Chairman Dennis Neilander assured the committee that regulators would ensure that Nevada is in compliance with federal law. Senate Minority Leader Dina Titus says, "We need to have things in place if the federal government says it`s legal. It`s a considerable source of revenue for the state." The bill now goes to the Senate floor.
The Las Vegas Sun has the complete story.



sowie ...



South Africa Bets on Regulating Net Gambling
Tue May 22 2001

The National Gambling Board of South Africa confirmed this week that it paid more than 900,000 rand to DGS, an Australian firm, to draft a framework for the regulation of Internet gambling. Chris Fismer, chairman of the board, says that South Africa is "confronted with the fact that online gambling cannot be prohibited." Fismer maintains that even though it might be desirable to halt the rapid development of online gaming, it is unlikely that any government can do so. Thousands of web sites now offer some form of wagering and Fismer says that South Africa is unlikely to be able to prosecute offshore Internet casino operators. "It is clear that the only viable option is to ensure that online gambling is regulated and monitored by the gambling board," he concludes. In the envisaged regulatory framework, South Africa`s major casino operators could apply for a licence to offer online gambling services. The government would keep records of the activities of the online casino to impose taxes and other regulations. Regulatory proposals will be presented to Parliament later this year, and the new regulatory framework is expected to be finalized by next year.
The Daily Mail & Guardian (South Africa) has the story.

Cheerio

RAZ

[RAZ]

ELOT hat seit einer Woche +100% und mehr ! zugelegt. Begründete sich im wesentlichen auf die PR zur Nevada Entscheidung. Dennoch folgender Hinweis für die Interessierten. BTW, ELOT ist noch Nasdaq notiert...

www.investrend.com

eLOT, Inc. (ELOT)

By Gerald F. LaKarnafeaux, CFA
May 20, 2001

Liquidity is the predominant issue in evaluating the investment merits of eLOT. The Company must raise cash over the very near term. The results of the first quarter ending March 31, 2001 included a number of positive developments that will provide revenue growth six to twelve months in the future. Unfortunately, that is not soon enough to ease the immediate cash crisis. The Company reported cash of $2.5 million at the end of March. Operating costs (excluding non-cash charges) in the second quarter are estimated to be $2.4 million. In April, eLOT borrowed $700,000 against the cash value of life insurance policies related to the old Executone business. Another $400,000, from the same source, will be available in the current month. An increase in Revenues of approximately $300,000 over the first quarter`s $345,000 provided by Network60 and firming advertising rates, could add gross profit of $200,000 not all of which would be collected during the quarter. By the end of the second quarter, six weeks from now, the Company will be down to about $1.0 million to $1.5 million of cash with a monthly burn rate of $700,000. Clearly, management`s vigorous efforts to raise outside capital must meet with success within the next sixty to ninety days.

The Company is pursuing two sources of liquidity. For the past six months, the Company, through an investment banking firm, has been attempting to monitize, all or part of, its remaining legacy asset, the 51% stock position in the privately-held company, Dialogic Communications Corporation (DCC). DCC itself is seeking capital in the institutional venture capital market to fund its growth. The financing proposal calls for a portion of the proceeds of the DCC financing to be used to acquire half of the eLOT position in DCC. It has been suggested that a 51% ownership interest in DCC might carry a $15.0 million to $ 20.0 million valuation. However, it is arguable whether or not a VC investor would be interested in cashing-out an existing shareholder without a substantial price concession. Concurrent with the effort to sell the DCC block is the attempt to privately place an offering of eLOT equity equivalent securities.

On May 17, the Company made its case to dissuade the NASDAQ Listing Qualification Panel from delisting eLOT stock from trading on the NASDAQ National Market due to non-compliance of the minimum $1.00 stock price rule. The Company is expecting to hear from the panel within the next two weeks.

In spite of the ominous short term issues of shrinking liquidity and the possibility of NASDAQ delisting the stock, eLOT`s shares traded up by nearly 40% last week on high volume. The strong stock performance may be related to the improved prospects of Internet lottery sales. The momentum is waning for passage of federal legislation that might have, indirectly, restricted Internet lottery ticket sales. With the immanent passage of legislation in Nevada, which conditionally legalizes Internet casino gambling, the issue of online gambling is likely to remain an option of the individual states. The climate for online lottery ticket sales is changing in eLOT`s favor.

Grüße

RAZ

[RAZ]

( BW)(POKER.COM)(PKER) Poker.Com: Exceptional Growth in Internet Gaming

Business Editors and Entertainment Writers

VANCOUVER, British Columbia--(BUSINESS WIRE)--May 24, 2001--Poker.com, Inc. (NASD OTC BB:PKER.OB), a leading provider of online gaming systems, announces that its licensee, Antico Holdings S.A. has dealt it`s millionth hand on www.poker.com.
Antico Holdings S.A. implemented the 2nd generation poker software at the beginning of 2001 and has now dealt more than one million hands. The speed in achieving this milestone shows the growth and potential of owning and operating an online poker card room.
The Wall Street Investment Banking firm of Bear Sterns & Co has substantiated this growth, reporting that Internet betting sites are expected to win $2.5 billion this year, $3.5 billion in 2002 and $5 billion in 2003.
Las Vegas casinos are also no longer supporting a ban on Internet gaming. The Nevada bill to legalize interactive gambling moved another step closer to law late when the state Senate Judiciary Committee passed the bill with only one dissenting vote. It now goes to the floor for consideration by the entire state Senate. If the Senate passes the bill, AB 578, and it is signed by Gov. Kenny Guinn, Nevada will become the first U.S. state to legalize Internet gambling.
Recent conference calls regarding Poker.com can be viewed on www.streamingnews.net and www.ceocast.com. Earlier this week, CNBC aired a segment on Internet gaming where Poker.com CEO, Michael Jackson, was interviewed.
Poker.com will be attending the Global Interactive Gaming Summit & Expo in Toronto on June 5-7, 2001. The 2001 Summit & Expo is a three-day event consisting of many informative presentations as well as time to network with the leaders of the Online Gaming Industry.

About Poker.com

Poker.com, Inc. (PKER.OB) a fully reporting NASD OTC BB company, is a licensing and marketing company that sells and sublicenses Internet Poker and Casino gaming systems and has the exclusive worldwide rights to market the poker.com domain name. The company`s main sources of revenues are derived from Poker card rooms, Casino licenses, royalty fees, marketing fees, and banner sales.
It is Poker.com, Inc.`s mission to establish www.poker.com as the most popular gaming portal site on the Internet. Poker.com, Inc. is fully utilizing the marketing potential of its widely recognized domain to position itself as the leading gaming software vendor and online gaming portal on the Internet.


Poker.com nutzt die Software von Starnet.

Grüße

RAZ

[RAZ]

American Gaming Association Takes Neutral Stance on Internet Gambling


ATLANTIC CITY, New Jersey –– As reported by The Press of Atlantic City: “The casino industry, as represented by the American Gaming Association, said Wednesday it will not support the concept of legalized Internet gambling.

”Nor, however, did the industry oppose it.

”…The AGA directors expressed varying opinions on the merits of supporting or opposing Internet gambling, [AGA President Frank Fahrenkopf] said, "but they (MGM Mirage) are clearly the strongest advocate."

”…`The AGA`s support or nonsupport is not at issue,’ said Alan Feldman, MGM Mirage spokesman. `Our belief is that Internet gambling should be legalized and regulated if it can. … It seems very clear today that the day is coming when it is possible to provide the type of integrity that has made gaming possible in Nevada. That opinion may not be shared by some of our colleagues.’

”…In New Jersey, a bill that would allow Atlantic City casinos to offer Internet gambling has gone nowhere. The Casino Association of New Jersey opposes it.

”At the federal level, Sen. Jon Kyl, R-Ariz., and Rep. Bob Goodlatte, R-Va., have indicated they will reintroduce legislation to ban Internet gambling, Fahrenkopf said…”

- May 24, 2001

Die American Gaming Association nimmt eine neutrale Stellung ein und wird ein Konzept zur Legalisierung nicht unterstützen, aber auch nicht ein Verbot vorantreiben. New Jersey könnte dennoch schon der nächste US-Staat nach Nevada sein, der die Legalisierung des I-Gambling voranbringt.

Grüße

RAZ

[RAZ]

Global Interactive Gaming Summit & Expo Set for June


TORONTO, Canada –(Press Release) -- Hundreds will gather June 5-7 in Toronto at what promises to be the biggest trade show the interactive gambling industry has seen to date. Twenty-nine internationally recognized I-gaming experts will speak about the key issues facing the industry as 42 vendors exhibit the industry`s latest wares and services at the third annual Global Interactive Gaming Summit & Expo.

The event, to be held at the beautiful Royal York Hotel in the heart of downtown Toronto, is expected to draw at least 700 delegates from over 35 countries. Among attendees will be numerous key figures in what analyst Sebastian Sinclair projects to be a US$6.3 billion industry by the year 2003.

Exhibitors will showcase the industry`s latest advancements in telecommunications, gaming software, transaction processing, marketing and security technology. Many will use the event as a platform to introduce new products.

The lineup of speakers delivers a level of I-gaming expertise that is unmatched by any other event. Complementing the ensemble will be keynote speaker John Perry Barlow. Dubbed the ``Thomas Jefferson of Cyberspace`` by Yahoo magazine, Barlow is an eclectic Internet visionary whose long list of credits range from co-founding the Electronic Frontier Foundation to writing lyrics for the Grateful Dead for more than two decades.

``John Perry Barlow is internationally recognized as an advocate of the freedom of the Internet,`` noted Sue Schneider, CEO of The River City Group, which produces the Summit. ``His comments are thought-provoking and listened to worldwide by policy-makers who are fashioning the future of this new medium.``

Seminar topics include such concerns as licensing and regulatory issues, public perceptions of the industry, financial transactions, emerging online gaming products and investment opportunities in the industry. Several key industry issues will be addressed, including: burgeoning media such as wireless devices and Interactive TV; the rise of Internet gambling in Nevada and throughout the US; the convergence of the land-based and virtual gambling industries; emerging jurisdictions in Europe; challenges faced by the electronic transaction sector; and the future of I-gambling in Australia.

- May 24, 2001

Grüße

RAZ

[RAZ]

Las Vegas Casinos Elated Over Senator Reid`s Promotion

by Our Partners at the Las Vegas Sun


by Jeff German

LAS VEGAS, Nevada –- Casino industry leaders were ecstatic today over the news that Sen. Harry Reid, Democrat-Nevada, will become the second most powerful member of the Senate.

Reid, arguably the industry`s biggest supporter in Washington, brokered a deal this week for Republican Sen. James Jeffords of Vermont to turn independent and give the Democrats a 50-49 majority.

The party switch makes Reid the Senate`s majority whip and assistant majority leader, and the highest ranking Nevadan ever to serve in the upper house.

"This is very positive news for the industry and the state of Nevada," said American Gaming Association President Frank Fahrenkopf, the industry`s chief Washington lobbyist. "Having a Nevadan in that position makes a helluva lot of difference."

Wayne Mehl, the Washington lobbyist for the Nevada Resort Association, gaming`s political arm in Las Vegas, said Reid will give the industry a big advantage on Capitol Hill as it fends off relentless attacks from the religious right.

"Having someone there with his experience, his knowledge and now his power is awesome," Mehl said. "It will have an impact the minute he assumes that role."

Mehl said outgoing Majority Leader Trent Lott, R-Miss., was an ally of industry, but often was subject to other political pressures when issues important to Nevada surfaced.

"He didn`t have the same level of concern for those issues," Mehl said. "With Harry in there, we don`t have to worry about that."

MGM-MIRAGE Chairman Terry Lanni, an influential Republican who has been a strong Reid supporter over the years, said he was pleased to see Nevada`s senior senator rise to such prominence.

"Harry Reid has been an extremely competent senator," Lanni said. "His peers obviously recognized the qualities the man possesses.

"He`s a very straight-forward person who has passion about what he believes in, and he`s been supportive of the issues that are of great importance to Nevada and its largest industry."

Sen. John Ensign, R-Nev., said Jeffords` defection, which was a "long time coming," has created a somber mood among his Republican colleagues.

"I think the general feeling is to try to learn from this and get better from this and try to figure out where we go from here," he said.

Ensign said Reid was directly responsible for persuading Jeffords to go independent.

"Harry deserves credit for getting this done," he said. "If I would have been in a position to do it, I would have done the same thing. It was a very smart move on his part."

Ensign said he believes Nevada would have been better off with Republicans in control of the Senate.

But he added "there are some positives" in the change in leadership, primarily Reid`s rise to the top.

Ensign and Reid have struck a cordial and good working relationship since Ensign joined the Senate this year.

Democratic talks with Jeffords intensified the past two weeks, with Reid and Democratic Leader Tom Daschle of South Dakota doing most of the negotiating, Capitol Hill sources said.

Reid appeared with Daschle this morning before reporters to announce the shift in power in the Senate.

The Jeffords talks provided Reid, the current assistant Democratic leader, with a chance to showcase his skills at backroom dealing.

"This was Harry Reid at his best," one source close to the senator said. "You close the doors and behind the scenes and there`s no better dealmaker than Harry Reid.

"He understands what appeals to people. Nobody can can relate better with people on a personal level than him."

Reid`s willingness to give up the chairmanship of the Environment and Public Works Committee to Jeffords was regarded as the key to striking a deal.

By engineering the takeover for the Democrats, Reid is expected to hold political markers with his colleagues that will come into play when the casino industry fends off its critics on the Hill in the months ahead.

His new role as the No. 2 man in the Senate is expected to have an immediate impact on Nevada`s fight with the NCAA over a ban on college sports betting, as well as the epic battle to keep high-level nuclear wast out of the state.


Das wird wohl der Mann sein, der in Zukunft die Dinge in eine andere Richtung schaukeln kann.

Grüße

RAZ

[RAZ]

Wall St. Journal, Friday, May 25, 2001

Nevada Lawmakers Consider Licensing of Online Gambling
By CHRISTINA BINKLEY
Staff Reporter of THE WALL STREET JOURNAL

Nevada lawmakers could authorize regulators as early as this weekend to design a licensing framework for online gambling. The move could pave the way for Web wagering in the U.S.

If the measure passes into law, as expected, other hurdles are likely to postpone the onset of legal online gambling in the U.S. for at least a year. The Nevada law could become a model for online-gambling regulations in other states.

Local Casinos Are Still Flush Despite a Softened Economy (May 23)

Cybercasinos Increase Difficulty of Curbing Gambling on Internet (Aug. 23, 2000)

Investors are already speculating on stocks of companies that might benefit from the Nevada law. Casinos and other Internet games and sports-betting companies are jockeying for position, providing free online games or readying systems that could be quickly converted to gambling.

"Right now, all the casinos are getting ready by having games -- not for cash, but for points," says Merle Berman, the Nevada state assemblywoman who sponsored the gambling bill. One of those with free games is Harrah`s Entertainment Inc. "In the event that it were to become legal, we would like to be prepared to participate," said Gary Loveman, president of Las Vegas-based Harrah`s.

The Internet has also recently seen a huge proliferation of game sites and skill-based pay-to-play games, said Linda Goldstein, a New York attorney who advises many of these Web-games companies on how to design their products legally. "I would predict that there would be an almost immediate conversion of those games" to gambling.

In addition, new sports-gambling sites, which enjoy wider legal latitude in the U.S. under parimutuel laws, are popping up or expanding every day. Chicago-based Playboy Enterprises Inc. two weeks ago launched PlayboySportsBook.com, a site that accepts sports wagers from outside the U.S.

Gemstar-TV Guide International Inc., of Pasadena, Calif., stuck its toe in the water by forming an alliance with Youbet.com (www.youbet.com), Woodland Hills, Calif., which accepts online horse-racing bets in 39 states. Interactive Systems Worldwide Inc., which is based in West Paterson, N.J., and has developed online sports-gambling software, has seen its stock more than triple in recent weeks to $2.75 in 4 p.m. Nasdaq Stock Market trading Thursday, from its 52-week low of 76 cents.

The holy grail for casinos is to market online gambling internationally -- a market that has been estimated at more than $4 billion annually. "I think within the next several years, [online gambling in the U.S.] could be a very meaningful business," said Merrill Lynch analyst David Anders. "The big advantages the Nevada casinos have are recognized brand names and the trust of the public that they`ll pay off wagers."

Observers such as Frank Catania, a consultant and former Nevada gambling regulator, are predicting the Nevada bill will pass before the close of the legislative session June 4. That would empower regulators to study ways to ensure that licensed Internet gambling sites could block minors and residents out of places where Internet gambling is illegal.

Nevada regulators have already approved similar systems for online sports betting within the state, and a host of technology companies claim they have devised safeguarding methods. Some bar minors by requiring individuals to come in person to the casino at least once to set up an account. Other systems being discussed would use optical thumb-printing technology to identify players on the Internet. At least one company claims its technology can identify where players` computers are, thereby barring them from betting if they are in an illegal jurisdiction.

While federal law is currently interpreted to ban online gambling, many observers expect a bill to be presented soon in Washington that would explicitly legalize Internet gambling in states that approve it, making Web casinos a states-rights issue similar to bricks-and-mortar casinos.

Write to Christina Binkley at [e-mail]

Das nenne ich PR in Sachen I-Gaming.

Sonniges Wochenende

RAZ

[RAZ]

Nevada set to approve Net betting

If regulators approve, casinos could add cyberspace operations
The state is acting to make sure that the neon lights of gambling`s ground zero -- "The Strip" in Las Vegas -- aren`t diminished by online competition.


By Mike Brunker
MSNBC

May 25 — The Nevada Legislature is about to place a big pile of chips on the table by approving legislation that would allow casinos to conduct online gambling once state regulators were convinced they could effectively monitor it. But while the bill would make Nevada the first state to authorize Internet wagering, a number of hurdles remain before the first virtual dice can be tossed.

‘I feel Nevada should be the one to take a hard look at it and determine whether it can be regulated properly.’
— BRIAN SANDOVAL
Chairman of the Nevada Gaming Commission THE BILL has been approved by the state Assembly and appears assured of passage in the Senate by Monday. Republican Gov. Kenny Guinn has not publicly taken a position on the legislation, but gambling industry insiders have expressed confidence that he will sign it.
The legislation, introduced by Assemblywoman Merle Berman, R-Las Vegas, instructs state gaming regulators to determine whether they can ensure that Internet gambling games are fair, that operators can prevent minors from playing and that the games are conducted only where lawful. If the regulators reply in the affirmative, Nevada’s licensed gambling operators — or at least the bigger ones — will be able to begin offering online betting.
Asked how long it might take the state Gaming Commission and the state Gaming Control Board to determine whether those criteria could be met, Commission Chairman Brian Sandoval replied: “That’s the $64,000 question. Not to be flip, but it will take as long as it takes.”

THE FIRST STEP
The first step in the process would be to go to the Justice Department and see whether conducting Internet gambling would violate federal law, Sandoval said. That question is open to legal interpretation, but the Justice Department has prosecuted operators who have tried to conduct online gambling from the United States, as well as about 20 Americans involved in offshore operations.

But Nevada regulators would have on their side a recent U.S. District Court ruling that concluded that the Wire Communications Act, a 1960s law that bans the use of telephones to accept wagers on sporting events, doesn’t apply to casino-style games played on the Internet.
If that hurdle is met, the regulators would turn to looking at a host of possible solutions aimed at preventing minors and residents of jurisdictions where online gambling is illegal from being able to play.
Anthony Cabot, a Las Vegas lawyer and author of “The Internet Gambling Report,” said technical means exist to accomplish both goals, although the cost could be prohibitive.
“I think they’re solvable, but the question becomes: Is the solution economically justifiable?” he said. Among the systems that could be used would be “biometrics” systems that would use unique physical characteristics like fingerprint to prevent minors from gambling, or global-positioning system software that would pinpoint the location of a computer before allowing a gambling session to begin.

TOUGH CHALLENGES
Even representatives of the online gambling industry say the challenge presented by those issues would be formidable.
Advertisement

“There are some systems that address those issues, but they are cumbersome … and there’s nothing out there that is 100 percent proven and accepted at this point,” said Sue Schneider, chairwoman of the Interactive Gaming Council, a trade group. “I wish I could come up with it, because I think I’d be a rich person.”
The other criterion — ensuring that the games were fair and honest — would be the easiest to cross off the list, most experts say, because the state could require that the gambling software log every transaction and enable real-time auditing.
While he can see the long road ahead, Sandoval, the gaming commission chairman, said he was looking forward to the task.
“I think it’s an incredible challenge, but one that as a regulator I am looking forward to,” he said. “I feel Nevada should be the one to take a hard look at it and determine whether it can be regulated properly.”
Internet Roulette: MSNBC looks at the high-stakes showdown over online gambling

Few believe that, even if everything goes smoothly, Nevada casinos will be taking bets online in less than a year. And others say 18 months to two years would still be pushing the envelope given the comprehensive testing of software that would be necessary to meet the state regulators’ standards, which are probably the most stringent in the world.
But if the big names of real world gambling were given the go-ahead, they would quickly become the 800-pound gorillas of the online landscape as well, many observers believe.

BIG PLAYERS WILL CHANGE LANDSCAPE
“Once you get the MGMs, the Harrah’s, the Trumps going online, you’re going to find that they’re attracting most of the players,” said Frank Catania, a former New Jersey gambling regulator who is now a consultant to the gambling industry. “It’s been proven that trust and comfort [on the Internet] really isn’t that high unless you’re shopping at a Macy’s or a Nordstrom’s, and the same thing will apply in gaming.”
Whether or not Nevada eventually conducts Internet gambling, approval of the legislation itself would represent a sharp shift in approach toward online betting, which in recent years has been vilified as “the crack cocaine of gambling” by opponents like Sen. Jon Kyl, R-Ariz., who failed in successive attempts to get a federal ban through Congress.
But with offshore gambling sites operating outside the reach of U.S. authorities and with state lotteries, horse racing interests and some casino operators working against a total ban, momentum appears to be shifting toward an “opt-in, opt-out” system under which the federal government would work to help states that don’t want gambling keep it from electronically crossing their borders.
Rep. Robert Goodlatte, R-Va., who has taken the baton from Kyl on the issue, said Friday that he intended to introduce legislation shortly that would concentrate on cutting off the use of financial instruments, such as credit cards and money orders, by Web sites offering gambling in violation of U.S. laws.
“If a company is engaged in legal gambling, fine,” he said. “... But it’s going to be misery for these illegal, unregulated, untaxed offshore gambling sites.”



Da wird Rober Goodlatte schlechte Karten haben, daß durchzusetzen. Hat doch erst kürzlich ein Richter in New Orleans ein klares Wort gesprochen.



Court Rules Internet Gambling Is Not Illegal

GAMBLING AND THE LAW® is a registered trademark of Professor I. Nelson Rose, Whittier Law School, Costa Mesa, CA.

A federal judge has ruled in a major decision that Internet gambling is not a crime -- sometimes.

Judge Stanwood R. Duval Jr., of the U.S. District Court in New Orleans, issued the ruling in late February 2001. He dismissed two test cases brought against MasterCard and Visa, allowing Web betting sites to continue to take credit cards.

Judge Duval gave many reasons for throwing out the suits, including a legal conclusion that Internet gambling`s main nemesis, the federal Wire Act, applies only to sports betting.

The opinion illustrates how important it is for lawyers to research the law before they file their lawsuits. With a few changes, the nation`s two largest credit card companies might have been ordered to stop being involved with Internet gambling.

The cases arose from what should have been a fairly easy legal question: If a player uses his credit card to make bets online, does he have to pay the bill when it comes in the mail?

In most states and under most sets of facts, the answer is clearly "No." Since 1710, when Queen Anne of England signed the Statute of Anne, gambling debts have been unenforceable under the common law of the English-speaking world.

Anyone who lends anyone else money, knowing the money will be used for gambling, is making a contract that is normally unenforceable.

Nevada is the best example. If a Las Vegas casino accepts an oral bet and the player loses and refuses to pay, the casino has no legal right to sue. The Nevada Legislature had to pass a special law to allow suits on written markers.

In 1991, the Massachusetts Appeals Court ruled that a gambler, Richard Kommit, did not have to pay his MasterCard bill for $5,500 cash he got from an ATM on the floor of an Atlantic City casino. The Court held that under the laws of Massachusetts, where Kommit lived, New Jersey, where he gambled, and Connecticut, where the bank issuing the MasterCard was located, credit card loans for gambling are unenforceable.

In 1998, Cynthia H. Haines was sued by MasterCard and Visa for more than $70,000, money they claimed she lost gambling via the Internet. Haines`s attorney, Ira Rothken of Corte Madera, California, filed a counterclaim. He carefully limited his legal claims to California state laws, which bar credit card loans for gambling. Although he asked for money damages, he was mainly seeking a court order that MasterCard and Visa had to stop doing business in California with online gambling operators.

The terms of the settlement are secret, but it is clear that Rothken won big.

So what did the lawyers do wrong in the most recent cases? Just about everything.

They initially filed 11 class actions in federal courts in Illinois, Alabama, New York and California. The cases, which grew to be 33 by the time of the decision, were all transferred to Judge Duval. Two were chosen to be tests of the law.

But the lawyers had chosen the wrong law. They had sued the credit card companies under the federal Racketeer Influenced and Corrupt Organizations Act ("RICO"), asking for lots and lots of money.

RICO actions are always difficult to win. Plaintiffs` lawyers would have to prove that Visa and MasterCard were part of a criminal enterprise in cahoots with Internet gaming operators. Even if the operators themselves were included as defendants, which they were not, there simply was no "enterprise." You can use your Visa to buy pizza, but does that mean Visa is in an enterprise to sell pizza?

RICO also requires a pattern of racketeering activity, meaning specific federal crimes or state gambling felonies had been committed.

Judge Duval got the parties to agree to two test cases, involving players from New Hampshire and Kansas. But plaintiffs had no way of showing these credit card companies had committed gambling felonies. Because illegal gambling is almost always a misdemeanor, there simply were no laws on the books in New Hampshire and only one in Kansas that could conceivably apply.

Plaintiffs` attorneys tried to find federal crimes. Naturally, they cited the Wire Act.

But they had made the mistake of limiting their lawsuits to Internet casinos and lotteries. Judge Duval looked to the actual language of the statute as well as its history and ruled that the Wire Act is limited to sports betting.

When the U.S. Attorneys wanted to show they could go after Internet operators, they were careful to make sure that every operation took sports bets by phone. It is unclear whether the Wire Act covers Internet casinos, but it was enacted to allow the federal government to go after bookies who took sports bets by phone.

If the complaints had been framed differently, plaintiffs might have won. My advice for any lawyer fighting Internet gambling: Forget RICO, file in state court, make sure your clients were making sports bets by phone, and don`t get greedy -- getting a court order that closes down a business will bring about a nice, large settlement.

Grüße

RAZ

[RAZ]

May 25, 2001
Mid-Atlantic Gaming Congress Talks Net Gambling

America is falling behind Europe in the online gaming industry, according to Brian Ford, national director of Ernst & Young`s Gaming Industry Services Group. `The world is doing it and we`re not. That`s an important message.`
At a panel discussion focused on the ever-expanding phenomenon of Internet gambling, speakers such as Ford and Steve Donoughue, managing partner of Gambling Consultancy Ltd., spoke out against timidity in embracing the new oppotunities in the gaming community. Donoughue pointed out the importance of currently-established American brands, known to gamblers for their land-vased operations, and how the stregth of those brands could translate into immense popularty on the World Wide Web.

The conference itself came off directly on the heels of statement from the American Gaming Association, who hold a very different view about the possible scenarios for legalized virtual gambling. The AGA continues to worry over the integrity of the games themselves, the security of financial transactions, and the social effects that legitimate online gambling in the U.S. could produce.

As the debate continues, `cyber casinos` from many parts of the world continue to do business with American consumers, regardless of federal law or proposed policy. Atlantic City is highly regarded as the country`s second-largest gambling mecca. In Nevada, Las Vegas casinos are beginning to get excited over a new state-wide measure that would grant licenses to operate online wagering services and virtual casinos. Only time will tell whether A.C. will follow suit or fold.

Grüße

RAZ

[RAZ]

30% Rise In North American I-Gaming Stock Index In 2 Weeks
By John M. Dutton
May 29, 2001. Led by CryptoLogic (NASDAQ: CRYP) and Scientific Games (AMEX: SGM), the North American I-Gaming Index market cap has risen $144 million or 30% since May 15. Responding to the improved climate for Interactive Gaming in North America, these two leading companies rose in value $73 million (CRYP) and $44 million (SGM) respectively. CryptoLogic is the largest licensor of casino games software to individual licensees and the land based casinos moving onto the Internet. Scientific Games has perhaps the broadest purview, representing over 75% - 80% of the world`s market in tote systems for horseracing and other pari mutueal applications, and prints over 70% of the world`s instant lottery tickets. This is being coupled with a growing Internet presence in these markets. ELOT (NASDAQ: ELOT) rose 93% or $17 million, reflecting the improved outlook for the state lotteries to use the Internet to facilitate their growth. Youbet (NASDAQ: UBET) rose 22% on news of its venture with TVG. Starnet (OTCBB: SNMM) during this period was up 16%.

Grüße

RAZ

[RAZ]

Discover Card Refuses Online Gambling Accounts
Mon May 28 2001

Discover Card has signed an agreement in a California superior court, saying that it will not operate merchant accounts with online casino companies that may do business with California residents. The credit card company signed the agreement after a legal dispute with Frederick Marino, an online gambler who lost more than $70,000 by betting at Internet casinos. Marino sued both Discover and American Express two years ago for allowing him to charge at the online casinos. Marino`s attorney, Ira Rothken, downplayed the fact that Marino ran up a gambling debt he could not afford. "That`s not what this case is about," said Rothken. "The greater evil is the credit card companies trying to make money off of people gambling online." Discover agreed to relieve Marino the $700 he charged on his card and pay $2,000 in attorney`s fees. Discover Card says its policy for years has been not to do business with any site that it knows participates in online gambling. If the company finds out that one of its clients is running an online casino, it pulls the account.
CNET has the complete story.

Das ist allerdings ein Schritt zurück. Sowas ist wohl nur in Amiland möglich?!

Grüße

RAZ

[RAZ]

Schade ... Californien stimmt gegen das I-Gambling.

California Assembly Approves Internet Gambling Ban
Thu May 31 2001

In a 61-2 vote Wednesday, the California Assembly approved a bill that would make Internet gambling a crime for both Californians and the web site operators that allow Californians to engage in games that are otherwise not legal in the state—including dice, blackjack and baccarat. The approved bill now heads to the Senate. According to the bill, a Californian convicted of illegal online gambling would be guilty of an infraction and face a $25 fine per transaction on the first offense and $100 fines on subsequent transactions. A gambling site operator that targets Californians would be guilty of a misdemeanor and face a maximum penalty of 90 days in jail and a fine of $1,000 per transaction. The bill`s author, Assemblyman Dario Frommer, says that the bill allows California prosecutors to "go after offshore gaming interests and make sure they are not taking advantage of our residents here."
The Sacramento Bee has the AP report.

So in etwa könnten dann also die möglichen Strafen für Starnet aussehen, sollten Sie tatsächlich angeklagt werden. Stellt sich nur die Frage, wieviele "illegale" Transaktionen sind bei Starnet gelaufen.

Grüße

RAZ

[shot99]

RAZ:
"So in etwa könnten dann also die möglichen Strafen für Starnet aussehen, sollten Sie tatsächlich angeklagt werden. Stellt sich nur die Frage, wieviele "illegale" Transaktionen sind bei Starnet gelaufen."

Der Gesetzentwurf wurde am 31.05.2001 genehmigt.
Für eine Verurteilung von starnet fehlt jede Rechtsgrundlage, da die Vorwürfe aus dem Jahr 1999 sind.

Mehr noch, dieser Gesetzentwurf stärkt starnets Position, daß sie nicht gegen geltendes Recht verstoßen haben. Schließlich wurde das entsprechende Gesetz ja erst 2 Jahre später beschlossen. Und das gilt nur in Californien.

SHT

[RAZ]

Shot,

you are defenitiv right, es geht mir mehr um die Überlegung, wie hoch mögliche Strafen sind. Nicht darum, daß dieses Gesetz Auswirkungen auf ex-snmm haben könnte.

Here we go

RAZ

[RAZ]

Canada Urged To Gamble On Internet Casinos
Rapidly Growing Industry Not Going Away, Conference Hears
TORONTO, 8:50 a.m. EDT June 7, 2001 --

Tom Blackwell, National Post

Governments should stop trying to ban Internet gambling and face the fact the rapidly growing, Canadian-flavoured business is here to stay, delegates of an international online gaming conference heard yesterday.

That means provinces in Canada should set up Web casinos and offer their citizens a legal, regulated option to offshore sites that are outlawed here, said one e-gaming entrepreneur attending the Toronto convention.

"It is virtually impossible to prohibit online gambling," said Darold Parken, chief executive of Chartwell Technology Inc., a Calgary software company that services the business.

"It`s a big industry. If the provinces aren`t able to participate in the industry, someone else will. The money won`t go into the coffers of the government of Alberta and the services the government of Alberta supports ... They have an obligation to get in there and regulate."

Internet gambling -- in which Web surfers can play casino games, take their chances with virtual slot machines and bet on sports events -- has doubled in size in each of the last three years, Sebastian Sinclair, a U.S.-based analyst specializing in the industry, told the summit.

The worldwide revenue should total at least US$3-billion this year, he said. Another analyst has projected it could be worth US$8-billion by 2002.

Canadian companies are at the forefront of the industry, running gaming sites and designing software that is used by the operators.

But Internet gambling is still effectively banned in Canada, United States and many other developed countries, so firms based in North America run their sites from Caribbean and South American nations that permit the practice.

Critics say online casinos fuel compulsive gambling and allow children almost unfettered access.

In Canada, only provincial governments or their licencees can operate gambling venues. There is nothing to stop them from offering Internet gaming, said Hal Pruden, a Department of Justice Canada spokesman.

The Ontario government, the country`s largest gambling operator, has no plans to run Internet casinos, or to crack down on the illegal ones available to anyone with a personal computer and Internet connection, said Derek Tupling, spokesman for Tim Hudak, the minister responsible for gaming.

"We recognize the evolution of the Internet and we`re concerned about the growth of Internet gaming ... [But] obviously, we can`t regulate the Internet. That`s impossible," said Mr. Tupling.

"If you want to go home and lay a bet on an [Internet] blackjack table in Cayman Islands, there`s nothing we can do about it."

The delegates and exhibitors who filled the convention`s trade floor with displays of flashy Internet gaming software seemed upbeat about the industry.

A breakthrough might come with legislation in the U.S. state of Nevada that would legalize online gaming sites if regulators feel the sites can somehow discourage gambling addicts, exclude underage bettors and keep out customers from jurisdictions where such gambling is illegal.

Mr. Sinclair said he is involved in one company that has software that analyzes betting patterns and throws up warning flags when an Internet gambler appears to have a problem.

Child gamblers could be excluded by requiring that customers sign up in person at an office where they would show proof of age and receive an online gambling password, said Mr. Parken.

Grüße

RAZ

[RAZ]

I-Gaming Update: World Gaming, eLOT, Chartwell, Scientific Games

By John M. Dutton www.investrend.com
June 6, 2001


On Monday, June 4, the Nevada Senate passed AB466 with an amendment that provided for legalize Internet gambling subject to a number of conditions that may take several years to meet. The bill, now awaiting Governor Guinn`s signature, is a historic milestone, and may be the stimulant for other states to move forward on the Internet gaming front. However, this bill is a cautious move toward authorization after further study and the development of controlling regulations. Also, it requires clarification of the Federal Governments position by either policy or trial. The Justice Department has taken the position that Internet Gambling is illegal pursuant to the restrictions embodied in the 1961 Wire Act, which predates the existence of the Internet by nearly three decades. The new law, when signed, gives Nevada and its large casinos a running start for the implementation of online gambling. The bill required some finesse in getting passed as vested interest groups took opposing positions. It seemed as if there was little enthusiasm for the concept of Internet Gambling but if it comes about, the state and the casino establishment would be prepared to get their respective share of revenues. The bill calls for a 6% tax on the gross casino win and a two year license fee of $500,000 for casinos already in possession of land based licenses.

From The Global Interactive Gaming Summit
Toronto
June 6, 2001

Over 800 people from Interactive and land base gaming are attending this two day summit and expo. Several of our covered companies are major exhibitors, including Chartwell and World Gaming. Many of the leading land based casino and sports book companies are present.

Of the presenters today at this world summit and expo on Interactive Gaming, one of the more interesting presentations was that of Mr. Frank Fahrenkopf, Jr., president of the American Gaming Association. This association represents the Nevada resorts and casinos at the Federal level. During his talk that appeared to reflect a divided membership in Nevada towards Internet gaming, he recounted his meeting last week with Rep. Goodlatte. In this meeting, Rep. Goodlatte stated his intention to introduce next week in the House of Representatives a new bill that would prohibit Internet gaming in the United States. The Kyle Bill passed in the last Congress, but the House failed to pass his bill.

Certain aspects of the legislation to be introduced were outlined. In a switch of tactics, prohibition enforcement would be removed from the ISPs (such as American Online) and a mechanism borrowed from Rep. Jim Leach substituted. This mechanism is the ban on the use of credit cards, money orders, and other financial instruments to pay for Internet Gaming. Visa is reported intending to fight such legislation, while American Express and the Discovery Card have voluntarily started to exclud gaming transactions.

Other provisions of the Goodlatte Bill are described as compromises for lotteries and pari mutual. State lotteries, whose opposition helped sink his bill last year, have wanted to be able to sell lottery tickets and subscriptions via the Internet. To eliminate their opposition, the bill is trying to carve out an exemption for lotteries were it will be up to the individual states if they wish to sell tickets or subscriptions on the Internet. There is little time to negotiate with the Lottery association for the wording if it is to be included. Alternatively, horse racing had wanted to expand its offering of off track betting, which today represents over 85% of industry revenues. According to Mr.Fahrenkopf, the industry will be protected for the existence of present facilities but will not be allowed to add new sites.

Grüße

RAZ

[gutemine1]

Nachfolgendes ist vielleicht auch noch von Interesse:

Sungold Announces Horsepower 2 USD To Go Live This Weekend With A $1,000,000 Jackpot

VANCOUVER, British Columbia--(BUSINESS WIRE)--June 7, 2001-- Sungold Entertainment Corp. (OTC Bulletin Board: SGGNF News) Horsepower Broadcasting Network (HBN) International Ltd., a wholly owned subsidiary of Sungold Entertainment Corp. announced today at the Global Interactive Gaming Summit and Expo that it will begin accepting USD wagers on www.horsepower2.com this weekend.
Horsepower Broadcasting Network (HBN) International Ltd. operates the Horsepower(TM)2 game on a Sun Microsystems/Cisco platform and is utilizing both Oracle and Horsepower proprietary software. Horsepower Broadcasting Network (HBN) International Ltd. is an approved Firecash(TM) merchant and a member of the Interactive Gaming Council.
Horsepower 2 is a unique equal chance online virtual horseracing game. Horsepower 2 allows all players an equal chance to win when wagering on common parimutuel pools. The Horsepower pools are created by players on the worldwide web betting on continuous races with 14 virtual horses. Horsepower 2 is played in real time 24X7 and offers a new virtual race every 90 seconds. Players may wager as little as $2 USD or as much as $100,000 USD on one horse or up to six horses in exact order of finish. Horsepower 2 also offers a bet called Quick 6(TM) which allows players to wager $2 USD on 6 randomly selected horses for the million dollar plus Horsepower 2 Jackpot.
The Global Interactive Gaming Summit and Expo attracted over 800 attendees and 29 speakers. Gaming analyst Sebastian Sinclair set the tone when he projected that Internet gaming will be a $6.3 billion USD industry by the year 2003.
Sungold believes Horsepower 2 will be widely accepted on the Internet as a major new attraction for wagering and horseracing fans everywhere.
Sungold Entertainment Corp.
(OTCBB: SGGNF)
Per:
"Kim N. Hart"
Kim Noble Hart, President & CEO
For more information regarding this release or to be updated on future corporate news, please contact Anne Kennedy at [phone].
This news release contains forward-looking statements regarding projected revenues and regulatory approvals. Forward-looking statements address future events and conditions based on the opinions and estimates of management and therefore involve inherent risks and uncertainties, including the acceptance of the Horsepower 2 as an attraction for wagering and horseracing fans. Actual results may differ materially from those currently anticipated in such statements. The reader is cautioned not to place undue reliance on forward-looking statements.
CONTACT: Sungold Entertainment Corp.
Anne Kennedy, 604/669-9580

[RAZ]

Harrods & MSNplc Team Up

Partnership
This press release is transmitted on behalf of Gaming Internet Plc (LSE: GIN.L - news) .

Gaming Internet Plc ("Gaming Internet" or "the Company"), the digital media rights and interactive gambling products business, today announces that its joint venture partner Harrods Online Limited has signed a two year marketing agreement with MSN.co.uk, the British arm of Microsoft Corporation`s market leading internet service provider, for an online casino.

The Harrods Casino will be the first online casino and gaming product on MSN`s UK portal and will be available to MSN`s website users (http://www.msn.co.uk) with effect from mid June 2001.

Under the terms of the agreement, the Harrods online casino will benefit from a fixed link on the MSN.co.uk home page, banner advertising throughout the site and also an exclusive promotional page.

The Harrods Casino business ("Harrods Casino"), the 50/50 joint venture between Gaming Internet and Sporting Resorts SA, a subsidiary of Harrods Online Limited, commenced trading on 29th November 2000.

Harrods Casino (http://www.harrods-casino.com) was the first major retail brand in the world to launch an Internet casino.

The joint venture is based on a three year fixed term basis with a rolling twelve month contract thereafter.

Costs and profits associated with Harrods Casino are equally shared by the joint venture partners.

David Sanderson, Chief Executive of Gaming Internet Plc, commented: "The strategy of focussing on established quality brands for our online casino business is key to the success of gambling in a secure and reliable environment.

This has translated into a ground breaking agreement with MSN.co.uk, now the largest UK portal with an estimated 11 million users per month in creating Britain`s biggest online gaming site.

We look forward to working with Harrods and MSN in broadening the reach of a high quality gaming experience over the coming months." UNS Contact: At Gaming Internet Plc David Sanderson, Chief Executive Tel: [phone] Sara Waller, Marketing Manager Tel : [phone] or [e-mail] At Harrods Online Casino Andrew Tottenham, Director of Gaming Developmen Tel :[phone] ends/mw

Somit ist Microsoft nun auch im Business ... Schade, daß Sie nicht eine andere Firma hiermit beauftragt haben!

Grüße

RAZ

[RAZ]

"Relaxed" Canada a haven for unregulated on-line casino operators

Canada attracts on-line gaming industry assoc. by shrugging while US talks of regulating


By: Lanny Boutin

VANCOUVER: Canada`s relaxed rules make it so attractive to operators of on-line casinos, that the Interactive Gaming Council (www.igcouncil.org) - an industry group that promotes on-line gambling - moved its headquarters here from the US in 1999.
On-line casinos represent a rapidly-growing and virtually unregulated way for people - especially youth - to lose money.
Vancouver also happens to be the home of James Chu, who has built up an on-line gambling empire since opening his first site Cyberbetz (www.cyberbetz.com) in 1997. Chu`s company GIC Global Intertainment Corporation reported wagering revenues of $3.9 million dollars for May, of 2000. The site is licensed in the Commonwealth of Dominica.
There are close to 1,400 on-line Internet gambling sites up and ready to take your money. Christiansen Capital Advisors estimates Internet gambling expenditures for 2001 will top $3 billion dollars; by 2003, they will double to $6.3 billion.
Antigua - population 65,000, with 100 registered on-line gambling sites - charges $75-100,000 dollars to register a site



"It is a criminal offence to run an Internet gambling site in Canada," notes David Hennig, communications director at the Alberta Ministry of Gaming. The law only effects the physical location of the website, though. A lot of Canadian firms sidestep the law by running on-line gambling sites through gambling servers outside Canada, and many others supply on-line casino equipment, especially software.
In the US, the federal government is attempting to prohibit on-line gambling with the Internet Gambling Prohibition Act (S. 692), which would prohibit on-line gambling except for horse and dog racing or for state lotteries, Indian bands or hotel-casinos. Canadian politicians and consumer advocates appear slow to click to the dangers the industry poses, with young most at risk, and no such activities are going on - a major reason why the Interactive Gaming Council moved here.
The Council`s executive director Rick Smith, told Straight Goods in an e-mail letter that the organization moved here because "there are several IGC members in Canada, some in Vancouver... There was also the Goodlatte/Kyl attempts in the USA to prohibit this form of gambling. I would suggest that `international` ease of access also impacted on the selection of location."
Opponents of the US bill stress that probations have historically been ineffective. "To ignore emerging challenges is irresponsible," notes Smith, who heads the worldwide umbrella group for the on-line gambling industry. His group publicly advocates industry regulations, similar to those for land-based casinos.
The convenience, easy access and social acceptability of on-line gambling make it more dangerous than traditional gambling



A review of on-line gambling in Australia, www.aph.gov.au, recommended that government and industry develop strict regulations. Great Britain`s Gaming Board www.gbgb.org.uk agreed, saying "prohibiting online gambling in Britain would be neither sensible nor likely to succeed."
Project South Africa noted, "Internet gambling is a dollar-earning export business." Antigua, a small island state southeast of Miami, with a population of 65,000, charges between $75,000 and $100,000 dollars to register an on-line gambling site. They have close to 100 registered sites.
A recent report by The River City Group, an Internet research group that publishes the Interactive Gaming News, notes that 55 jurisdictions either regulate or tolerate Internet gambling.
Canada`s relaxed attitude was cited as one of the reasons that the Interactive Gaming Council moved its headquarters to Vancouver. Many Canadian firms run on-line gambling sites through gambling servers outside the country and many supply on-line casino equipment, notably software.
Prince Edward Island recently opened their first on-line lottery. The Earth Future Lottery will raise money for charitable organizations and fund environmental efforts on P.E.I. Hennig knows of no provinces currently are looking into regulations for on-line sites.
This laissez faire attitude could lead to problems. Many experts warn that the convenience, easy access and social acceptability of on-line gambling make it more dangerous than traditional gambling, especially for teens and young adults.
Dr. Jeffery Derevensky, co-director of the Youth Gambling Research and Treatment Clinic at McGill University, found that four to eight percent of kids in the US and Canada have serious gambling problems. Another ten to fifteen are at risk of becoming pathological gamblers. Also, youth who played video games were at a higher risk of becoming problem gamblers. Most pathological gamblers start gambling before the age of fifteen, some as young as nine or ten.
"Legal forms of gambling are prohibited for people under 21 in most states, (under 18 in Canada) but Internet sites have no way, often no will either, to check on the age of players," notes Dr. Sheila Blume, chair of the Committee on Treatment Services for Addicted Patients at the American Psychiatric Association.
"Young people are comfortable with the Internet and the use of computers, so it is a natural medium for them," Blume says.
The 1997 Survey of Public Participation in the Arts found that 72 percent of 18-24 year olds used computers an average of four hours per day.
"Access to gambling is an important factor in developing problems," Blume says. A study by Dr. Peter Shizgal at Concordia University, published in the May issue of the journal Neuron, found gambling affects the same regions of the brain as cocaine or morphine.
Experts expect the number of on-line gamblers to grow from 4 million in 1999, to 15 million by 2004. With the advance of the wireless web, some believe that figure could double.
In the end, it might be the credit card companies who set the regulations. Gambler credit card fraud is common; many American branches of Visa and Master Card are limiting or completely banning the use of their cards on gambling sites.

Grüße
RAZ

[RAZ]

Full Gaming Conference article: TORONTO, CANADA - Internet gambling news and gossip from the exhibition hall of the Royal York hotel, June 5 to 7, 2001.

Boss Media Goes Java

Swedish software provider Boss Media will debut play-for-cash Java games in the next month or two, according to Sales Manager Anders Berg. Continuing the Boss tradition of limited game choice, only roulette and blackjack will be available in the new Java suite, although more games are sure to follow. Boss`s showcase casino, Gold Club, will be first to offer the new no-download games.

To date all Boss Media casinos require a download, although the company has had play-for-fun Shockwave games for years.

Microgaming Opens Lines of Communication

Microgaming, widely recognized as the world`s largest and most successful online casino software company, used the Toronto summit as an opportunity to reach out to the i-gaming media. Tired of getting beaten up on message boards and portals, Microgaming courted influential industry journalists like Got2Bet`s Spearmaster with handshakes and party invites.

Microgaming`s previous lack of public responsiveness to player questions and concerns resulted in a heap of bad PR which clearly hurt them in the pocketbook. The new policy is an obvious, and welcome, effort to polish Microgaming`s public image and restore player trust and confidence in the software leader.

World Gaming Previews Version 3.1

World Gaming, formerly known as Starnet Communications, previewed their new Version 3.1 download package, which will be available July 31.

Despite their past legal woes, Starnet, oops, World Gaming, really does have an impressive gambling suite. For those looking to get into the biz, $300 grand and 25% of revenue gets you World Gaming`s download casino, new 14-game Java casino, parimutuel wagering and a sportsbook. All modules work under one player account.

Account Exec Jodi Littlepage said that progressive slot machines are on the way.

New Kid on the Block

Playtech -- not to be confused with Playtex -- impressed conference-goers with their slick new casino software. Available as a download application, and in Shockwave and Java, industry-types seemed genuinely excited by the graphics and playability of the games. On top of that Playtech rep Shelly Tuchmintz boasted that "our backoffice is really amazing."

Playtech`s first licensee, Club Dice Casino, opened in January this year followed by City Club Casino and Brandy Casino. Playtech`s games bear a striking resemblance to the Random Logic games that power the ubiquitous Casino-On-Net. Both companies deny any connection.

According to Tuchmintz, Playtech is "a Dutch company" with "R&D in Eastern Europe" and "a marketing office in Israel."

Countdown to Las Vegas` Cyber Debut

Nevada Gaming Commission chair Brian Sandoval made it clear that Nevada has not legalized internet gambling but merely passed "enabling legislation" that could allow internet gaming if it can be shown that Web casinos can be properly regulated to keep out minors, problem gamblers, and players from jurisdictions where the pastime is illegal. That said, most industry experts expect that we will see the first Nevada internet casinos in about 18 or 24 months. The most optimistic prognosticators say one year.

Short Takes: Former Starnet CEO Meldon Ellis made the rounds looking to drum up work as an "i-gaming consultant." Pro Sports Trade will launch a real-money sports trading site modeled after stock trading sites at the end of July, in time for the NFL season. iGlobalMedia won friends by putting on the best cocktail party of the week, complete with blackjack tables and a live tiger. Pirates Poker by Omni Gaming will launch in September.

Dumdidum

RAZ

[RAZ]

American Wagering Announces Year-End Results: Trims Opersting Loss

This Article Sponsored by:

LAS VEGAS, Nevada –(Press Release) -- June 10, 2001 -- American Wagering, Inc. (OTC Bulletin Board: BETM) today announced financial results for the fiscal year ended January 31, 2001. For the full year, the Company reported net income of $464,029 or $0.04 per share as compared with a net loss of ($814,531) or ($0.20) in the previous year. Included in the net income for the fiscal year ended January 31, 2001 is a gain of $981,856 for litigation judgments and settlements.

The improved results were primarily attributed to a significant reduction in costs and expenses. Total costs and expenses, including direct costs, research and development, SG&A, depreciation and amortization, along with asset impairment provision declined approximately $1.9 million over the prior fiscal year.

Commenting on the year end results, Victor Salerno, CEO/COO and Chairman of the Board of American Wagering said, ``Over the past year, the Company has made a considerable effort to focus on the Nevada race and sports market, our core business, and to return the Company to profitability. I am very pleased to report that our efforts have reduced the Company`s operating loss from over $1.5 million in 2000 to just over $200,000 in 2001.

”This has given us the strongest indication to date that our business plan is valid and bodes well for the Company achieving its goal of profitability in the next fiscal year. I am extremely proud of all our personnel. They are a talented group of individuals and the Company`s strongest asset. I commend them all for their dedication and spirit in making the Company`s goals a reality.``

American Wagering, Inc. owns and operates Leroy`s Horse and Sports Place, a licensed bookmaker with the largest number of sports book locations in the State of Nevada; Computerized Booking Systems, the dominant supplier of sports equipment and software in Nevada and creator of Mega$ports; and AWI Keno, Inc., a licensed systems operator for inter-casino linked Keno games. The Company also owns and operates an Australian subsidiary which operates Mega$ports on the Internet.

Grüße

RAZ

[RAZ]

Columnist Buzz Daly: Sports Book Scene

Reprinted by permission from Buzz Daly’s column, “Sports Book Scene,” which appears regularly on the Web site buzzdaly.sportsterminal.com/.

Individuals who push the envelope and are ahead of their time rarely reap the benefits of their prescience and, in fact, are frequently targeted by sanctimonious protectors of the status quo and treated like criminals.

Case in point, Jay Cohen, who was convicted of running an illegal bookmaking company, Antigua-based World Sports Exchange (WSEX.com). Despite his insistence that the offshore sports book he owned broke no laws, he was prosecuted by the Department of Justice in its overzealous mission of vigilance against its own citizens.

So certain was Cohen of his innocence that he wasted little time in rushing to New York to be indicted and place the issue before the judicial process.

During the intervening years, he has lost most of his idealism about what truth, justice and the American way really mean. Meanwhile, he awaits word on the outcome of his appeal of the guilty verdict rendered in a New York District court.

While he ponders whether he will serve jail time, see the verdict overturned or be granted a new trial, the world around him is rapidly changing.

Today, none other than the sovereign State of Nevada is buckling up to take on the U.S. government over the issue of Internet gaming.

That’s right. Through the efforts of lobbyists and bipartisan support, lawmakers are enacting legislation that would make Nevada the first state in the nation to allow Internet gaming.

It took an abundance of machinations and internal politicking to push this bill through, and put it “out in the forefront of legalized Internet gaming,” said Bill Bible, president of the Nevada Resort Association, which pushed hard for the bill.

This places Nevada in the same predicament as Jay Cohen, looking to operate an activity currently considered illegal by the Justice Department.

While the measure would not actually enter Nevada directly into the Internet gaming business, it would put the state on a collision course with the DOJ.

As it is written, the legislation calls for the state’s regulatory agencies to draft regulations to supervise Internet gaming.

The regulatory officials as well as congress are watching the Cohen case very closely. Anything favorable to Jay would be ammunition for Nevada in the campaign to expand its primary industry.

According to Bear Stearns, an investment-banking firm that closely monitors offshore gaming, there are over 1,400 gaming sites on the World Wide Web, which produce annual revenue in excess of $1.6 billion.

Some observers say that 90 percent of all online bettors place their wagers from within the U.S., despite the DOJ’s insistence that such activity is illegal.

Bear Stearns projects Internet gaming’s annual revenue by 2003 will be $5 billion.

So Jay, if you are listening, we realize it is cold comfort that soon some high powered corporate lawyers will be taking up the same cause you’ve been fighting for the last three years. Better late than never doesn’t cut it.

Assuming Cohen’s appeal is successful, it will be more than vindication. It will force the government to fight the equivalent of a two-front war against a newly invigorated, heavily re-armed and vastly reinforced group of Internet gaming advocates.

We believe the government will shortly be looking for ways to save face, and make an orderly retreat.

Grey Lady Covers Gaming. Grey Lady is the sobriquet earned by The New York Times back in the days when it did not run color photos on the front page, or liven up a page of copy with any graphics.

It could also refer to the paper’s antediluvian posture re gambling. In the sports pages, the Times does not carry betting lines, and rarely mentions the implications or influence of sports betting.

So, we were shocked to see a feature story in The Sunday Times’ Magazine section devoted to profiling a professional horse bettor. It was so interesting, we’d like to encourage the paper’s editors to give more coverage to a subject that is most relevant to its readers in New York and New Jersey.

The story follows a horseplayer whose success borders on obscene, when you consider how difficult it is to make a living at that sport. Ernie Dahlman operates out of the recently opened Suncoast Hotel and Casino in Las Vegas, where he bets an estimated $18 million annually.

Dahlman’s stock in trade is hitting exactas. However, in the article, he denies being a gambler.

“I’m not a great gambler. What I’m good at is arithmetic. I can add and subtract,” Dahlman explains.

There are no sure things, and his success comes from cashing “enough tickets, at the right odds, to offset the losses and turn a profit.”

The article provides specifics on the professional bettor’s strategies.

Winter racing in northern California is good to Dahlman. It’s more predictable since the horses tend to be older and their capabilities are less uncertain. Also, it rains a lot and many grass races get switched to the main track, resulting in complete mismatches, which work to the advantage of a shrewd handicapper.

A lot of other tips are cited, such as his reason for betting at Golden Gate Fields.

If you play the ponies, this is an engrossing essay, with much practical insight into squeezing out a few edges in a game that’s tough to beat. If you can’t access it online, or get a copy of the June 3 Times Magazine, it is also at Bettorsworld on a posting forum thread.

Dumdidum

RAZ

[RAZ]

Zu dem dritt letzten Posting "Full Gaming Conference article: TORONTO, CANADA - Internet gambling news and gossip from the exhibition hall of the Royal York hotel, June 5 to 7, 2001" im Thread "News rund ums I-Gaming" wird ersichtbar, daß Worldgaming die Kosten für eine Lizenz von 100.000 US$ ( + Ertragsbeteiligungstaffelung) auf 300.000 US$ + 25% Ertragsbeteiligung angehoben hat. MA hatte ja bereits im CC von einem neuen Businessmodell gesprochen, daß wenn ich mich recht erinnere bis zum 31.07.01 stehen sollte.

Grüße

RAZ

[RAZ]

Pressure To Amend Net Gambling Ban in Australia
Wed Jun 13 2001

The Australian federal government is under pressure to accept major changes to its bill that would ban Internet gambling in the country. The legislation would ban Australian companies from offering Internet gambling to Australian residents, but would still allow Australian casino operators to offer Internet gambling overseas. The racing industry in Australia argues that online betting on horse races should be exempt from the proposed ban. Democrat Senator Lyn Allison supports the racing industry`s call to be excluded from the ban, but she will also try to pass amendments to prohibit Australian online casinos from continuing to operate overseas. "I think there are moral questions associated with introducing a ban in your own country but allowing operators to make profits from others offshore," she says. Allison`s amendments are crucial to the legislation`s fate since the government will need the support of Democrat and Independent senators to pass the bill. The bill is due for debate in the Australian Senate next week.
ABC News (Australia) has the story.

Grüße

RAZ

[butzbutz]

Thursday June 14, 7:00 am Eastern Time

Press Release

Youbet.com Details Competitive Position and Associated
Performance Targets

WOODLAND HILLS, Calif.--(BUSINESS WIRE)--June 14, 2001--Youbet.com
(Nasdaq:UBET - news):

Competitively Positioned With Unparalleled Content and Technology, Extensive Market
Opportunity
Strong Growth Catalysts Delivering Significant Revenue Upside, Expectations for Network
Expansion and Increased Handle
Company Targeting Positive Cash Flow and Crossover to Profitability by First Half 2002
Youbet.com to Host Virtual Investor Presentation Today at 9:00 a.m. PDT

Youbet.com Inc. (Nasdaq:UBET - news), the leading online live event and wagering company
for
the horse racing industry, today announced its operational and financial targets relative to the
company`s industry leadership position in both U.S. horse racing content and online wagering
technology and multiple strong growth catalysts.

Strategic Partnerships Enhance Youbet.com`s Competitive Position

With the establishment of a strategic relationship with TVG, a wholly owned subsidiary of
Gemstar-TV Guide International Inc. (Nasdaq:GMST - news) announced on May 21, 2001,
Youbet.com`s premier competitive position and forthcoming operation of a new Oregon-based
hub
for the acceptance and placement of wagers is delivering significant revenue upside and
growth
potential.

The company expects to increase its subscriber base to more than 20,000 by year-end 2001,
achieving positive cash flow and a crossover into profitable operations in the first half of 2002.

Concurrent with the operation of its Oregon state-licensed wagering facility (Multi-Jurisdictional
license approved by the Oregon Racing Commission in May), Youbet.com will deliver live
audio
and video content from, and facilitate wagering activity for a highly concentrated group of
racetracks affiliated with TVG including Churchill Downs (owned by Churchill Downs Inc.,
Nasdaq:CHDN), Del Mar, Belmont Park, Aqueduct and Saratoga.

The company will launch its Oregon wagering hub beta test in August 2001 and expects to
officially launch the operations in
September 2001. Of the horse racing industry`s total handle, nearly one-half is directly
connected to the TVG-affiliated racetracks that
Youbet.com will add to its online network. With access to this additional 45 percent of today`s
total pari-mutuel wagering dollars,
Youbet.com benefits from substantially widened market opportunity.

In addition to TVG and the TVG-affiliated racetracks, Youbet.com partners with MEC
Pennsylvania Racing, a wholly owned
subsidiary of Magna Entertainment Corp. (Nasdaq:MIEC - news), the racing industry`s leading
information source Equibase,
Thoroughbred Sports Network and Thorograph, Axcis/Trackmaster.

Youbet.com is also the preferred provider of online wagering services for Daily Racing Form,
the industry`s journalistic authority.

``Our ability to partner with key industry participants not only validates our technological
advantage, but has created an incomparable
selection of content and information available through the Youbet Network,`` said Robert Fell,
chairman and chief executive officer.
``Each of our industry relationships support Youbet.com`s full scope of interactive services,
streaming audio and video, real time data,
content variety and entertainment value.

``We are also benefiting from extensive industry exposure and new audiences, both from our
relationships as well as our technology
enhancements such as our new Web-based horse racing product, Youbet Express. Now that
our Network is complete with virtually
100 percent of the market, including content and access to domestic horse racing handle, we
are aggressively pursuing substantial
growth opportunity, both operationally and financially.``

Sound Business Economics

Youbet.com`s commission and subscription-based business model generates strong recurring
revenue streams. The Youbet Network
derives revenue through a percentage of handle, as well as through subscription fees and
information and merchandise sales. Currently,
Youbet Network subscribers wager approximately $700 per month, of which Youbet.com
receives a percentage in excess of five
percent.

With significant subscriber growth and increased wagering via the Youbet Network forecasted
for 2001, the company anticipates
substantial revenue growth.

Leveraging the adaptability of its leading-edge technology, Youbet.com plans to capitalize on its
unparalleled content, technological
resources and expertise to enter additional online and interactive venues. Future applications
of technology beyond horse racing to
include other sports and points and prizes will deliver strong future incremental revenue growth
opportunity.

Vast and Growing Market Opportunity

Youbet.com`s business strategy addresses the growing $16 billion domestic market for live
horse racing pari-mutuel wagering, and its
business model is further substantiated by the notable shift toward off-track from on-track
wagering. Recent statistics show that 83
percent of total U.S horse racing handle was generated from remote locations.

The audience for Youbet.com`s online wagering services also includes a growing population of
Internet users identified as active
handicappers and general sports enthusiasts, including a substantial portion of horse racing`s
30 million television fans.

With the opening of its Oregon-wagering hub in September 2001, Youbet.com`s expansive
network of wagering venues will total 81
racetracks in 39 states. Including virtually 100 percent of the industry, the Youbet Network will
represent the largest and most diverse
group of all major thoroughbred and harness tracks accessible through one online network.

Additionally, Youbet.com will facilitate online wagering for major horse racing championships
including The Breeders` Cup in
November 2001 and the 2002 Triple Crown series (the Kentucky Derby, The Preakness and
the Belmont Stakes).

Commenting on future opportunities and growth strategies, Fell added, ``Right now we are
maximizing our leadership position by
concentrating on the growth of our domestic online pari-mutuel wagering business. Beyond our
core domestic business, we recognize
the opportunity for international applications, and intend to address these markets, where legal,
in the future through additional
synergistic partnerships or as opportunities become available.``

Virtual Investor Presentation

Youbet.com will host a conference call with a simultaneous audio and presentation Web cast
today at 12:00 p.m. Eastern/9:00 a.m.
Pacific to discuss its business strategy, competitive position and performance outlook.

To tune into the live Web cast, logon to www.youbet.com at least 15 minutes early to download
any necessary software, and access
the presentation from the page ``About Youbet.com.`` A replay of the broadcast will be available
at www.youbet.com for 30 days. A
phone replay will also be available through June 21 by dialing 888/266-2086 and entering the
passcode 5296312.

About Youbet.com

In the United States, Youbet.com currently provides network members the ability to watch and,
in most states, the ability to wager on
a wide selection of coast-to-coast thoroughbred and harness horse races via its exclusive
closed-loop network. Youbet.com does not
actually accept or place any bets. Wagers are accepted and placed only by a state licensed
wagering entity, currently the MEC
Pennsylvania Racing facility.

Youbet.com`s role in the wagering process is limited to transmitting information-related wagers
to the licensed wagering facility.
Currently, members have 24-hour access to the network`s features, including live racing from
a choice of 61 racetracks in the United
States and Canada, commingled track pools, live audio/video, up-to-the minute track
information, real time wagering information and
value-added handicapping products.

Youbet.com recently formed a strategic relationship with TVG, a wholly owned subsidiary of
Gemstar-TV Guide International Inc.
(Nasdaq:GMST - news). TVG is the 24-hour interactive horse racing network available
nationwide on cable and satellite systems with
exclusive simulcast and interactive wagering rights to live racing from leading racetracks in the
United States including Churchill Downs
(owned by Churchill Downs Inc., Nasdaq:CHDN), Del Mar, Belmont Park, Aqueduct and
Saratoga.

The agreement gives Youbet.com a license to utilize TVG`s patented wagering technology for
online and automated telephone
applications and the right to video stream and accept online pari-mutuel wagers on horse
racing from virtually all of TVG`s exclusive
partner racetracks. Youbet.com will make these tracks available to Youbet Network
subscribers concurrent with the company`s
operation of a new Oregon-based hub for the acceptance and placement of wagers, expected
to commence within the third quarter of
2001.

The relationship expands the Youbet Network to 81 racetracks in 39 states, representing
virtually 100 percent of horse racing
content.

For further information about Youbet.com, visit www.youbet.com.

Forward-Looking Statements

This press release issued by Youbet.com contains forward-looking statements, which are
made pursuant to the safe-harbor provisions
of the Private Securities Litigation Reform Act of 1995. Expressions of future goals and similar
expressions reflecting something other
than historical fact are intended to identify forward-looking statements, but are not the exclusive
means of identifying such statements.
These forward-looking statements involve a number of risks and uncertainties, including the
timely development and market
acceptance of products and technologies, successful integration of acquisitions, the ability to
secure additional sources of financing, the
ability to reduce operating expense and other factors described in the Company`s filing with the
Securities and Exchange Commission.
The actual results that the Company achieves may differ materially from any forward-looking
statements due to such risks and
uncertainties. The Company undertakes no obligations to revise or update any forward-looking
statements in order to reflect events or
circumstances that may arise after the date of this release. You Bet is a registered trademark
of Youbet.com, Inc. All other brands and
products referenced herein are the trademarks or registered trademarks of their respective
holders.

Gruß butz

[RAZ]

Bet on Interactive Gambling - It`s Where the Money Is At

NEW YORK, June 14 /PRNewswire/ -- New research from independent market analysts Datamonitor reveals that the online and iTV gambling market is set to boom over the next few years. Combined revenues from both in the US and Europe are predicted to grow from an estimated $6.7bn in 2001 to $20.8bn in 2005.

Online gambling: a discrete but massive market

While many B2C sites struggle to get out of the red, online gambling sites are quietly turning comfortable profits. According to Datamonitor, online gambling companies will generate revenues of $6.6bn in 2001. Growth will continue unabated to reach $13.6bn in 2005. The number of online gamblers in Europe and the US will grow from 2.9 million in 2001 to 7.4 million in 2005. American consumers have rapidly adopted to this new form of gambling and the US is the biggest market. Despite legal uncertainties regarding the legality of gambling, its 1.9 million online gamblers are currently earning this business an estimated $4.2bn in revenues.

The European market is beginning to develop, and the UK is spearheading its growth. And despite the fact that online gambling is still prohibited in some countries, many European consumers have started to gamble on sites that appeal to them with country-specific offerings. Furthermore, the gradual entry of established bookmakers into the online gambling industry is building up the credibility and reputation of this market.

``Despite adverse conditions due to legal restrictions, the online gambling market is thriving,`` said Jacob Hayler, gambling analyst, Datamonitor plc. ``This shows the strong appeal of this content with consumers. The dot-com crash has led many to think of the Internet as an unprofitable medium. This clearly does not apply to online gambling.``

iTV gambling is off to a flying start

Gambling will soon be reaching out to a massive audience and into an environment, the living room, ideally suited for entertainment purposes. The advent of interactive television (iTV) means that the gambling industry now has the potential to target a very attractive audience -- the armchair sport fans.

As iTV replaces analog TV, the arrival of gambling services on this platform will hold much potential for the gambling industry. Furthermore, enhanced TV technologies are gradually enabling companies to overlay gambling services with live events. Sports betting, followed by lotteries, will be the most popular major form of gambling on iTV. Casinos are unlikely to be featured on iTV gambling services as they do not fit in with the family image that iTV network providers want to promote.

The UK and France are currently the only countries where iTV gambling has been rolled out. Although still in its infancy, just one year running, iTV gambling is already showing strong signs of growth. Datamonitor estimates that in 2001 alone, the European market will be worth $130mn, skyrocketing to a predicted $7.1bn in 2005.

Datamonitor expects that other European countries will phase in these services, in light of their success in the UK and France. However, due to legal restrictions, Datamonitor cannot foresee any introduction of iTV gambling in the US market in the medium term.

``iTV gambling will be a very profitable market. However, due to nature of this distribution medium and the involvement of governments in this market, entry barriers will be high and only a few companies will be able to benefit from these growing revenues,`` according to Jacob Hayler, gambling analyst, Datamonitor plc.

Notes for Editors:

These findings are extracts from Datamonitor`s Interactive Gambling research program, which covers every aspect of the interactive gambling market. This research program is composed of a series of reports and briefs including:


-- Global online gambling, 1st edition
-- Global iTV gambling, 1st edition
-- Global Wireless gambling, 1st edition


Datamonitor plc is a premium business information company specializing in industry analysis. Datamonitor helps its clients, 5000 of the world`s leading companies, to address complex strategic issues. Through its proprietary databases and wealth of expertise, Datamonitor provides clients with unbiased expert analysis and in-depth forecasts for six industry sectors: Automotive, Consumer Markets, Energy, Financial Services, Healthcare, Technology. Datamonitor maintains its headquarters in London and has regional offices in New York, Frankfurt, and Hong Kong.

SOURCE: Datamonitor plc

Grüße

RAZ

[RAZ]

Die Mannschaft um John M. Dutton analysiert neben Worldgaming u.a. eLOT Inc. und Chartwell Technology, Inc.


Investrend`s Position Statement on Analyst Conflicts in Brokerage Industry

June 14, 2001

Analyst Conflicts: Investrend Research Has Avoided These Growing Problems Since Its Start

Our Research Guide: Quality Research. No Conflicts. Public Comes First


LOS ANGELES-- June 14, 2001 --Since its founding over three years ago, Investrend Research has had as its mission to provide the highest quality of bias-free research that can be used by institutions and individuals in their portfolio investment process. It is widely recognized that lack of research, as well as the quality of available research, on the many small cap companies causes many times their market prices to be well below their intrinsic or real value. When a company is enrolled, the research process begins to determine the amount of this discount, if any, or premium. Credible research published by us helps the markets to narrow this difference, and many times provides an opportunity for substantial price appreciation.

To accomplish this goal, there are several precepts we follow.


We always place the public first as the audience we serve.


Second, we have contractually assured that all of our analysts have no economic interest in the outcome of their research except in being right in their conclusions. Investrend has always contractually precluded analysts from owning or trading in the securities of companies they follow. The other staff of our firm is precluded from trading or owning securities in any company followed.


Third, analyst performance is evaluated solely as to the subsequent performance of the company covered versus their recommendations. Research notes are periodically issued by the analyst to keep investors aware of the analysts` view on corporate developments in between reports, and any changing view.


Fourth, all Investrend analysts are required to be members of the Association for Investment Management and Research ("AIMR"), and most hold its highest designation of CFA. They are subject to its Code of Ethics and Practice.


Finally, we do not engage in stock brokerage nor do we provide investment banking services. Our only income is from our research. Our growth comes from providing clear and well reasoned analysis, and being right in our views.
Our growth over the last two years has attested to our success of providing quality research. Many thousands of users from over 60 countries come each week to our site to read and download our research. All of the main research information services from First Call, Zacks, Multex, Investext, and others carry our estimates and recommendations. Our research information is available from Bloomberg, Yahoo Finance, and smallcapcenter to name a few. We are today recognized as one of the two major independent research firms.

We have provided a link to the recently published position taken by fellow Directors of Research at the major US investment banks that are members of the Securities Industry Association ("SIA"). They recognize the position of trust that must be maintained by analysts, and this is a first step to establish guidelines for the separation of research and investment banking, including the unlinking of compensation. We strongly support their efforts to establish the independence of the research process

Dumdidum

RAZ

[echtzeit]

Tagescharts:

[RAZ]

Endgültig!!!

Nevada`s Internet Gambling Bill Becomes Law
Fri Jun 15 2001

On Thursday, Nevada Governor Kenny Guinn signed into law AB466, a bill that could eventually enable Nevada casinos to offer Internet gambling. The Justice Department says that Internet gambling is currently illegal in the U.S. Nevada officials say they don`t intend to defy federal law, but court challenges elsewhere could change the federal government`s position. Nevada`s Gaming Control Board and Gaming Commission must first establish rules before casino resorts can offer games on the Net. Casino resorts with unrestricted gambling licenses could apply for a two-year Internet gambling license costing $500,000, but they would have pay a 6 percent tax on gross win and ensure that minors and residents of states that prohibit gambling would not be able to play. According to the new law, $250,000 would be the license fee for manufacturers of interactive gambling devices; $100,000 for manufacturers of equipment associated with a gambling device; and manufacturers of peripheral equipment a $50,000 license fee.
The Las Vegas Sun has the AP story.

Dumdidum

RAZ

[RAZ]

Bet on Intereactive Gaming: It’s Where it’s at
PR Newswire

NEW YORK, N.Y. - New research from independent market analysts Datamonitor reveals that the online and iTV gambling market is set to boom over the next few years. Combined revenues from both in the US and Europe are predicted to grow from an estimated $6.7bn in 2001 to $20.8bn in
2005.

Online gambling: a discrete but massive market

While many B2C sites struggle to get out of the red, online gambling sites are quietly turning comfortable profits. According to Datamonitor, online gambling companies will generate revenues of $6.6bn in 2001. Growth will continue unabated to reach $13.6bn in 2005. The number of online gamblers in Europe and the US will grow from 2.9 million in 2001 to 7.4 million in 2005.

American consumers have rapidly adopted to this new form of gambling and the US is the biggest market. Despite legal uncertainties regarding the legality of gambling, its 1.9 million online gamblers are currently earning this
business an estimated $4.2bn in revenues.

The European market is beginning to develop, and the UK is spearheading its growth. And despite the fact that online gambling is still prohibited in some countries, many European consumers have started to gamble on sites that appeal to them with country-specific offerings. Furthermore, the gradual entry of established bookmakers into the online gambling industry is building
up the credibility and reputation of this market.

"Despite adverse conditions due to legal restrictions, the online gambling market is thriving," said Jacob Hayler, gambling analyst, Datamonitor plc.

"This shows the strong appeal of this content with consumers. The dot-com crash has led many to think of the Internet as an unprofitable medium. This clearly does not apply to online gambling."

iTV gambling is off to a flying start

Gambling will soon be reaching out to a massive audience and into an environment, the living room, ideally suited for entertainment purposes. The advent of interactive television (iTV) means that the gambling industry now has the potential to target a very attractive audience -- the armchair sport fans.

As iTV replaces analog TV, the arrival of gambling services on this platform will hold much potential for the gambling industry. Furthermore,
enhanced TV technologies are gradually enabling companies to overlay gambling services with live events. Sports betting, followed by lotteries, will be the most popular major form of gambling on iTV. Casinos are unlikely to be featured on iTV gambling services as they do not fit in with the family image that iTV network providers want to promote.

The UK and France are currently the only countries where iTV gambling has been rolled out. Although still in its infancy, just one year running, iTV gambling is already showing strong signs of growth. Datamonitor estimates
that in 2001 alone, the European market will be worth $130mn, skyrocketing to a predicted $7.1bn in 2005.

Datamonitor expects that other European countries will phase in these services, in light of their success in the UK and France. However, due to
legal restrictions, Datamonitor cannot foresee any introduction of iTV gambling in the US market in the medium term.

"iTV gambling will be a very profitable market. However, due to nature of this distribution medium and the involvement of governments in this market, entry barriers will be high and only a few companies will be able to benefit from these growing revenues," according to Jacob Hayler, gambling analyst, Datamonitor plc.

Dumdidum

RAZ

[RAZ]

Provinces rake in $9B on gaming
230% increase since `92: Governments collect while debate rages over ethics of betting
Tom Blackwell
National Post
As debate rages over the morality of state-controlled gambling industries, Canada`s provincial and territorial governments collected a record $9-billion in revenue from gaming last year.

The figure was more than a 230% increase from the $2.7-billion in revenue in 1992, according to the latest figures from Statistics Canada.

And all indications are that revenue from the casinos, lotteries and video gaming terminals controlled by the governments will continue to grow in years to come, the federal agency says.

"There is no cutting back on the growth or the building of gaming facilities," said Katherine Marshall, who produced the gambling fact sheet for StatsCan. "So I would expect the revenue to continue to grow."

The country is still divided about the ethics of an industry that has helped bankroll governments under pressure to cut taxes, while triggering suicides, bankruptcy and crime among those who get hooked on gambling, according to experts.

In a referendum in New Brunswick last month, a small majority voted against banning video lottery terminals (VLTs), the electronic slot machines critics liken to cocaine.

The expansion of gambling revenue far exceeded the growth of other industries over the last eight years, even as Canada`s economy went on a prolonged growth spurt, the study found.

Manitobans led the way, spending an average of $488 per person on games of chance in 1999, up from $185 in 1992, according to the StatsCan survey.

The national average was $370, and in Ontario the average was $330 in 1998, the last year for which figures were available.

Direct profit to governments -- after deducting winnings and operating costs -- was $5-billion in 1999 on gambling revenues of $8.6-billion. This was up from $1.7-billion in profit in 1992. The profit figure for 2000 was not available.

Experts attribute the growth of revenue and profit to a simple fact: the opportunities to wager have increased dramatically.

While a decade ago Canadians were able to buy lottery tickets and partake in the odd bingo game or low-stakes charity casino, they can now visit about 50 larger casinos across the country, not to mention smaller charity and First Nations casinos, said Susan Olynik of the Manitoba Lottery and Gaming Corp.

Gamblers can also try their luck with any of the tens of thousands of VLTs available at bars, restaurants and racetracks.

Just two years after Ontario started installing electronic slot machines at racetracks, the games are raking in more than $1-billion a year.

However, revenue at Ontario`s three big casinos dropped $240-million in the last fiscal year, in part due to competition from the VLTs and more modest venues created recently, such as mini-charity casinos.

However the 12% drop, the lowest revenue recorded for Casino Windsor, Casino Niagara and Casino Rama since 1997-98, may also mean that the market for gambling in Ontario, after rapid expansion, is close to the saturation point.

Gambling revenue in Ontario had still risen to $2.8-billion a year in 1998 according to Statistics Canada, prompting citizen groups, churches and even a leading corporate executive to press for curbs on an industry they argue takes too great a toll on citizens.

"Those who are most susceptible to gamble often are those who can`t afford it," said Rev. William Kokesch of the Canadian Conference of Catholic Bishops.

"It becomes a detriment to them and nobody takes care of their needs afterward. It has a tremendous impact on their families. People are sort of placing their expectations on false hopes, false odds, thinking they can beat the system."

The gaming industry replies that problem gamblers make up a relatively small proportion of the population, 4% to 5% by many estimates, and most people bet responsibly.

"The majority of individuals see it as a popular form of entertainment and can play without any adverse effects," Ms. Olynik said.

Most provinces use some of their gambling revenue to treat those who develop problems and to warn gamblers of the perils before they get into trouble. The casinos also have programs to exclude certain people who have admitted to gambling problems.

The Addiction Foundation of Manitoba, which treats many of gambling`s casualties in the province, has not seen an increase in its caseload in recent years. But after a spate of advertising, calls to a problem-gambling hotline doubled recently, said John Borody, the society`s chief executive.

Meanwhile, a study released yesterday of adults who sought treatment for gambling problems found evidence that gambling is becoming an addiction of the middle class.

"A lot of them are university educated and a lot of them have what we`d call middle-class incomes, $40,000, $50,000 plus, and now they`ve lost everything and they`re in rehabilitation," Dr. Brian Cox of the University of Manitoba`s department of psychiatry said yesterday.

http://www.canada.com/cgi-bin/cp.asp?f=/news/nationalpost/st…

Dumdidum

RAZ

[RAZ]

European gambling operator targets U.S. with `Net casino
Damian Aspinall, a well-known casino operator in Europe, plans to launch an online casino aimed at the U.S. market within days, the Wall Street Journal reported today.

Aspinall said his family name brings credibility to the operation.

"People are betting billions of dollars online and they`ve no idea who they`re giving their money to," Aspinall told the Journal. "They could be betting with the Mafia, for all they know."

Aspinalls Online PLC, the company running the Internet gambling site, will have shares trading publicly in Britain as a separate entity from the well-known, private Aspinalls casinos founded by Aspinall`s late father John Aspinall.

RAZ

[RAZ]

Democrats condemn Internet Gaming Bill

The Democrats have condemned the controversial Internet Gaming Bill.

Democrats leader Natasha Stott Despoja says problems are littered throughout the bill.

"This legislation has been flawed from day one," she said.

"It`s going to require a series of amendments and you`ll see amendments coming from all parties."


Nats support racing exclusion

The National Party has formally supported calls for the proposed ban on Internet gambling to exclude race betting.

The party`s members voted unanimously on a motion for the racing exclusion at their annual conference being held in southern New South Wales.

The Senate will vote on the bill to ban Internet gaming next week.

National Party leader John Anderson says he will take the concerns to the Prime Minister this week.

"Country people have put a view that there`s a difference between mere speculation on games of chance and wagering on horses [which is] something they can do over the phone now," he said.

"They`re arguing that there`s a rather artificial distinction only to be made between phones and the Internet and we hear those views. I certainly feel they have some basis in legitimate reality."

Grüße

RAZ

[guntis]

Hallo RAZ!

Ich hätte eine Bitte an Dich. Ich bin der Englischen Sprache leider nicht so dermaßen durch, daß ich solch lange Texte übersetzen kann. Könntest Du nicht (im Interesse von doch vielleicht noch anderer außer mir) einen kurzen Deutschen Kommentar dazufügen. Es kommt mir manchmal vor als wäre ich hier in einem Amerikanischen Board.

Im Voraus besten Dank und auf steigende Kurse.

guntis

[RAZ]

Hallo guntis,

gerne würde ich Deinem Wunsch nachkommen. Leider aber ist auch meine Zeit begrenzt. So begrenze ich meine Postings meist auf das posten von Nachrichten. Und da die Igaming Branche in Deutschland noch nicht so weit fortgeschritten ist, wie im Rest der Welt, ergibt es sich leider so, daß 99,5% der Nachrichten in englischer Sprache abgefasst sind. Geh doch mal auf www.babylon.com dort kannst Du einen Übersetzer runterladen, der Dir Wortweise eine sehr gute Übersetzung liefert. Der Übersetzer ist übrigens rasant schnell. Ich benutze den Übersetzer nun seit über zwei Jahre ... so oft benötige ich ihn nun nicht mehr ... r
iesen Lerneffekt.

Sorry und Gruß

RAZ

[RAZ]

... und nochmal komplett aus dem Wallstreet Journal.

June 15, 2001
Aspinall Is Launching Internet Casino
With Aims Toward Winning U.S. Market
By Christina Binkley
Staff Reporter of The Wall Street Journal
Damian Aspinall, whose casinos and high-profile family are well known in Europe, is planning to launch an online casino aimed at the U.S. market within the next week or so.

Mr. Aspinall is betting his family`s name will provide the credibility necessary to beat out hundreds of obscure, Caribbean rivals. "People are betting billions of dollars online and they`ve no idea who they`re giving their money to," Mr. Aspinall said. "They could be betting with the Mafia, for all they know."

A push for brand and credibility is the next big race in online gambling. Hundreds of Internet casinos have been created during the past four years. Several Las Vegas casino operators hope to enter that lucrative market, but federal and state laws are generally interpreted to bar them -- at least for now.

Nevada state legislators recently ordered gambling regulators to explore ways to license online casinos -- a move that is seen as an initial step toward legalization. In the meantime, while big U.S. casino companies such as MGM Mirage in Las Vegas must sit on the online sidelines, established foreign operators see an opportunity to compete in the U.S. market.

"Imagine when MGM can operate online," Mr. Aspinall said. "The opportunity for us is that they can`t."

Aspinalls Online PLC will trade publicly in Britain as a separate entity from the well-known, private Aspinalls casinos that were founded by Mr. Aspinall`s late father, John Aspinall, who poured much of his gambling fortune into zoos and animal conservation.

Aspinalls Online plans eventually to launch virtual casinos aimed at various regions around the world, and at various gambling levels -- from low rollers to high rollers.

U.S. residents can expect shortly to begin seeing the Aspinall name in print advertisements as the company launches a public-relations campaign to raise Americans` familiarity with the name.

Aspinalls Online`s first ventures will be two Internet casinos, with a Caribbean and a London theme. They will use the "good old U.S. dollar" as a universal currency, said Russell Foreman, Aspinalls Online`s chief executive.

It isn`t clear, though, that U.S. residents can legally place bets online, although at least one court has upheld the legality of Internet gambling debts on credit cards.

Mr. Aspinall, the venture`s executive chairman, said he believes it is clearly illegal for U.S. residents to place sports bets online, but that other forms of gambling, such as table games and slot machines, are "pretty gray."

"If America came out and made it clearly illegal, we`d shut the U.S. casino down immediately," he said. The [U.S.] casino won`t take sports bets from Americans, a spokeswoman said.

The U.S. market is critical to nearly any online casino. One reason: Americans tend to like games, such as slot machines, that work well on computers.

More importantly, "the bulk of people who gamble [online] are American," Mr. Foreman said. That is in part because Americans are more likely to have personal computers and inexpensive access to the Internet.

Soon, Mr. Foreman envisions Aspinalls launching Las Vegas- and San Francisco-themed casinos as well as others aimed at Europeans -- particularly as Internet access costs fall in Europe.

Write to Christina Binkley at [e-mail]
http://public.wsj.com/sn/y/SB992562369973603139.html

Grüße

RAZ

[guntis]

Hallo RAZ!

Vielen Dank für den Hinweis.

Morgen sollten wir dann eher höhere Kurse sehen.

guntis

[RAZ]

Goodlatte Prepares New Bill to Ban Internet Gambling

by Fred Faust, RGT Online.com

This Article Sponsored by:

TORONTO – Representative Robert Goodlatte is preparing to bring his Internet Gambling Prohibition Act back to the U.S. Congress, but this time with tactical changes that he thinks will win enough votes to pass it. That’s the word from Frank Fahrenkopf, director of the American Gaming Association.

Goodlatte, Republican from Virginia, led last year’s unsuccessful effort to get the bill through Congress. It was a companion to the bill that Sen. Jon Kyl, Republican from Arizona, got through the U.S. Senate in November 1999.

Fahrenkopf, speaking at the Global Interactive Gaming Summit & Expo here Wednesday, said he had a long meeting with Goodlatte Friday. He said Goodlatte told him that he’s met with U.S. Attorney General John Ashcroft and has Ashcroft’s support for his bill.

That’s significant, Fahrenkopf said. The Justice Department under President Bill Clinton opposed the Kyl/Goodlatte bills, believing that the old Wire Act, perhaps with modifications, was sufficient to prosecute casino gambling on the Internet.

Ashcroft, a right-wing Republican, was a Senator when Kyl’s bill was passed by the Senate, and Ashcroft supported it. This time, Fahrenkopf said, Kyl has said that the House should pass the bill before he introduces it again in the Senate.

Goodlatte told Fahrenkopf that one reason for the bill’s defeat last year was that it put an enforcement burden on Internet Service Providers. That cost it some support in the House.

So this time, Fahrenkopf said, Goodlatte will delete that part of the bill and replace it with the approach favored by Rep. Jim Leach, an Iowa Republican. Leach wants to go after the financial lifeblood of online gambling by declaring that credit card debts incurred from Internet gambling would be uncollectable.

The good news for the online gaming industry is that Visa and MasterCard don’t like the idea, according to Fahrenkopf. They think it would be restraint of trade.

Another problem for Goodlatte last year was opposition from state lotteries, some of which want to sell lottery tickets online. Fahrenkopf said a compromise is in the works – Goodlatte’s new bill would reportedly let state lotteries sell tickets online.

Fahrenkopf said the AGA, the main casino industry trade group, would wait to see the bill before taking a position. In previous years, he said, the AGA agreed not to oppose the bill.

The conference seminar that Fahrenkopf addressed was devoted to favorable Internet gaming legislation in Nevada and New Jersey, but the federal government’s position on the subject cast a giant shadow over efforts in those states to legalize it.

Brian Sandoval, chairman of the Nevada Gaming Commission, said he expects to meet with Ashcroft soon to get the Justice Department’s views on whether the Wire Act, a 1961 law, applies to casino gambling on the Internet. Monday, Nevada’s legislature passed a bill that could lead to online gaming licenses for resort hotels in Nevada.

Sandoval told the conference attendees that, if Nevada Gov. Kenny Guinn signs the bill, the Commission will hold hearings on the subject beginning in July. The bill does not directly legalize Internet gaming. It gives the Commission wide discretion, directing the Commission to issue licenses only if it finds that interactive gaming can comply “with all applicable laws” and can be properly regulated.

If the federal government decides that interactive gaming is illegal, Sandoval said, the new Nevada legislation could be moot.

“We would never, never go forward in light of any type of federal prohibition,” Sandoval said.

Even if Nevada is able to proceed, he said, the process will be slow and the regulation intense.

“It’s going to take as long as it takes,” Sandoval said. “Our timetable will be when and if the technology is there to properly regulate interactive gaming. We are going to take a cautious, slow approach . . . .”

“We are going to be very very cautious and strict about border control,” he added, referring to the need to keep minors from gaming online and to prevent access by people who live in states or countries where online gaming is illegal.

Sandoval said the backgrounds of people participating in any aspect of online gaming will be thoroughly investigated, and so will the hardware and software.

“We will have our own interactive gaming lab and we will inspect every piece of every system,” he said.

Another speaker at the Toronto conference, Anthony Impreveduto, was far more enthusiastic and passionate about licensing and regulating interactive gaming than Sandoval or Fahrenkopf. Impreveduto is the member of the New Jersey Assembly who introduced a bill this year to legalize interactive gaming by Atlantic City casinos.

Impreveduto, a Democrat, said his bill never got a hearing in the Republican-controlled New Jersey legislature. He told RGT Online that he will re-introduce it in January. Democrats may control the legislature by then, he said, and the bill would be more likely to pass.

He said it would be a mistake for Congress to try to prohibit interactive gaming.

“Prohibition’s not going to work,” he said. “We forget in the U.S. that we had prohibition in the 20s on alcohol and what happened then? We should have learned our lesson once, we didn’t.

“All prohibition will do is force it further underground and hurt more people,” he said.

“Billions of dollars are reportedly being bet over the Internet,” Impreveduto told the conference, “with very little if any oversight, or guarantee that the operators of these sites are fair and honest. . . .

“We heard our first speaker (Fahrenkopf) talk about effective controls. But what controls are there now without licensing? What controls are there now without regulation?”

His bill, he said, would have enabled great strides in protecting children from online gaming. He compared such regulation to keeping kids out of land-based casinos in Atlantic City.

“Maybe we can’t get 100 percent of the kids off the Internet who are gambling,” he said, “but we can sure as hell get 95-98 percent of them off. Right now in New Jersey, we’re taking tens of thousands of kids off the land-based casino floors on a yearly basis. How many of them would walk in unless you protect against them?”

The Toronto conference, which ends today, may be the largest one ever held for the Internet gaming industry. Nearly 800 people – including online casino and sports book operators and the developers of their software – paid $1,200 each to attend.

Es kommt noch mehr ...

RAZ

[RAZ]

The Language of Regulation – Government Attitudes Vary Sharply

by Fred Faust, RGTonline.com

This Article Sponsored by:

TORONTO – One of the most striking contrasts at the recent Internet gaming conference here was in the language that government officials used in discussing regulation. This growing industry is mostly unregulated, of course, but the tone of officials who do regulate it – or, as in the case of Nevada’s Brian Sandoval, hope to regulate it – revealed attitudes ranging from tough to conciliatory.

The session that drew the largest crowd at the Global Interactive Gaming Summit & Expo was the one devoted to efforts in Nevada and New Jersey to license and regulate online casinos. Sandoval, chairman of the Nevada Gaming Commission, and Anthony Impreveduto, the Assemblyman who led an unsuccessful attempt to legalize Internet gaming for New Jersey casinos, both took a tough line.

Sandoval cautioned the audience that before any licenses are issued, Nevada regulators have to consider pending federal court decisions, potential federal legislation and the stance of the U.S. Department of Justice, all to ensure that Nevada would not be running afoul of federal law.

But Sandoval also gave a clear indication of what the regulatory climate would be if Nevada is able to proceed.

“We will have our own interactive gaming lab and we will inspect every piece of every system,” he said. “We will require employees of manufacturers of interactive gaming systems to obtain work permits, which requires a background check.”

Operators of gaming sites and the software developers will have to meet standards of suitability that “will be as stringent as the standards for a non-restricted gaming license,” Sandoval said. “We will review the historical business practices of our applicants. We will review the personal background, including criminal, financial and social associations of the person who applies for a gaming license in the state of Nevada.

“We will look to see the record of compliance with other regulatory authorities. We will look at the previous locations of the applicant’s operation.”

Impreveduto said his bill, which he expects to succeed when it’s re-introduced in January, would permit licenses for Internet casinos to be issued only to land-based casinos that are already licensed in New Jersey. He boasted that New Jersey has “one of the most strict licensing procedures.”

“The check is very intense,” he said. “For you to get a license to own a casino in New Jersey, they will know your history, your grandfather’s history and the history of your children yet to come!”

The same scrutiny would apply to operators of virtual casinos, Impreveduto said. “The regulatory body must be able to ensure the consumer that Internet gaming operators are legitimate, the games provided are fair, they have the financial stability to pay winnings to their players and they respect the privacy of their players.”

His bill stipulates that the server for an online gaming site would be located on the floor of the land-based casino, “in full view of the gaming enforcement people.” Regulators would be authorized to test the site’s software any time.

For an Internet casino found to be cheating players, Impreveduto said, the stakes would be high: “You not only lose your virtual license, you lose your land-based license. . . .”

“All the Tens will be in the Blackjack Deck”

“So we know the game will be safe, we know the game will be fair,” Impreveduto said. “We know that all the tens are going to be in the blackjack deck. We know that not every seventh roll of the dice is going to be seven.”

The next day, some speakers at the “International Regulators Panel” were much less aggressive about regulation. Sfiso Buthelezi, chief executive of the National Gambling Board of South Africa, said a report commissioned by his organization had called for an “easy but stringent licensing process.”

That would seem to be a contradiction in terms. But Buthelezi added that laws being drafted to govern interactive gaming in South Africa will contain strong player protection measures, including a ban on credit betting and truth-in-advertising requirements.

He concluded by saying that the board is “convinced that the future of dealing with Internet gambling is to regulate, regulate and regulate.”

Like Sandoval and Impreveduto, Buthelezi was talking about the future, for none of their jurisdictions is ready to start licensing online casinos. This week, Nevada’s governor signed an enabling bill, but experts say it could be 18 to 24 months before a license is issued. Things have been moving slowly in South Africa, but Buthelezi said the first license for a virtual casino could be issued before the end of this year.

Another member of the international panel, however, an official from the Caribbean government of St. Kitts and Nevis, which has been issuing licenses for several years, had nothing to say about rigorous background checks or testing software.

Perry Peets, director of the ministry of consumer affairs and commerce, which processes applications for online gaming licenses in St. Kitts-Nevis, was trying to sell the gaming site operators in the audience on basing their operations in those islands. And he seemed to want to assure them that regulatory concerns would not go too far.

“. . . we have structured our regulatory framework to be flexible, yet firm,” Peets said, “because to many of us (in the Caribbean) the offshore sector is not a game. It is a serious bread-and-butter issue. . . .

“We want to forge a partnership with your industry. In the Caribbean, we are your allies.”

Peets was filling in for Dwyer Astaphan, the St. Kitts-Nevis minister of tourism, information, telecommunications, commerce and consumer affairs, who became sick just before the conference. Peets read a speech prepared by Astaphan.

St. Kitts Not Impressed by “Recent Efforts at Feigned Morality”

“Internet gaming means opportunity for us,” according to Astaphan’s text. “We respect the regulatory approach to this and any other business, as we are aware that every game must be played by rules. But we are not overly impressed by recent efforts at feigned morality, by declarations about harmful practices and the like. We suggest a proper regulatory environment and we also want to be practical.

“We must all carve out a living, and small nations like mine with limited resources have to depend more on service industries to sustain our economies. This industry suits us fine.”

After outlining the advantages of operating online gaming in St. Kitts, Astaphan’s remarks concluded by saying: “Please note that we do not offer red tape, we offer red carpets to reputable players.”

Questions directed at Peets were handled by Wayne Wattley, manager of net.kn, a private company that works with the St. Kitts regulators. Wattley said the government has issued 20-25 online gaming licenses. About half of those licensees have sites that are in operation.

But don’t look for a list. One of the services that St. Kitts-Nevis offers, Wattley explained in an interview, is secrecy.

“We provide anonymity for persons who want that,” he said.

Another advantage that the minister wanted him to mention, Wattley said, is speed of licensing.

“Once the paper work is submitted, you can have a license in two to three weeks,” Wattley said.

It’s hard to imagine Sandoval, or any gaming regulator in the U.S. or Australia or Great Britain, making such a promise.

To be fair, the context for regulating online gaming differs sharply between Caribbean countries and the First World. As the Astaphan speech spelled out, a country like St. Kitts sees e-commerce as a golden opportunity for a poor nation to nurture a new industry, to attract foreign investment and revenue, and to train its young people in technical skills.

New Jersey and Nevada put far more emphasis on protecting consumers. But they also want to protect their huge land-based gaming industries, which fear that any kind of scandal involving gaming could come back to haunt them. The land-based casinos don’t want to lose business to the Internet, but they want Internet gaming to be as regulated as they are.

Lawmakers in New Jersey and Nevada believe that players will be attracted to gaming sites that are rigorously regulated, giving their home-state Internet casinos – assuming they are allowed to license them -- an advantage in competing against sites in loosely regulated, or completely non-regulated, venues.

As the colorful Impreveduto told a somewhat unappreciative audience in Toronto, “If in fact there was a place to play that you knew was safe, why would you go somewhere else that you have no idea. . . . Would you play a street-corner crap game, would you play three-card monte in New York City? You’d be a fool, if you don’t know if it’s legitimate.”

RAZ

[RAZ]

Canadian Study: Gambling Addiction Lures Middle Class

This Article Sponsored by:

CANADA –– As reported by the Canadian Press: “Gambling looks more and more like an addiction of the middle class and the video lottery terminal is the drug of choice, says a new study being published next week in the Canadian Journal of Psychiatry.

”Gambling has been called a tax on the poor or the stupid.

”But, in fact, problem gamblers are often well-educated, have decent incomes and few problems with drugs or alcohol, according to a study of 1,000 adults -- 40 per cent of whom were women -- who sought treatment in Manitoba over the last few years.

”…Other findings included:

”- Problem gamblers generally don`t roam to feed their addiction, with 90 per cent reporting no trips to Las Vegas or other provinces to gamble.

”- Most are hooked on VLTs, which they use daily or several times a week.

”…- Almost 90 per cent report their parents didn`t have gambling problems.

” …[Dr. Brian Cox of the University of Manitoba`s department of psychiatry ] said governments should note that those studied might not have lost homes, families or jobs if not for a problem that really didn`t exist a decade ago before the expansion of government-run gambling…”

RAZ

[RAZ]

Columnist Buzz Daly: Sports Book Scene
Reprinted by permission from Buzz Daly’s column, “Sports Book Scene,” which appears regularly on the Web site buzzdaly.sportsterminal.com/.

“Can’t we all just get along?” asked Rodney King after sustaining a beating by L.A.’s finest, then seeing his tormentors convicted in court.

The incident, captured on videotape, enthralled the nation and, not surprisingly, was subject to startlingly different interpretations.

A similar Rashomon-like occurrence is playing out on the Internet. We heard about it from Dalton Wagner, who runs several well-regarded Costa Rica-based sportsbooks including Players SuperBook (www.players-sb.com) and MVP Sportsbook (www.mvpsportsbook.com).

It seems he was running a promotion designed as a lead generator for one of his books, BetVSI (Virtual Sportsbook International, at www.betvsi.com). He offered a free $10 three-team parlay. According to the rules, participants could enter only once.

However, one aggressive bettor signed up 19 times, says Wagner. In fact, he did so over the phone. When the player was busted by the book, long after the signups had been accomplished, the player went on various Internet posting forums berating BetVSI.

Typical was this thread posted at MajorWager on June 5: “I just got screwed by BetVSI!”

Like the Rodney King incident, this one has many perspectives, depending on who is relating the story. It could easily be characterized as much ado about nothing, but that would be simplistic.

Posting forums exist to air gripes. The size of the gripe is in the eye of the beholder.

We’re not going to take either side, except to point out that we believe there’s a certain amount of culpability on both sides.

The book didn’t take enough safeguards to preclude an opportunist from signing up multiple times, in clear violation of the book’s rules and fair play. “Players frequently come in under multiple accounts which must be consolidated,” explained Wagner.

But by making it easy for someone to circumvent the rules, the book in a sense was encouraging what happened.

In A Streetcar Named Desire, Blanche says she has, “ ... always relied on the kindness of strangers.” That is not a viable modus operandi for a sportsbook.

The player tried to pull a fast one, was chagrined at being caught, and decided to engage in a little payback by taking his story all over the Internet.

Based on responses at M-W, that was not a fully realized strategy. “The more you post about this the more stupid you look,” asserted one regular.

Even one of the forum’s principals, The Major, questioned the propriety of opening 19 accounts under one name.

In the dog days of summer, incidents like these get blown out of proportion due to a lack of substantive issues.

Dalton Wagner runs successful books because he exercises a great deal of professionalism, is eminently fair with his client base and has a reputation for prompt payments. He cited other books that use the same type of inducement, but with larger free bets.

When we asked him if this signup incentive was worth it, he replied, “Generally, they work as a good lead generator, and actually produce a good turnover. That is, we convert enough trial players to make it worthwhile. But now I am questioning its effectiveness, especially when I have to spend two days battling in the posting forums over $10.”

Wagner noted that this type of incentive produces highly qualified leads. It attracts people who know how to place a parlay which, unlike a straight bet, actually takes a reasonable knowledge of betting.

That qualification could easily include opportunists who look to take advantage of a book’s inadvertent soft spots.

Wagner did the math and suggested that with 19 accounts, the player could play round robins against each other, narrowing down the accounts to six or seven, then make bets on opposite sides of a game.

Eventually there would be one account with a substantial amount of money, which the player then would most likely close.

Maybe if the books tightened up their procedures and stopped being easy targets, those who probe the books’ offers with larceny in their hearts would get frustrated and look elsewhere.

People went back and forth on the posting-forum thread for several days. But we agree with a post that asserted: “Just forget it already.” Amen.

Internet Gaming Under New Attack. Those wonderful folks who think they have the right to tell the rest of us what to do with our lives have cyberspace gaming in their cross hairs once again.

Anti-gaming leader Tom Grey, and his merry band of holier-than-thou zealots, is trying to enlist Attorney General John Ashcroft in a crusade to crack down on Internet gaming.

Grey attributes many of the ills of society today upon the negative effects of gambling, as documented by his agenda-driven ribbon clerks.

When a bill to ban gambling on the Internet is introduced later this month by Rep. Bob Goodlatte, R-VA, Ashcroft is expected to help steamroller it through Congress. It brings to mind the words déjà vu and Janet Reno.

Unfortunately, the more things change, the more they stay the same. Especially in politics.

RAZ

[RAZ]

Goodlatte Prepares New Bill to Ban Internet Gambling

by Fred Faust, RGT Online.com

This Article Sponsored by:

TORONTO – Representative Robert Goodlatte is preparing to bring his Internet Gambling Prohibition Act back to the U.S. Congress, but this time with tactical changes that he thinks will win enough votes to pass it. That’s the word from Frank Fahrenkopf, director of the American Gaming Association.

Goodlatte, Republican from Virginia, led last year’s unsuccessful effort to get the bill through Congress. It was a companion to the bill that Sen. Jon Kyl, Republican from Arizona, got through the U.S. Senate in November 1999.

Fahrenkopf, speaking at the Global Interactive Gaming Summit & Expo here Wednesday, said he had a long meeting with Goodlatte Friday. He said Goodlatte told him that he’s met with U.S. Attorney General John Ashcroft and has Ashcroft’s support for his bill.

That’s significant, Fahrenkopf said. The Justice Department under President Bill Clinton opposed the Kyl/Goodlatte bills, believing that the old Wire Act, perhaps with modifications, was sufficient to prosecute casino gambling on the Internet.

Ashcroft, a right-wing Republican, was a Senator when Kyl’s bill was passed by the Senate, and Ashcroft supported it. This time, Fahrenkopf said, Kyl has said that the House should pass the bill before he introduces it again in the Senate.

Goodlatte told Fahrenkopf that one reason for the bill’s defeat last year was that it put an enforcement burden on Internet Service Providers. That cost it some support in the House.

So this time, Fahrenkopf said, Goodlatte will delete that part of the bill and replace it with the approach favored by Rep. Jim Leach, an Iowa Republican. Leach wants to go after the financial lifeblood of online gambling by declaring that credit card debts incurred from Internet gambling would be uncollectable.

The good news for the online gaming industry is that Visa and MasterCard don’t like the idea, according to Fahrenkopf. They think it would be restraint of trade.

Another problem for Goodlatte last year was opposition from state lotteries, some of which want to sell lottery tickets online. Fahrenkopf said a compromise is in the works – Goodlatte’s new bill would reportedly let state lotteries sell tickets online.

Fahrenkopf said the AGA, the main casino industry trade group, would wait to see the bill before taking a position. In previous years, he said, the AGA agreed not to oppose the bill.

The conference seminar that Fahrenkopf addressed was devoted to favorable Internet gaming legislation in Nevada and New Jersey, but the federal government’s position on the subject cast a giant shadow over efforts in those states to legalize it.

Brian Sandoval, chairman of the Nevada Gaming Commission, said he expects to meet with Ashcroft soon to get the Justice Department’s views on whether the Wire Act, a 1961 law, applies to casino gambling on the Internet. Monday, Nevada’s legislature passed a bill that could lead to online gaming licenses for resort hotels in Nevada.

Sandoval told the conference attendees that, if Nevada Gov. Kenny Guinn signs the bill, the Commission will hold hearings on the subject beginning in July. The bill does not directly legalize Internet gaming. It gives the Commission wide discretion, directing the Commission to issue licenses only if it finds that interactive gaming can comply “with all applicable laws” and can be properly regulated.

If the federal government decides that interactive gaming is illegal, Sandoval said, the new Nevada legislation could be moot.

“We would never, never go forward in light of any type of federal prohibition,” Sandoval said.

Even if Nevada is able to proceed, he said, the process will be slow and the regulation intense.

“It’s going to take as long as it takes,” Sandoval said. “Our timetable will be when and if the technology is there to properly regulate interactive gaming. We are going to take a cautious, slow approach . . . .”

“We are going to be very very cautious and strict about border control,” he added, referring to the need to keep minors from gaming online and to prevent access by people who live in states or countries where online gaming is illegal.

Sandoval said the backgrounds of people participating in any aspect of online gaming will be thoroughly investigated, and so will the hardware and software.

“We will have our own interactive gaming lab and we will inspect every piece of every system,” he said.

Another speaker at the Toronto conference, Anthony Impreveduto, was far more enthusiastic and passionate about licensing and regulating interactive gaming than Sandoval or Fahrenkopf. Impreveduto is the member of the New Jersey Assembly who introduced a bill this year to legalize interactive gaming by Atlantic City casinos.

Impreveduto, a Democrat, said his bill never got a hearing in the Republican-controlled New Jersey legislature. He told RGT Online that he will re-introduce it in January. Democrats may control the legislature by then, he said, and the bill would be more likely to pass.

He said it would be a mistake for Congress to try to prohibit interactive gaming.

“Prohibition’s not going to work,” he said. “We forget in the U.S. that we had prohibition in the 20s on alcohol and what happened then? We should have learned our lesson once, we didn’t.

“All prohibition will do is force it further underground and hurt more people,” he said.

“Billions of dollars are reportedly being bet over the Internet,” Impreveduto told the conference, “with very little if any oversight, or guarantee that the operators of these sites are fair and honest. . . .

“We heard our first speaker (Fahrenkopf) talk about effective controls. But what controls are there now without licensing? What controls are there now without regulation?”

His bill, he said, would have enabled great strides in protecting children from online gaming. He compared such regulation to keeping kids out of land-based casinos in Atlantic City.

“Maybe we can’t get 100 percent of the kids off the Internet who are gambling,” he said, “but we can sure as hell get 95-98 percent of them off. Right now in New Jersey, we’re taking tens of thousands of kids off the land-based casino floors on a yearly basis. How many of them would walk in unless you protect against them?”

The Toronto conference, which ends today, may be the largest one ever held for the Internet gaming industry. Nearly 800 people – including online casino and sports book operators and the developers of their software – paid $1,200 each to attend.

... Ende ...

Dumdidum

RAZ

[RAZ]

Monday June 18, 8:02 pm Eastern Time
Press Release
SOURCE: Bingo.com, Inc.
Bingo.com Moves Towards Profitability; Relocation to Canada Drastically Reduces Overhead
VANCOUVER, British Columbia, June 18 /PRNewswire/ -- Bingo.com, Inc. (OTC Bulletin Board: BIGRE - news) a fast growing entertainment site and application service provider (ASP), today announced that they are moving operations to Vancouver in an effort to reduce the company`s operating expenses.

Shane Murphy, Chairman, CEO and President of Bingo.com, said, ``The Company can employ the same caliber of professional staff in Vancouver at a reduced cost. Although the team that worked so hard for the Company in California was second to none the Company`s priority is profitability. While advertising revenue continues to be strong the Company is gearing up for the launch of its much-anticipated pay to play skill based bingo game. We are extremely excited about the launch of our upcoming pay to play game and the enormous opportunity that it presents for Bingo.com. By creating the lowest cost professional infrastructure possible the Company will be in a position to maximize its profitability.``

Bingo.com -- recently ranked as the ``Stickiest Site on the Web`` for several consecutive months by Media Metrix -- operates a Web site offering free casino style games and, in addition, is an application service provider (ASP). The company`s game offerings include multiplayer bingo, video poker, concentration games, sweepstakes and slot machines. Bingo.com also offers affinity programs that provide users the opportunity to convert online winnings into cash and prizes.

It should be noted that the Company has not changed it trading symbol. Nasdaq has added an E to our trading symbol to denote a late filing of our 10Q. The Company anticipates this filing will be done before month end.

Moin

RAZ

[RAZ]

Es gibt ein Statement von Worldgaming zur RCMP Verlängerung!

RCMP Inquiry

An Order has been signed by the Supreme Court of British Columbia, Canada extending the current restraints previously issued by the Court until July 31, 2001. It should be noted that this is merely an extension of previous orders and does not reflect positively or negatively toward the outcome of the ongoing investigation by the RCMP.

http://www.worldgaming.com/rcmpinquiry.html

Dumdidum

RAZ

[RAZ]

New Jersey Sues Online Casinos
Tue Jun 19 2001

The state of New Jersey filed civil lawsuits Monday against three online casino companies, saying they broke the law by taking bets from New Jersey residents. The state investigated 7sultans.com, Alohacasino.com and royalclubcasino.com because they advertised their gambling sites in New Jersey, for example, on billboards along the Atlantic City Expressway. Authorities said that investigators placed as many as 20 bets with the online gambling companies and three teenagers also placed bets while investigators watched. New Jersey authorities now want a detailed account of how many state residents placed online bets and how they fared. Prosecutors want the companies to stop advertising and taking bets from New Jersey residents.
MSNBC has the AP story

RAZ

[RAZ]

Australian Legislators Make Internet Gambling Exceptions
Tue Jun 19 2001

Australia`s communications minister, Senator Richard Alston, has announced changes to the federal government`s proposed ban of Internet gambling. The legislation will restrict Australian companies from offering online gambling to Australians, but Alston says that lotteries, sports betting and horse race wagering would no longer be included in the ban. The legislation would still allow Australian companies to offer online gambling services to residents of other countries. The ban would target only casino-type games, which Alston says are most addictive: "Casino-type activities is almost by definition mindless, highly repetitive, highly addictive and that`s the major area of problem gambling as identified by the productivity commission."
ABC News (Australia) has the report.

RAZ

[RAZ]

Lotteries, racing escape Net ban
By CHRISTINE JACKMAN in Canberra
20jun01

LOTTERIES, horse racing and most other sports betting may be excluded from any ban on Internet gambling following a last-minute change of heart by the Federal Government.

The exemptions are among a series of amendments to the Interactive Gaming Bill announced yesterday by Communications Minister Richard Alston.
The late changes, due to be debated in the Senate this week, effectively will restrict any ban on casino-style Internet games.

Senator Alston conceded the amendments were drafted after a sustained campaign by the racing industry and state TABs.

Racing executives warned Prime Minister John Howard last week that their industry would campaign against the Government in marginal seats if it were not protected from the ban.

"In the case of the racing industry, the Government remains concerned about the impact of Internet wagering," Senator Alston said. "But (it) recognises that this concern needs to be balanced against the impact of a ban on a bona fide and long-established industry."

Under the amendments, punters would be able to place bets on sports events, but only before the events have started.

"Micro-wagering" – betting on ball-by-ball outcomes during a match – would still be banned.

Lotteries that sell tickets online and television game shows with an Internet component also would be exempted.

Other amendments attempt to make it harder for offshore gambling operators to target Australians. Foreign operators who accept bets from Australians would be liable to prosecution if they ever entered Australia.

Advertising on any media to promote overseas gaming sites would be outlawed.

The amendments are likely to win the support of several Democrats who had indicated they would otherwise vote against the Government`s Bill.

However, Opposition communications spokesman Stephen Smith said the legislation was still unworkable and would not protect problem gamblers.

Grüße

RAZ

[RAZ]

Lou Dobbs Has His Finger on the Pulse of the Nation with Return to Moneyline

In a society increasingly dependent on reliable coverage of financial developments, the name Lou Dobbs has become synonymous with timely and insightful economic analysis. In recent Moneyline TV spots, CNN compares Dobbs’ innovative and insightful thinking to the likes of Charles Darwin and Thomas Edison. Lou Dobbs is a man of vision; he created CNNfn and CNNfn.com, the first news and information service to launch simultaneously on television and the Internet. During his first week back on Moneyline, Dobbs’ guests included Vice President Dick Cheney, Disney’s Michael Eisner, Treasury Secretary Paul O’Neill, Cititgroup’s Sandy Weill, and China Expert Prescott Bush. The program airs weeknights at 6:30 ET on CNN.

About Lou Dobbs

In a society increasingly dependent on reliable coverage of financial developments, the name Lou Dobbs has become synonymous with timely and insightful analysis. At CNN, he produces and hosts the network’s premier financial news show, Moneyline, which continues to set an industry standard after twenty years on the air. A man of vision, he also created CNNfn and CNNfn.com, the first programming services to launch simultaneously on television and the Internet. For the radio waves, he hosts and produces The Lou Dobbs/NBC Financial Report, unraveling the complexities of stock market trends for a national audience. His Internet expertise, and financial savvy, led to his role as chairman of Space.com, the first Web site devoted exclusively to space exploration. A true Renaissance man, Dobbs shares with audiences his world-class understanding of the Internet’s potential, of international finance, and of the limitless prospects for the future.


Moneyline with Lou Dobbs transcript...

DOBBS: Nevada has passed a law moving it closer to legalized online gambling than any state in the country. But Internet gambling is already a multibillion dollar market, mined exclusively by operators outside the United States. Steve Young has our report.

STEVE YOUNG, CNN CORRESPONDENT (voice-over): It`s not legal yet but it sure looks likes Internet gambling run by U.S. casinos has arrived. You can play slots for fun or would you prefer card games?

JAN JONES, HARRAH`S ENTERTAINMENT: We actually have in place an entire virtual casino where customers who are looking to learn more about Harrah`s or even our total rewards members could go in, play the games, of course, it`s just for fun and prizes. There`s no betting or actual cash involved.

YOUNG: Not yet, but with analyst estimating that Caribbean, English and Australian operators are raking in at least $1.5 billion a year in Internet wagers, projected to rise to 5 billion by 2003, you can bet U.S. casinos want some of the action. Now Nevada`s governor signed a bill authorizing state gaming officials to check it out.

Though U.S. officials say Internet gambling violates the federal wire act. But analysts expect Nevada operators to get the green light in 18 to 24 months. Some of the first examples on the Web have been posted for U.S. casinos by a company called Wager Works.

ANDREW PASCAL, CEO WAGERWORKS: We think that if at some point in the future, I should say when at some point in the future it`s deemed to be legal, then we can allow people that are of age to actually participate and gamble online.

YOUNG: The industry now seems to believes Internet gambling wouldn`t cannibalize casinos, but could boost attendance and benefit other companies too.

MARK FALCONI, BEAR STEARNS: Technology companies that are able to establish the software that are going to prohibit underage gambling that are going to be able to identify where gamblers are actually placing their bet from.

YOUNG: Such as Wager Works, Virt Game, and the slot machine makers, IGT, WMS and Anchor Games.

Park Place Entertainment, MGM, Mirage, and Harrah`s have all invested in technology firms working on secure Internet gambling. But the American Gaming Association, concerned about underage and problem gambling, thinks computer betting is a crap shoot -- Lou.

DOBBS: I can remember years ago, and I mean a decade or more, John Malone saying that he felt gambling would be a big application. And here we go, apparently.

YOUNG: Well, they say this is going to be big on interactive TV as well.

DOBBS: I`m amazed that people would trust the end other end of that line, but anyway, thanks. Steve Young.


[End of report]

Yep yep

RAZ

[RAZ]

Bookies fear for the odds from Internet

By Cynthia Banham

The Federal Government`s plan to exempt wagering from its ban on Internet gambling would give offshore companies an unfair advantage over Australian organisations, the racing and sports betting industry has warned.

Members of the Australian Registered Bookmakers Advisory Council met the Prime Minister`s staff late yesterday to air their concerns, two days after the Government caved in to the racing industry and agreed to leave wagering and lotteries out of the new anti-gambling laws.

The controversial bill was debated in the Senate yesterday, where the Greens` Senator Bob Brown called for amendments to prevent foreign bookmakers from taking bets on Australian races over the Internet.

While Australian-based bookmakers were subject to probity checks and needed licences to operate, Senator Brown said that under the Government`s amendments foreign operators would not be subject to those restrictions, and could take bets from Australians over the Internet.

"The Government`s amendments should be changed to ensure only licensed Australian operators are able to take bets on Australian racing over the Net," he said.

"Australia cannot vet the credentials of bookmakers operating overseas. They should be banned from operating here."

The Advisory Council`s Mr Tim Ryan said Australian-based bookmakers had to obtain various tax certificates, licences, financial guarantees and authorities before they could take bets, but under the proposed legislation offshore Internet wagering operators would not have to.

"They can target Australians at no extra cost," he said.

But a spokesman for the Communications Minister, Senator Alston, said Mr Ryan`s arguments were anti-competitive and "not within the realms of this legislation". Wagering licences were a matter for the States, the spokesman said. "They`re just trying now to use this legislation to push their own industry line."

Meanwhile, Independent Senator Brian Harradine called for more stringent measures to ban overseas online casino operators, saying many overseas gambling sites were linked to pornography.

Under the proposed legislation it will still be legal for Australians to gamble offshore.

http://www.smh.com.au/news/0106/22/national/national18.html

Grüße

RAZ

[RAZ]

Das vorletzte Posting war nicht ganz vollständig!CNN....BIZASIA
aired June 21, 2001 - 08:45:00 ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DALTON TANONAKA, CNN ANCHOR: Australian lawmakers are considering a law banning the country`s citizens from gambling on domestic Internet sites. The legislation wouldn`t prevent Australians from developing gambling sites for overseas users or stop them from placing bets abroad. Australian Internet casinos are part of a global multibillion dollar gambling industry that has so far excluded the United States.

But as CNN`s Steve Young explains, one U.S. state is trying to change that.

(BEGIN VIDEOTAPE)

STEVE YOUNG, CNN CORRESPONDENT (voice-over): It`s not legal yet but it sure looks likes Internet gambling run by U.S. casinos ....... ( siehe voletztes Posting.

Grüße

RAZ

[RAZ]

Gambling in America, E-Style

The increase in online gambling shows that technology is, once again, faster and tougher than a group of lawmakers trying to save our mortal souls.

We all knew the century had officially turned in my town when the local race track started accepting bets via the Internet.

In New Orleans, betting on the ponies is as much a part of some people`s days as going to work. So the idea of getting lucky with a mouse click makes our heads swim.

Online gambling is still trying to find its legs, but according to a study last year by the Pew Internet and American Life Project, about one million people gamble via the Internet daily. Still, only 5 percent of Internet users had gambled online as of when the study was conducted.

But a lot can happen in a few months online, and suddenly Internet gambling seems to be poised to infiltrate the wired culture in a big way.

Lawmakers will still fight it, moralists will continue to badmouth it and compulsive gamblers will quickly max out their plastic, but gambling appears headed for daylight.

Take a Chance.

Whether online gambling in America is a novelty act, a passing fancy or a new staple of an increasingly tech-savvy culture, depends on who`s doing the talking.

But when Bear Stearns decided to take some measurements, it found out almost half of all online betting revenue comes from the U.S. The revenue may not end up staying in this country -- with many sites opting for safer home turf like the Caribbean -- but we Americans are the ones keeping it afloat.

Almost 40 percent of online bets placed by Americans are coming from southern U.S. states. Every time we rise again here in the South, we do so in ways that defy the stifling summer heat. Betting online from the comfort of our living rooms suits us just fine.

Lawmakers or Moralists?

However, despite the collective statement from the general public that gambling online is increasingly a part of our lifestyle, many elected officials are #### bent on saving us from ourselves.

It`s in their language. U.S. Senator Jon Kyl (R-Arizona), for example, continues to refer to the "crack cocaine of gambling."

And it`s on their agenda. Kyl`s fellow Republican, Rep. Bob Goodlatte of Virginia, is undaunted by his failure last year to persuade the House of Representatives to stop online gambling in its tracks. This year, similar legislation was proposed again and bolstered with an attempt to limit credit card and wire transfer payments for online wagering.

The shortsightedness of these legislators is staggering. Americans are finding quick, convenient ways to gamble from their offices and homes. We will also find alternative payment vehicles for online gambling, if that`s what we have to do.

Ante Up

And all the while, U.S. gamblers keep upping the Internet ante. Christiansen Capital Advisors reports consumer spending on online gambling increased 80 percent in the year 2000.

This is one situation in which the lawmakers on the Hill would do well to pay attention to the numbers. Do they need a gentle reminder that they were sent to D.C. by us to represent us -- and not to preach?

There is something inherently flawed in a system where the elected officials decide for the people what the people want. The last time I checked I was capable of deciding that for myself.

Futile Efforts

Those who have followed other controversies as they developed on the Internet know that our legislators would do well to direct their attentions to something other than banning online gambling.

Many lawmakers do not appreciate the easy availability of online erotic content either. Adult content sites are among the few wildly profitable businesses on the Net.

The increase in online gambling shows that technology is, once again, faster and tougher than a group of lawmakers trying to save our mortal souls.

Easy Pieces

Somehow Goodlatte, Kyl et al. have forgotten that interactive TV looms large in the culture. One study recently predicted that by 2005 the online gambling industry will be worth about US$20 billion, while reiterating that the U.S. is the biggest market.

Try and stop a Monday night football fanatic from placing a wager via his TV set while he`s watching the game, once that technology is commonly available.

Online gambling is as inevitable as wireless Internet, which, by the way, will take e-wagering to a whole new plateau.

Meanwhile, a couple of big names in the casino industry, including The American Gaming Association and individual powerhouse members such as Harrah`s Entertainment, are beginning to rally behind online gambling.

Internet gambling is an industry ready to infiltrate a willing public, and the wait is almost over.

What do you think? Let`s talk about it.



--------------------------------------------------------------------------------
Note: The opinions expressed by our columnists are their own and do not necessarily reflect the views of the E-Commerce Times or its management.

--------------------------------------------------------------------------------http://www.newsfactor.com/perl/story/11462.html

Yep

RAZ

[RAZ]

20 June 2001
Denmark Considers Internet Gambling
Denmark recently took a long, hard look at its future in online gambling. In December 1999 the Danish Minister for Taxation established an interministerial working group to prepare for the modernization and unification of existing gambling legislation in Denmark. The group was also charged with assessing the possibility of maintaining national control of the Danish Internet gambling market.

Yep

RAZ

[RAZ]

Internet Gambling Solutions Provider First Launched in Asia
A Closer Look at the Online Gaming Industry
HONG KONG, June 21 /PRNewswire/ -- Commenting on Hong Kong`s Gambling Amendment Bill, G-Master Technology Company Ltd ( http://www.gmastech.com ), the pioneer internet gambling solutions provider in Asia, strongly believes in legalizing the soccer betting. It supports and welcomes the day when Hong Kong will soon have its own organized and effectively regulated betting market.

Many people have expressed keen concern on the upcoming release of the consultation paper on soccer gambling later this week in Hong Kong. The process may not immediately give an answer to whether the Hong Kong Special Administrative Region (SAR) government will legalize soccer gambling or not, it may still be helpful in giving the public some kind of clues on the opinion of the Hong Kong government and in turn for the Administration to solicit the public feedback on this issue.

Up until now, Hong Kong citizens are unlikely to have the chance to understand the full aspect of professional sports betting operation. They have exposed to horse racing more than any other legal sports betting activities. People learn about sports betting activities with a negative implication such as news on local illegal operations. This subconsciously creates a negative perception in the public`s mind. Unlike illegal sports betting operations, a legal professional sports betting operation is made up of solid financial background, a pool of professional experts endowed with sound knowledge in research and analysis, odds compilation, risk control, fund management and sophisticated technical support. Many world renown large-scale betting operations are legally recognized and are listed in major stock exchanges across the globe.

G-Master Technology Company Limited (http://www.gmastech.com) is the pioneer in Asia, providing comprehensive online gaming solutions to individuals and companies that are interested in investing in this industry. The gaming solutions cover services such as obtaining legal online betting license, software and hardware support, operation and management training, marketing and gaming related consultation service. Currently, G-Master is serving companies like Easybets (http://www.easybets.com; a popular sportsbook from Europe), Paddy Power (http://www.easinumbers.com; one of the largest sportsbooks in Ireland), PSA (http://www.psanalysis.com; sports betting service from Finland), and more.

G-Master Technology Company Limited also renders services to different organizations, media, and the public in order for them to obtain a better understanding and updated information of the online gaming industry.

RAZ

[butzbutz]

Aus dem RB:


By: spaceman-1 $$$
Reply To: None
Friday, 29 Jun 2001 at 10:48 AM EDT
Post # of 253456


Chartwell Earnings :
BW2193 JUN 29,2001 7:17 PACIFIC 10:17 EASTERN



( BW)(CHARTWELL-TECHNOLOGY)(CWH.CX) Chartwell Technology Announces Second
Quarter
Results


Business Editors

CALGARY, Alberta--(BUSINESS WIRE)--June 29, 2001--Chartwell Technology Inc.
(CDNX:CWH) a leading provider of
interactive media and information systems for companies engaged in the Internet gaming
industry, announces results for the three- and
six- month periods ended April 30, 2001.
Revenues for the six-month period were $1,044,355, an increase of 125% over the
corresponding period of the previous year.
Second quarter revenues of $601,817 were a 36% increase over the preceding quarter. The
majority of revenues were generated by
our subsidiary company, Chartwell Games Corp. through software licensing and development
fees. Second quarter expenses were
$867,348 representing a decrease of 17% from the preceding quarter. The majority of these
expenses related to research and
development.
Chartwell posted a loss of $862,000 for the period compared with a loss of $1,034,912 in the
corresponding period of the prior
year. The quarterly loss of $265,531 was a 45% reduction of the loss in the preceding quarter.
As in previous quarters, a significant
portion of our loss for the period represents an investment in software development. Expenses
related to software development are not
capitalized. Working capital at the end of the period was $7,218,986.
"Our year on year and quarter on quarter revenue growth reflect the maturing of our business
plan from the pure development phase
to the commercial application and market development phases," commented Darold H. Parken,
President and CEO. "Although we are
pleased with these numbers we remain keenly aware that near term profitability is our ultimate
goal for the year."
During the second quarter Chartwell continued its focus on product development together with
an expansion of our marketing and
market development efforts. During the quarter significant development advancements were
made in version 3.0 of our Java Gaming
software which has just been released and in our revolutionary new Flash Gaming software
which will be released during the summer.
Our continued dedication to development, evidenced by our Flash and Java v3.0 Online Gaming
software releases have reaffirmed
our position as the leading supplier of in-browser software to the Internet gaming and
entertainment industries.
Chartwell Technology Inc. specializes in the development of leading edge gaming applications
and entertainment content for the
Internet. Chartwell`s Java and Flash based software products and games are designed for
deployment in gaming, entertainment,
advertising and promotional applications. Chartwell`s team of highly trained professionals is
committed to delivering the highest quality
software and maintaining its leading edge through continuous development and unparalleled
customer support.
Chartwell invites you to preview and play our games at: www.chartwelltechnology.com

For further information, please contact: Chartwell Technology Inc.

Darold H. Parken, President [phone] or [phone] [e-mail]

David Bajwa, Investor Relations [phone] or [phone]
[e-mail]

The Canadian Venture Exchange has neither approved nor disapproved the information
contained herein.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The
statements contained herein which are not
historical fact are forward-looking statements that are subject to risks and uncertainties that
could cause actual results to differ
materially from those expressed in the forward-looking statements, including, but not limited to,
certain delays in testing and evaluation
of products, regulation of the online gaming industry, and other risks detailed from time to time
in Chartwell`s filings with the Securities
& Exchange Commission. We assume no responsibility for the accuracy and completeness of
these statements and are under no duty
to update any of the forward-looking statements contained herein to conform these statements
to actual results. This is not an offer to
sell or a solicitation of an offer to purchase any securities.

--30--rr/cgo*

CONTACT: Chartwell Technology, Inc.
Darold H. Parken, 877/261-6619 or 403/261-6619
[e-mail]
or
David Bajwa, 877/669-4180 or 604/669-4180 (IR)
[e-mail]
URL: www.chartwelltechnology.com

KEYWORD: INTERNATIONAL CANADA
INDUSTRY KEYWORD: ELECTRONIC GAMES/MULTIMEDIA INTERNET SOFTWARE
ENTERTAINMENT EARNINGS


Gruß
butz

[RAZ]

Fifth Annual Internet Gambling Symposium in November
Tue Jun 26 2001

The Fifth Annual International Symposium on Internet Gambling Law and Management will be held Nov. 25-27 in Dublin, Ireland and will focus on four main themes: new markets, new laws, new competitors and new technologies. The conference will feature sessions on the burgeoning Asian and Latin American markets; new entrants into the field from land-based gaming and other industries; new licensing jurisdictions such as Jersey, Isle of Man, Alderney, Channel Island, Malta and Gibraltar; new laws and regulations in Antigua, St. Kitts, New Zealand and other jurisdictions; the latest in Internet gaming technology including streaming, wireless, border control and voice systems; the growth in Internet lotteries; and major developments in online sports books, pari-mutuel sites and casinos. The stellar lineup of speakers include Steve Beason of the Hong Kong Jockey Club, Tony Fontaine of Station Casinos, David Outhwaite of CryptoLogic, Professor I. Nelson Rose, and Johan Sigvardsson of Boss Media.
Excite has the detailed press release.

[RAZ]

Australia`s Senate Passes Internet Gambling Bill
Fri June 29 2001

The Australian Senate last night passed the controversial Interactive Gambling Bill 2001 proposed by the federal government. The legislation bans Australian online casino companies from offering gambling services at home and abroad and makes it unlawful for illegal gambling sites to enforce gambling debts in Australia. The law still allows Australian companies to offer Internet betting on sports, horse races, and the lottery. Communications Minister Richard Alston defends the decision to ban only online casino gambling: "It`s mindless, it`s repetitive... It`s a sure recipe for losing a lot of money very quickly, and that`s really what comes through in this legislation... In other words, we`ve dealt with the worst excesses of the new technology and I think we`ve taken a stand that overwhelmingly the Australian people wanted us to take." The Northern Territory government is considering launching a legal challenge against the new legislation on the grounds that it is unconstitutional. NT Chief Minister Denis Burke is seeking legal advice on the issue.
ABC News (Australia) has the story.

[butzbutz]

Sunday, 1 Jul 2001 at 1:44 PM

Nevada lawmakers approve Internet gambling
CARSON CITY, Nev. (AP) -- Nevada lawmakers have approved a law that allows Internet
gambling by casinos even though the Justice Department says Internet gambling is illegal.

State officials say court challenges could change the federal government`s position.

Experts estimate that revenues from Internet gambling -- largely conducted by offshore
companies because of the U.S. ban -- reached $1.5 billion last year and could reach $6 billion
by 2003.

To ensure Nevada`s expansion into Internet gambling moves ahead smoothly, the state
Gaming Control Board and state Gaming Commission must first draft and adopt rules
governing such gambling.

Those requirements would include assurances that minors wouldn`t be able to play. Also the
games couldn`t be conducted from states that prohibit gambling.

Some in New Jersey wanted to beat Nevada into cyberspace, but an Internet gambling bill
introduced in the New Jersey legislature in January that would permit casinos in that state to
offer blackjack, roulette, slot machines and other games over the Web is stuck in committee
and unlikely to see action before upcoming summer break.

In Nevada, AB466, which moved to Gov. Kenny Guinn for signature on a 17-4 state Senate
vote Monday, began as a uniform statewide work card system for casino workers. The Internet
gambling provisions were amended into the bill after an initial plan for such gambling died in the
Senate.

Proponents said the earlier version, AB578, was a victim of political maneuvering. Casino
lobbyists -- in another of their numerous legislative successes this session -- followed up with
more maneuvering to revive the idea.

Opponents included Sen. Terry Care, D-Las Vegas, who said a $500,000, two-year licensing
fee for Internet gambling makes it impossible for small casinos and entrepreneurs to
participate.

``What this is asking us to do is to legislatively sanction a monopoly for an exclusive few that
has always prided itself on the competitive nature of the marketplace,`` Care said.

Senate Judiciary Chairman Mark James, R-Las Vegas, said the $500,000 fee ensures that
reputable companies undertake Internet gambling.

Hotel-casinos with unrestricted gambling licenses could apply to conduct Internet gambling,
posting the $500,000 fee when applying for two-year licenses.

A manufacturer of an interactive gambling device would pay a $250,000 license fee; a
$100,000 fee would be assessed against a manufacturer of equipment associated with a
gambling device; and a $50,000 fee would be charged for a license of a manufacturer of
peripheral equipment.

Casinos would pay a 6 percent tax on the gross win from the Internet.

butz

[RAZ]

Guter Fund, butz!

Ich fände ( Konjunktiv) eine Lizensierung des Worldgaming Casinos in Nevada äußerst lukrativ. Man bezahlt gerade mal 2.000.000 US$ auf 50.000.000 US$ Gewinn an Steuern drauf ( auf Antigua bezogen) und erhält mit aller Wahrscheinlichkeit große Aufmerksamkeit ... bei den Auflagen. Zukünftige Kunden der Software würden dann schon bald zuerst die Standards der Nevada lizenzierten Casinos vergleichen um dann den mit dem besten ( was immer das ist ...) Angebot zu nehmen. Mein Gefühl ( was immer das ist ...) sagt mir, das Worldgaming ein gutes haben wird ...

Gute Woche

RAZ

[RAZ]

i-gaming article
Posted at 11:33 p.m. PDT Sunday, July 1, 2001

Overcoming the odds
Net gambling may hit the jackpot with Nevada`s welcoming new law
• Virtual Vegas is a longshot for Californians

BY MARY ANNE OSTROM
Mercury News

Here`s a bet to consider: Can online gambling overcome legal, technological and social challenges to become a mainstream multibillion-dollar business?

The odds are improving in the wake of a new Nevada law designed to pave the way for the first legal casino-style Internet gambling in the United States. Even though federal authorities say existing law bans Web casinos, the prohibition is rarely enforced and gambling has become a popular Internet pastime.

Now, in an about-face, operators of Nevada`s brick-and-mortar casinos, which once sought to throttle competition by strengthening the ban, are now racing to join an estimated 1,000 Web sites that cater to several million virtual gamblers and rack up at least $1.5 billion a year in revenues. It is unclear whether Nevada casinos will be forced to challenge federal law to move ahead.

Regardless, most observers agree that Nevada`s new law marks a significant step toward legitimacy for online wagering. After years of discussion, ``it may actually come to be,`` said I. Nelson Rose, a Southern California law professor who advises public officials and the gaming industry.

Just as it has for music downloading, the global Internet has taken gambling to new heights while setting off intense legal and moral debates. While it has opened borderless vistas for millions seeking online entertainment and presented huge new business opportunities, it challenges American laws written before the cyberage and ignites moral discussions about what`s appropriate on the Internet.

If Harrah`s and MGM Mirage, for example, have their way, gamblers from around the world will crowd around their Web sites like they do a hot table Saturday night on The Strip. The early Nevada introductions, expected within a year or two, likely will only allow casino guests to electronically gamble from their rooms or with a handheld device from the pool.

``The gaming industry is moving closer to the entertainment industry. And at some point we`re going to meet,`` said Anthony Cabot, a Las Vegas attorney who represents casino interests ``That point is the Internet.``


Chips out of the bag

Even some gambling critics agree, the virtual chips are out of the bag. Analysts estimate Americans already account for more than half of an estimated 7 million Internet gamblers worldwide. Online gambling sites have doubled in the past year, and revenues could easily hit $5 billion in two years, according to a recent report by Bear Stearns. That`s about half of the revenues Nevada casinos reported to regulators in 2000.

An analysis by Nielsen//NetRatings for the Mercury News found gambling sites that involve betting money and their legal cousins, play-for-free lottery and sweepstakes sites, rank second only to television-related sites as the Internet`s most popular entertainment destinations, ahead of music, adult and sports sites.

What`s more, online gambling has seemed to escape the bursting of the Internet bubble. Well-known global entities -- including the venerable London retailer Harrod`s -- are setting up Internet gambling sites.

And the popularity of online gambling likely could grow, should brand-name U.S. casinos get in the action. Among other reasons, they would lend legitimacy to a little-regulated activity that now often is operated from a Caribbean island or far-flung country.

``The times are changing,`` the Bear Sterns report said. ``The days when a few college buddies with a laptop and $150,000 could just move down to the Caribbean and set up shop have ended.``

A virtual tour of existing online gaming sites illuminate the possibilities. A panoply of offerings, from poker to pai gow, already can be played in a multitude of languages. Many use ``Vegas`` in their URLs. Dozens of portal-like sites have popped up, purporting to steer gamblers to reputable operators. Message boards abound where gamblers post gripes.

The change of heart by some leaders of the U.S. gambling industry, which led to the Nevada legislation, is a powerful testament to how quickly the Internet can change the economic playing field for all sorts of ventures.

``We need to move as fast as we can or we are going to lose opportunities to other places in the world,`` said Cabot, the Las Vegas attorney.

Technology will be online gambling`s key driver, many say. A British-based site already allows a form of peer-to-peer betting, matching gamblers who want to place bets against each other on an event or game. (The Nevada law expressly prohibits online sports betting, except over a private network.)

In the past year, several of the nation`s largest casino operators have signed on with gaming technology companies to develop sophisticated sites to first build customer loyalty by offering play-for-free games. Now they are in a race to meet the ``foolproof`` standards the Nevada Gaming Control Board says it will demand to prevent Internet gambling by minors or in jurisdictions, including currently the other 49 states, where authorities say it`s illegal.

For that reason, closed-network gambling is likely to develop first in Nevada, where casinos can guarantee who is playing and at what location. But everything from Global Positioning Systems to advanced Internet address tracking systems to a mouse that reads thumb prints are being tested.

``The technology is already there. It`s a question of cost and implementation,`` Cabot said. Even so, other hurdles persist.

While at least one Louisiana federal judge has cast doubt on the validity of the 1961 Wire Act to ban Internet wagering, lawmakers are moving quickly to attack online wagering by banning credit card companies and other payment systems from transmitting money to the online gaming operators. Such a law is being considered by the California state legislature, which also seeks to set a $25 fine for online gamblers in the state.


Changing their practices

Already, several credit card companies have changed their practices as online wagering has mushroomed -- and after finding it difficult to collect charged gambling debts. Most no longer ``credit`` players` winnings back to their credit cards, so players now must wait for the gambling site to send a check.

Fred Marino, a 47-year-old Silicon Valley businessman who ran up more than $50,000 in online gambling debts on several credit cards, got hooked after finding links to online casinos in pop-up ads as he surfed the Internet.

His losses ``just snowballed,`` he said. ``It`s too easy.``

When the credit card bills kept coming, he turned to Ira Rothken, a Marin County attorney who specializes in cutting-edge Internet cases. Rothken argued in Marin County Superior Court that California law has forbidden gambling loans since the Gold Rush era. Discover Card recently settled by relieving Marino of $700 in debt and agreeing to ban its California cardholders from doing business with online casinos for at least three years.

As legislatures around the country grapple with government`s role, the gaming industry is beginning its campaign to legitimize online wagering. It argues that not only is it losing out to overseas competition, but that Americans would enjoy much stronger consumer protections under state regulations. Still others argue Internet restrictions are only made to be broken.

``People get overwhelmed by technology,`` said gambling expert Rose. ``In fact, the law can handle it. There are ways to regulate it.``

Grüße

RAZ

[butzbutz]

Richtig RAZ, Deine kommerzielle Überlegung in punkto "Zaster"
und der damit künftigen und richtungsweisenden Aufmerksamkeit
in dieser I-Gambling-Oase ist o.k.
Gemäß Deiner Rechnung müßte dann Antiqua eine 2%ige "tax on the gross"
erheben! (wußte ich nicht)
Bin aber der Meinung, daß MA und seine Marketing-Strategen
all` dies in Ihre künftigen Überlegungen einbeziehen werden!
(hope so)

Gruß butz

[RAZ]

Yes butz,

nach den mir vorliegenden Informationen zahlt man auf Antigua 2% Steuern.

See ya

RAZ

[RAZ]

Nevada’s Gaming Regulators Seek Legal Advice

LAS VEGAS, Nevada – July 1, 2001 – As reported by the Las Vegas Review-Journal: ``Nevada gaming regulators plan to hire an East Coast law firm to examine federal laws related to Internet gambling, Nevada Gaming Commission Chairman Brian Sandoval said this week.

``The state Attorney General customarily serves as the commission`s legal advisor, but Sandoval said he and Nevada Gaming Control Board Chairman want an outside opinion.

```We want to hire an outside law firm, one experienced in constitutional law,’Sandoval said, noting that the control board will pay for the legal advice.

…`We need to go out of state,’ Sandoval said. `We need an absolutely impartial understanding (of the legality of Nevada-regulated Internet gambling).’

``The commission must first determine whether Internet gambling is legal in the United States.

``…Sandoval said the commission effort to decide whether the technology exists to control Internet gambling access will begin with seminars slated for Las Vegas on July 31 and Aug. 1…”

and from a different source ...

Nevada Seeks Legal Advice on Internet Gambling
Mon July 2 2001

Now that Nevada has approved a bill that may eventually allow state casinos to offer Internet gambling, the Nevada Gaming Commission plans to hire an East Coast law firm to examine federal laws to determine if online gambling is legal in the U.S. The state Attorney General normally serves as the commission`s legal advisor, but the commission wants an out-of-state opinion. "We want to hire an outside law firm, one experienced in constitutional law," said Brian Sandoval, the commission`s chairman. In the meantime, the commission has asked the Attorney General`s office to research the laws of the 50 states to determine if Internet gambling is legal in those jurisdictions. When the legal opinion has been obtained and background research is complete, Sandoval plans to meet with representatives from the Department of Justice to discuss the legality of Internet gambling. The Department of Justice`s position during the Clinton Administration was that Internet gambling violated the 1961 Wire Act.

Here we go

RAZ

[butzbutz]

RivTrend I-Gaming Index

By John M. Dutton
July 5, 2001


--------------------------------------------------------------------------------

Investrend Research and The River City Group today announced detailed performance
statistics for their RivTrend I-Gaming Global Stock Index(tm) for the second quarter of 2001.
The eight stocks comprising the RivTrend North America sub index of the RivTrend Global
I-Gaming Stock Index surged 117% in the second quarter to a record index level of 142 as
compared to its low of 65 at the end of March 2001. Together, the 15 stocks comprising the
RivTrend I Gaming Global Index advanced 19% in the second quarter to close at an index level
of 114. The seven stocks in the RivTrend EuroAustralia sub Index appreciated 13% to close at
an Index value of 111 in June. The market value of these 15 leading I-Gaming companies
comprising the RivTrend Global Index appreciated US $1 billion during the second quarter to US
$6.5 billion. The RivTrend Global I-Gaming Stock Index(tm) is a US dollar market capitalization
index comprised of the 15 leading worldwide publicly traded I-Gaming companies.

RivTrend Global I-Gaming Stock Index
Second Quarter +19%
YTD +7%
North America Sub Index
Second Quarter +117%
YTD +112%
EuroAustralia Sub Index
Second Quarter +13%
YTD +1%

The two dominantly performing RivTrend North American stocks in market value gain during the
second quarter were Scientific Games (AMEX: SGM) and CryptoLogic (NASDAQ: CRYP).
Scientific Games appreciated 168% during the second quarter, adding $136 million of market
capitalization while CryptoLogic appreciated 99%, adding $177 million of market value. The
other major percentage performers in the second quarter were Chartwell Technologies (CDNX:
CWH) appreciating 112%, eLOT, Inc. (NASDAQ: ELOTC) appreciating 213%, and You Bet
(NASDAQ: UBET) up 149%.

Second Quarter Recap (name/ symbol/ % change/ ending market value

Scientific Games (AMEX: SGM) +168% US $217 million
Chartwell Technologies (CDNX: CWH) +112% US $14 million
CryptoLogic (NASDAQ: CRYP) +99% US $355 million
Dot Com Entertainment (OTCBB: DCEG) +92% US $21 million
ELOT, Inc. (NASDAQ: ELOTC) +213% US $26 million
World Gaming (OTCBB: WGMGY) +70% US $42 million
Virtgame (OTCBB: VGTI) +12% US $4 million
You Bet (NASDAQ: UBET) +149% US $21 million


The River City Group, based in St. Charles, MO, is the leading consulting firm to the interactive
gaming industry and the publisher of the Interactive Gaming News. The Firm produces each
year the highly acclaimed Global Interactive Gaming Summit & Expo, held most recently in June
2001 in Toronto, Canada (www.rivercitygroup.com/). Interactive Gaming News is a widely read
publication containing the latest Internet gambling news from around the world.

Investrend Research, based in Los Angeles and New York City, is one of the leading
independent equity research firms. Investrend is a leader in equity research on I-gaming
industry stocks. Investrend follows and publishes on a broad range of companies in North
America. Investrend`s equity research reports are distributed from its own site
(www.investrend.com) and through leading financial firms such as I/B/E/S, Zacks, Multex, First
Call, Investext, and the ##############.com.

The RivTrend Global I-Gaming Stock Index(tm) is a US dollar market capitalization index
comprised of the 15 leading worldwide publicly traded I-Gaming companies, launched October
2000. The Index is a US $6.5 billion market capitalization, with non-US dollar share prices
translated at prevailing exchange rates. The shares of these companies trade in North America,
London, Stockholm, and Australia. Each of the companies has an Internet gaming strategy
denoting a substantial commitment to the interactive gaming markets. Additions or deletions of
companies from this Index will be made from time to time.

Contacts:

Investrend Research 801 S. Figueroa, Suite 1120, Los Angeles, CA 90017 Phone (213)
929-2616, John M. Dutton, President, [e-mail]

butz

River City Group 205 South Main Street · St. Charles, MO 63301 [phone] Sue
Schneider, President, [e-mail]

[RAZ]

U.S. Companies Profit From Surge in Internet Gambling
By MATT RICHTEL
hile it is illegal to offer wagers over the Internet in most states, a growing number of American companies are profiting from a boom in online gambling and from business relationships with virtual casinos based overseas whose games can be played here.

In the process, some state attorneys general say, software makers, media companies and Internet services working with overseas casinos may themselves be running afoul of the law — and may be assisting in an illegal activity in which a million United States residents a day participate.

American businesses counter that their role in online gambling is indirect, that the casinos are acting legally in the jurisdictions in which they are based and that federal and state law is murky, mired in evolving jurisdictional questions raised by the borderless quality of the Internet.

Their involvement with overseas casinos — based typically in Costa Rica and the Caribbean — has largely transpired under the radar of regulators. Those few who have studied the matter acknowledge that prosecution of American companies could be challenging. But the issue seems destined to invite increasing scrutiny as state and federal law enforcement officials focus more on how they can take action to slow an exploding industry.

For the moment, the legal action taking place is largely at the state level. The New Jersey attorney general recently sued three Internet casinos — in South Africa, St. Kitts and Costa Rica — to prevent them from taking bets from residents of New Jersey and advertising there. In the course of its investigation, the state asked three billboard companies based in the United States to remove ads for Internet casinos appearing on the New Jersey Turnpike, the Atlantic City Boardwalk and the Atlantic City Expressway.

The office took no action against the billboard companies, which removed the advertisements, but John Peter Suarez, director of New Jersey`s division of gaming enforcement, said companies doing business with overseas gambling sites could be seen as abetting an illicit activity. It is similar to a business that "has ties to organized crime," Mr. Suarez said, noting that the United States- based business does not necessarily have to be taking the wager to be implicated.

"If they`re profiting from it," he said, "then they`re associated."

Richard Blumenthal, the attorney general of Connecticut, concurred, asserting that "anyone associated with this industry is in legal peril." He acknowledged that the prosecution of indirect relationships could be hard "at best" and that businesses could offer "a lot of defenses." But another question, he argued, is one of business ethics.

"These companies should take a look in the mirror and ask whether they are doing the right thing, and whether they can justify being a means to victimize innocent people," Mr. Blumenthal said.

Yahoo Internet Life, which has a paid circulation of 1.1 million and is the most widely circulated magazine about the Internet, accepts advertisements from overseas casinos. Its editor in chief, Barry Golson, disputed the organized crime analogy proposed by Mr. Suarez. "Some of these casinos are operated by people who are licensed in other countries," Mr. Golson said.

But he added that the issue goes to the heart of emerging political, social and legal questions raised by the Internet. Indeed, Mr. Golson wrote an editorial earlier this year about the dangers of Internet gambling — asserting that the activity is addictive and unregulated — and questioned the magazine`s policy of running the ads. In an effort to stave off potential legal issues, Mr. Golson said the magazine planned to require casinos to include a disclaimer with their ads noting that the activity may be illegal in some states. But as to the magazine`s long-term advertising policy, Mr. Golson said, "We are doing what everybody else is doing — waiting for some national consensus to emerge."

Far from nearing a consensus, the debate over Internet gambling has intensified. Using the Internet, individuals can now play remarkably realistic casino games — blackjack, roulette, poker and more — from their personal computers. To critics, it is a potential source of massive addiction and loss, a veritable slot machine in every home with a computer and typically a credit card; to proponents, it is an inevitability that can be a source of regulation and taxed entertainment.

For now, nearly all states, with a few notable exceptions like Nevada, outlaw Internet gambling from operating within their borders, according to I. Nelson Rose, a professor of law at Whittier Law School in California and an expert on gambling law. He added that all states make it a crime to run a gambling operation not expressly permitted by state law. Some states also have laws that prohibit the promotion of such games. Those statutes could implicate companies in the United States that cooperate with the casinos.

On a federal level, matters are even less clear. The Justice Department said the Wire Act of 1960 prohibited offering sports wagers over the Internet. A federal judge in February, however, cast doubt on whether the Wire Act would be interpreted as prohibiting the offering of casino games like blackjack over the Internet.

In a ruling that dismissed a lawsuit against credit card companies whose services were used to gamble over the Internet, the judge, Stanwood R. Duval Jr. of the Federal District Court for the Eastern District of Louisiana, wrote, "at this point in time, Internet casino gambling is not a violation of federal law."

Even so, the Justice Department maintains that casino gambling, at the least, violates other aspects of federal law.

Despite its uncertain legal standing, Internet gambling is a booming business, that much is clear. Bear, Stearns estimated that some 1,400 casino Web sites generated revenue of $1.5 billion last year from online gaming, a figure that will grow to $5 billion by 2003, it estimated.

Few, if any, of the casinos operate from the United States. But American companies are getting into the act nevertheless — by offering technical know-how, consulting, advertising or promotion, said Sue E. Schneider, chief executive of the River City Group, a research firm that tracks the Internet gambling industry.

Among the numerous United States-based Web sites that accept advertising from overseas casinos are several of the most popular Web destinations, including MSNBC, Yahoo and Google.com.

Google.com accepts ads for Internet casinos but does not accept advertising from tobacco or alcohol companies, saying it does not want to promote smoking or drinking to minors. Omid Kordestani, Google`s vice president for business development, said that while smoking and drinking alcohol were legal and Internet gambling was illegal in many states, "gambling is not in the same class for us." Moreover, he said, Google does not think it is in legal jeopardy by running the casino ads. "The laws are not conclusive on this," he said.

Yahoo also does not accept tobacco ads, said Nicki Dugan, a spokeswoman, but does accept gambling ads. She said there "probably" is technology that would allow Yahoo to target the ads only to states where it is legal but that it is not employing such technology.

Also getting a share of the pie are public relations firms, including at least two firms well-known for publicizing technology companies: Ogilvy Public Relations Worldwide and Edelman Public Relations Worldwide, both based in New York, have overseas casinos as clients.

In the case of Edelman, the company has for three years worked for Intertops.com to promote the company not only overseas, in many markets where Internet gambling is permitted, but also in publications in the United States.

Steve Hoechster, general manager of Edelman, said it was not clear that Internet gambling was illegal in the United States. Nevertheless, he said Intertops had signed a contract that Mr. Hoechster said indemnifies Edelman against legal action that could arise if Intertops breached the law.

Also profiting from the business are technology and software companies. Take RealTime Gaming, a company based in Atlanta that makes casino programs for around 30 offshore casinos, most of them based in Costa Rica. In addition, RealTime Gaming acts as the Internet provider for 75 percent to 80 percent of those sites, said Michael Staw, the company`s founder. He said he thought the company was acting lawfully, noting, "we do not run the casino in any way."

But Daniel Schultz, the company`s director of marketing, acknowledged that the issue of whether United States-based companies could face legal troubles for working with overseas casinos was tricky. "That`s the $64,000 question," said Mr. Schultz.

Others are sufficiently concerned to be modifying their activity. Until recently, SoftNet Gaming, a software company that makes programs for online casinos, had 35 employees at its Miami offices. Mark Anton, the president of both SoftNet and its Antigua-based parent, Atlantic West Gaming Entertainment Ltd., said he began cutting down the activities at the Miami office because he worried he might face action from the Florida attorney general. "Rather than wait for them to do anything, we`re moving to a jurisdiction where we know it`s O.K.," Mr. Anton said. His operations will be moving to Antigua.

He would not be the first to face an Internet gambling-related problem from Florida. In 1998 and 1999, the state issued cease-and-desist letters to at least 10 media companies that published or broadcast ads for offshore casinos. The letter stated that offering gambling over the Internet was illegal and that "Florida statues criminalize the actions of any person or entity that aids and abets the commission of a criminal act in Florida."

Les Garringer, an assistant deputy attorney general in Florida, said the state had not sent similar cease-and- desist letters since late 1999 — not because the situation had subsided, he said, but because the lawyer who was overseeing the matter died, and the office had begun shifting its resources to other issues.

Other states have been less aggressive. In Georgia, where RealTime Gaming is based, Daryl Robinson, counsel to the attorney general, said the issue of Internet gambling "is not on the forefront for us." And he said that it was unclear how far the state`s jurisdiction could reach when the activity took place offshore, and in a jurisdiction where it was legal.

"The difficult question that arises," he said, "is what`s the reach of a state statute when those activities are being hosted somewhere outside the boundaries of the state of Georgia."

[Offi]

Millions lay money down in world of virtual casinos
U.S. gaming industry wants in but faces legal obstacles

07/05/2001

By Doug Bedell / The Dallas Morning News

If he could, Brian McElvane and his Mississippi poker-playing buddies would road-trip to Biloxi every night, dig their elbows into the soft green felt at the Isle of Capri Casino, order up free beer and play Texas Hold `em until dawn.

Instead, bound to steady jobs hundreds of miles from the nearest casino, they grab their MasterCards and head to the virtual card room at ParadisePoker.com, a Costa Rican-based operation.

"Staring at a monitor isn`t near as much fun as actually seeing the guys with their poker pusses, bluffing," said Mr. McElvane, a 29-year-old construction worker. "But we enjoy this online stuff. It keeps us sharp for the real thing."

Mr. McElvane and his friends have plenty of company. The Pew Internet and American Life project estimates that more than 4.5 million Americans have gambled online at least once. At least 1 million make an Internet gambling junket every day, the study said.

After downloading game software, players can surrender cash from their bank debit and credit cards to their choice of more than 250 companies running an estimated 1,400 casino Web sites.

The act itself is a bold roll of the dice. Many sites are unregulated by any government. Some disappear, absconding with winnings. Even relatively stable cybercasinos are often slow to pay out winnings, if they pay off at all, players say.

But that hasn`t stopped Mr. McElvane or his friends. And apparently a major segment of the $40 billion American casino industry has abandoned hope that the offshore gaming rush will be quelled by laws or Internet filters.

Prominent domestic casinos – Harrah`s, MGM, Caesar`s Palace and Bally`s – have suddenly shifted away from urging a ban on all Internet casino gaming.

Experts say these industry leaders have tired of failed U.S. congressional attempts to regulate Internet gaming whilemillions of dollars in potential profits drift to Antigua, Costa Rica, Australia, the United Kingdom and other Internet gambling havens.

As a result, casino gamblers in the 38 states with legal games of chance may soon send their Web browsers – and their money – to Las Vegas. Texas does not permit casino gaming, and its residents would be not be permitted to use the Nevada services unless new laws are enacted.

Nevada`s governor signed a bill last month that could make the state the first to establish legal click-and-bet Internet casinos. But plenty of legal, moral, financial and technical hurdles remain before domestic Internet casinos take flight, experts say.

Casinos shuffle


Even before Nevada Gov. Kenny Guinn signed the bill allowing state regulators to set up Internet casino rules, the three largest gambling companies – MGM, Harrah`s and Park Place Entertainment – were making moves toward the Net.
Many had set up Web sites where gamblers could play realistic software versions of roulette, poker and slot machines, not for money but for prizes and redeemable hotel points.

"Believe me, there are a lot of other large operators who would be ready to go today if the right button could be pushed," said Sue Schneider, president of Missouri`s River City Group gaming research firm and chairman of the Interactive Gaming Council trade group.

That American casinos want a cut of the growing international online gaming market is no surprise. In March, Christiansen Capital Advisors estimated that Internet gambling generated $2.2 billion in revenue worldwide last year. By 2003, that figure could grow to more than $6.3 billion, the firm said.

But obstacles must be cleared before legal casino betting arrives at anyone`s home computer, said Las Vegas attorney Anthony Cabot, an author and expert in gaming law.

The U.S. Justice Department considers online casino wagering to be a violation of the Interstate Wire Act, the 1961 law prohibiting gambling by telephone on a "sporting event or contest." And there has been one successful federal prosecution of a defendant involved in taking U.S. wagers on an Antigua-based bookmaking Internet site.

The new Nevada legislation mandates that the Wire Act`s ambiguity must be wiped away before any licensing begins.

"We can`t get into the situation where we adopt rules and authorize these operations, then have indictments," said Nevada Gaming Commission Chairman Brian Sandoval in a recent interview.

Whether that Wire Act language applies to online casinos may hinge on a case being considered by the 5th U.S. Circuit Court of Appeals in New Orleans, Mr. Cabot said.

In it, Visa and MasterCard were accused of aiding violations of the Wire Act by allowing credit cards to be used for bets at offshore Internet casinos. In March, a federal judge threw out the government`s charges, saying the Wire Act language clearly excluded casino wagers.

"If they come down and say it doesn`t apply, that`s a pretty strong precedent," Mr. Cabot said. "The game`s over then."

If federal legal issues can be resolved, however, specific agreements would have to be reached with each state. Critics of online casino wagering want assurances that the cost of treating gambling addictions and related social illnesses would be funded from Nevada profits.

Regular poker players such as Chris Trumbore of Philadelphia would welcome a regulated Nevada alternative to offshore cybercasinos. Mr. Trumbore, currently between jobs and playing Omaha nearly full time at ParadisePoker.com and PlanetPoker.com, said one offshore casino has owed him $2,000 for several months.

"I think they`re in Costa Rica, but I`m not really sure," Mr. Trumbore said.

Right now, there is no guarantee that offshore gaming software isn`t fixed or otherwise rigged to maximize profits. Some software vendors have yanked their products from Internet casinos when player complaints pile up, but that is little deterrent to the unscrupulous.

Antigua, Costa Rica and other countries have stepped up regulatory efforts. But renegade Web sites can pop up anywhere, then cease operations before any government can catch them, experts say.

Nevada`s efforts, on the other hand, would undergo the same stringent tests currently applied to its land-based electronic slot machines, state officials promise. And fairness could be easily monitored on central state gaming servers, officials said.

Technological scramble


Mr. Sandoval and others in charge said they`re well aware that the rest of the world has had a head start in creating brands and building their businesses with U.S.-based bettors.
As part of the domestic backlash, U.S. software companies are hustling to recruit game programmers to spice up their casino offerings. Some software programs include realistic background noise and allow table-chat among players. Craps-shooting software even features the sound of tumbling dice on felt with each virtual throw.

But if they`re going to keep those dollars on shore, Nevada will have to produce innovative ways of ensuring that people in states such as Utah and Hawaii, where no legal wagering is permitted, are kept out, Mr. Sandoval said.

Those in casino-legal states – such as Mr. McElvane and his Mississippi poker buddies – may have to be authenticated by a more precise method of determining their physical location.

Already, Mr. Cabot said, some Nevada sports books are allowing users to dial in with their modems to a special telephone number. Standard caller identification technology is used to make sure a gambler is within Nevada`s borders when the call is placed.

"We`re already doing some of this interactive stuff," Mr. Cabot said.

But for a national rollout of Nevada online casinos, several firms are touting the abilities of small GPS receivers.

Companies including CyberLocator.com have begun demonstrating how these inexpensive, easy-to-install USB devices can pinpoint the location of any equipped computer using measurements taken from satellite sensors.

CyberLocator vice president Paul Siegel said the technology is so precise that it can determine on which corner of the desk a computer is sitting. Up to this point, Mr. Siegel said, his service has been used to ensure that data is coming from an exact location on oil pipelines and other transmission lines.

But Mr. Siegel, a former Bally`s slot machine sales representative, said his company has developed a practical method for attaching its equipment directly to central gaming servers such as those being considered by Nevada regulators.

When a gambler attempts to enter an online casino via the Web, CyberLocator`s machine intercepts the transmission, authenticates the location from the GPS receiver, then permits qualified surfers to continue. Everybody else is denied access.

Beyond that, a reliable system to verify the age of players would have to be developed, according to the Nevada Legislature`s charge to its gaming commission. Underage gaming is a huge potential problem for online casinos, Mr. Sandoval said.

"I will tell you that this is – at least from a public policy standpoint – the No. 1 issue in the state of Nevada," Mr. Sandoval said.

It may be that a biometric device – perhaps a thumbprint detector that can match users with a database of authorized gamblers – will have to be deployed on home computers.

The first Nevada online casino won`t be ready for licensing for more than a year, experts say. And stiff national opposition is expected to mount as the prospect nears reality.

Tom Grey, executive director of the National Coalition Against Gambling Expansion, said his organization plans to lobby U.S. Attorney General John Ashcroft and the Justice Department to initiate a nationwide crackdown on all Internet casinos taking bets from Americans. As a U.S. senator, Mr. Ashcroft voted in favor of bills that would have prohibited such ventures.

"We will try to do everything possible to make sure this is something that has his full attention," Mr. Grey said in a recent statement. "You do not let the 800-pound gorilla get a lot of momentum going. ... It`s absolutely imperative that a message comes out that says to the Las Vegas people, `Proceed at your peril.`"

Since reaching the White House, neither Mr. Ashcroft nor President George W. Bush have taken public positions on the Nevada move toward Internet gambling.

Religious and so-called pro-family lobbies also are alarmed. Many say they will redouble their efforts to force federal action before Nevada gets into the act.

Fears of addiction


"It`s about time Congress acts to curb this dangerous and rapidly expanding activity," Janet Parshall, spokeswoman for the Family Research Council, recently told The Associated Press. "Online gambling is much more destructive and addictive than other forms of gambling. It provides high-speed instant gratification together with the anonymity of the home."
So many questions remain that some of the nation`s most powerful gaming associations are still opposed to online casinos in any form.

In May, the American Gaming Association`s board of directors concluded that "appropriate regulatory and law enforcement oversight does not presently exist with regard to Internet gaming to properly protect the integrity of the games, the security and legality of financial transactions, and against the potentially harmful effects of underage and pathological gambling."

"Turning home computers into legalized gaming devices could have drastic effects on current land-based operations, including commercial casinos, Native American casinos, state lotteries and pari-mutuel wagering operations," the board said.

Potential revenue and tax money aside, there`s even more at stake for Nevada if it is not careful about the Internet leap, said Richard McGowan, Boston College adjunct economics professor and author of Government and the Transformation of the Gaming Industry.

"It sounds funny, but the gambling industry is based on trust," Mr. McGowan said. "Without that, the casinos have nothing."

Offi

[butzbutz]

UBET good news :
Monday July 9, 7:02 am Eastern Time

Press Release

Youbet.com Receives Favorable Nasdaq Determination

Meets Requirements for Continued Listing on Nasdaq National Market

WOODLAND HILLS, Calif.--(BUSINESS WIRE)--July 9, 2001--Youbet.com, Inc.
(Nasdaq:UBET - news), the leading
online live event and wagering company for the horse racing industry, today announced that
the Nasdaq Listing
Qualifications Panel has informed the company that its common stock will continue to be listed
on The Nasdaq National
Market, and that the Panel has closed the hearing file.

Based upon regained bid price compliance, the company has fulfilled the requirements to
continue its listing on The Nasdaq
National Market.

As previously announced, the company received a determination from the staff of The Nasdaq
Stock Market on May 22,
2001, that it failed to comply with the minimum bid price requirements, and that its securities
were, therefore, subject to
delisting from The Nasdaq National Market. Management presented its case for continued
listing at a hearing before the
Nasdaq Listing Qualifications Panel on June 21, 2001, and was notified recently by the Panel of
its determination to
continue listing of Youbet.com common stock. Nasdaq rules provide that its Listing and
Hearing Review Counsel may
review any Panel decision within 45 days.

``Our Company`s increased valuation correlates to our important achievements of the last
several months,`` said
Youbet.com`s Chairman and Chief Executive Officer Robert Fell. ``These include, among
others, our new Web-based
product launch and associated subscriber growth, and Youbet Network expansion with our
inclusion of the industry`s
premier racetracks through our relationship with Gemstar-TV Guide International`s TVG.``

About Youbet.com

In the United States, Youbet.com currently provides network members the ability to watch and,
in most states, the ability to
wager on a wide selection of coast-to-coast thoroughbred and harness horse races via its
exclusive closed-loop network.
Currently, members have 24-hour access to the network`s features, including live racing from
a choice of 61 racetracks in
the U.S. and Canada, commingled track pools, live audio/video, up-to-the minute track
information, real time wagering
information and value-added handicapping products.

Youbet.com recently formed a strategic relationship with TVG, a wholly owned subsidiary of
Gemstar-TV Guide
International, Inc. (Nasdaq:GMST - news). TVG is the 24-hour interactive horse racing network
available nationwide on
cable and satellite systems with exclusive simulcast and interactive wagering rights to live
racing from leading racetracks in
the U.S. including Churchill Downs (owned by Churchill Downs Incorporated, Nasdaq:CHDN),
Del Mar, Belmont Park,
Aqueduct and Saratoga. The agreement gives Youbet.com a license to utilize TVG`s patented
wagering technology for
online and automated telephone applications and the right to video stream and accept online
pari-mutuel wagers on horse racing from virtually all of TVG`s
exclusive partner racetracks. Youbet.com will make these tracks available to Youbet Network
subscribers concurrent with the company`s operation of a new
Oregon-based hub for the acceptance and placement of wagers, expected to commence
within the third quarter of 2001. The relationship expands the Youbet
Network to 81 racetracks in 39 states, representing virtually 100% of horse racing content.

butz

[butzbutz]

NEVEDA CASINOS WAGERING ON ONLINE GAMBLING
Heads up for my long lost friends** hope all is well.

By Mary Anne Ostrom
Knight Ridder/tribune
Originally published July 9, 2001


Casino owners are betting that online gambling can overcome legal, technological and social
challenges to become a mainstream multibillion-dollar business.

The odds are improving in the wake of a Nevada law designed to pave the way for the first legal
casino-style Internet gambling in the United States. Though federal authorities say existing law
bans Internet casinos, the prohibition is rarely enforced and gambling has become a popular
Internet pastime.

Now, operators of Nevada`s brick-and-mortar casinos, which once sought to throttle
competition by strengthening the ban, are racing to join an estimated 1,000 Web sites that cater
to several million virtual gamblers and rack up at least $1.5 billion a year in revenues. It is
unclear whether Nevada casinos will be forced to challenge federal law.

Regardless, most observers agree that Nevada`s new law marks a significant step toward
legitimacy for online wagering. After years of discussion, "it may actually come to be," said I.
Nelson Rose, a Southern California law professor who advises public officials and the gambling
industry.

The Internet has taken gambling to new heights while setting off intense legal and moral
debates. Although online gambling has created new choices for millions seeking entertainment
and presented huge business opportunities, it has challenged U.S. laws written before the
cyber age and ignited moral discussions about what`s appropriate on the Internet.

If Harrah`s and MGM Mirage, for example, have their way, gamblers from around the world will
crowd around their Web sites like they do a hot table Saturday nights on The Strip. The first
wave in Nevada, expected within two years, likely will only allow casino guests to electronically
gamble from their rooms or with a handheld device.

"The gaming industry is moving closer to the entertainment industry. And at some point, we`re
going to meet," said Anthony Cabot, a Las Vegas attorney who represents casino interests.
"That point is the Internet."

Analysts estimate Americans account for more than half of an estimated 7 million Internet
gamblers worldwide. Online gambling sites have doubled in the last year, and revenues could
easily hit $5 billion in two years, according to a recent report by Bear Stearns. That`s about half
of the revenues Nevada casinos reported to regulators last year.

An analysis by Nielsen/NetRatings for the Mercury News in San Jose, Calif., found gambling
sites that involve betting money and their legal cousins, play-for-free lottery and sweepstakes
sites, rank second only to television-related sites as the Internet`s most popular entertainment
destinations, ahead of music, adult and sports sites.

What`s more, online gambling has seemed to escape the bursting of the Internet bubble.
Well-known global entities - including the venerable London retailer Harrod`s - are setting up
Internet gambling sites.

And the popularity of online gambling would likely grow, should brand-name U.S. casinos get in
on the action. Among other reasons, they would lend legitimacy to a little-regulated activity that
often is operated from Caribbean islands and far-flung countries.

"The times are changing," the Bear Sterns report said. "The days when a few college buddies
with a laptop and $150,000 could just move down to the Caribbean and set up shop have
ended."

A tour of online gambling sites illuminates the possibilities. Offerings from poker to pai gow can
be played in a multitude of languages. Many of their URLs contain the word "Vegas." Dozens of
portallike sites have popped up, purporting to steer gamblers to reputable operators. Message
boards where gamblers post gripes abound.

The change of heart by some leaders of the U.S. gambling industry, which led to the Nevada
legislation, is a powerful testament to how quickly the Internet can change the economic playing
field.

"We need to move as fast as we can, or we are going to lose opportunities to other places in
the world," said Cabot, the Las Vegas attorney.

Technology will be online gambling`s key driver, many say. A British-based site allows a form of
peer-to-peer betting, matching gamblers who place bets against one another on an event or
game.

The Nevada law prohibits online sports betting, except over a private network.

In the past year, several of the nation`s largest casino operators have signed on with
gambling-technology companies to develop sophisticated sites to build customer loyalty by
offering play-for-free games. Now they are working to meet the "fool-proof" standards the
Nevada Gaming Control Board says it will demand to prevent Internet gambling by minors or in
jurisdictions, including the other 49 states, where it is illegal.

For that reason, closed-network gambling is likely to develop first in Nevada, where casinos can
guarantee who is playing and where. But everything from global positioning systems to
advanced Internet address-tracking systems to a mouse that reads thumbprints is being tested.


"The technology is already there. It`s a question of cost and implementation," Cabot said.

Even so, other hurdles persist.

Though at least one federal judge, in Louisiana, has cast doubt on the validity of the Wire
Communications Act of 1961 to ban Internet wagering, lawmakers are moving to attack online
wagering by banning credit card companies and other payment systems from transmitting
money to online gambling operators. Such a law is being considered by the California state
legislature, which also seeks to fine online gamblers in the state.

Several credit card companies have changed their practices as online wagering has
mushroomed - and after finding it difficult to collect gambling debts charged to accounts. Most
no longer "credit" players` winnings back to their credit cards, so players must wait for a
gambling site to send a check.

Fred Marino, a 47-year-old Silicon Valley businessman who ran up more than $50,000 in online
gambling debts on several credit cards, got hooked after finding links to online casinos in
pop-up ads as he surfed the Internet.

His losses "just snowballed," he said. "It`s too easy."

When the credit card bills kept coming, he turned to Ira Rothken, an attorney who specializes in
cutting-edge Internet cases. Rothken argued in court that California law has forbidden gambling
loans since the Gold Rush era. Discover Financial Services recently settled by relieving Marino
of $700 in debt and agreeing to ban its California cardholders from doing business with online
casinos for at least three years.

As legislatures around the country grapple with government`s role, the gambling industry is
beginning its campaign to legitimize online wagering. It argues that not only is it losing out to
overseas competition but also that Americans would enjoy stronger consumer protections
under state regulations.

Others argue that Internet restrictions are made to be broken.

"People get overwhelmed by technology," Rose said. "In fact, the law can handle it. There are
ways to regulate it."



Copyright © 2001, The Baltimore Sun

butz

[butzbutz]

atest News

10 July 2001


European Consumers to Spend US$38 billion on
Interactive Entertainment Services in 2005


Broadest Ever Independent Schema Study Sets Out Opportunities for
Communications and Media Players

Schema, a leading independent media and communications consultancy
forecasts today that online gaming, gambling, multimedia, and
location-based services will be worth US$38 billion in consumer spending
in 2005. The findings come from Schema’s latest and most ambitious
study to date: Interactive Entertainment: Delivering Revenues in the
Broadband Era.

The study draws conclusions from a major survey of more than 6,000
European consumers and over 70 leading players in the communications,
media and entertainment industries, assessing current plans for
entertainment services and consumer interest in using online services.

Interactive Entertainment (IE) project manager and Schema director, Jo
Piggott commented: “The IE market in Europe is set to boom, with
gambling, gaming and video and film services driving potentially
phenomenal growth of high speed data. In fact, European consumers
will spend as much on interactive entertainment in 2005 as they will on
print media or on package holidays.”

UK Market
The study concluded that the UK will account for more than a third of the
W. European IE revenues in 2005, due to two factors:
* The UK’s position as a leading market for gambling and betting,
coupled with the early development of online gambling services
* The relatively high penetration of digital TV; more than 30% of UK
households now use digital TV services, compared with a European
average of just 15%

Key findings:
* By 2005 the value of the IE market in W. Europe will have increased
20-fold from its level in 2000
* Leading IE applications include:
- Online gambling, accounting for 40% of revenues in 2005
- Multimedia on demand, which includes pay-per-view films and events,
music downloads to PCs and mobile phones, and video/film clips
delivered to mobile phone users. Together these applications will
account for more than a quarter of IE revenues in 2005
- Online games playing, including games played online on mobile phones,
digital TVs, PCs and broadband-enabled games consoles (12% of 2005
revenues)
- Location-based services for mobile phone users (9% of 2005 revenues)
- A range of other lifestyle-oriented applications, plus adult services on
the internet. Together these will deliver a further 13% of revenues in
2005

Market Players: Opportunities
* Digital TV companies: Possibly best placed in the IE market, as they
already occupy the entertainment “space” and in many cases have
launched interactive offerings; the emerging interactive services largely
complement the digital TV companies’ programming services; and finally,
these organisations are experienced in the business of negotiating
rights to premium content. Digital TV companies need to focus on more
sophisticated interactive offerings and may be hampered by regulatory
and technical constraints
* Mobile operators: The entertainment market is critically important in
stemming declining ARPUs (average revenue per user). However, putting
the required infrastructure and systems in place is a huge task. In
addition, the arena of entertainment content and services is an
unfamiliar world for operators more accustomed to packaging and
marketing relatively simple voice and messaging services
* Fixed internet portals and service providers: They have to a large
extent “spoiled” the market by offering free content to date. There is a
pressing need to supplement failing advertising revenue streams, and
the advent of broadband services may represent the opportunity these
players have been waiting for. However, European broadband rollout
will need to accelerate if these expectations are to be realised

Jo Piggott added: “Due to the rapid penetration of digital TV around
Europe, this medium is possibly best placed to take advantage of
opportunities for new interactive entertainment services. The rewards
for the winners are great, but market players must adopt winning
positions now in order to compete effectively. However, it is not all down
to the commercial players - national governments have a very important
role to play in making the transition from analogue to digital as smooth
and efficient as possible.”
Ends
atest News











10 July 2001


European Consumers to Spend US$38 billion on
Interactive Entertainment Services in 2005


Broadest Ever Independent Schema Study Sets Out Opportunities for
Communications and Media Players

Schema, a leading independent media and communications consultancy
forecasts today that online gaming, gambling, multimedia, and
location-based services will be worth US$38 billion in consumer spending
in 2005. The findings come from Schema’s latest and most ambitious
study to date: Interactive Entertainment: Delivering Revenues in the
Broadband Era.

The study draws conclusions from a major survey of more than 6,000
European consumers and over 70 leading players in the communications,
media and entertainment industries, assessing current plans for
entertainment services and consumer interest in using online services.

Interactive Entertainment (IE) project manager and Schema director, Jo
Piggott commented: “The IE market in Europe is set to boom, with
gambling, gaming and video and film services driving potentially
phenomenal growth of high speed data. In fact, European consumers
will spend as much on interactive entertainment in 2005 as they will on
print media or on package holidays.”

UK Market
The study concluded that the UK will account for more than a third of the
W. European IE revenues in 2005, due to two factors:
* The UK’s position as a leading market for gambling and betting,
coupled with the early development of online gambling services
* The relatively high penetration of digital TV; more than 30% of UK
households now use digital TV services, compared with a European
average of just 15%

Key findings:
* By 2005 the value of the IE market in W. Europe will have increased
20-fold from its level in 2000
* Leading IE applications include:
- Online gambling, accounting for 40% of revenues in 2005
- Multimedia on demand, which includes pay-per-view films and events,
music downloads to PCs and mobile phones, and video/film clips
delivered to mobile phone users. Together these applications will
account for more than a quarter of IE revenues in 2005
- Online games playing, including games played online on mobile phones,
digital TVs, PCs and broadband-enabled games consoles (12% of 2005
revenues)
- Location-based services for mobile phone users (9% of 2005 revenues)
- A range of other lifestyle-oriented applications, plus adult services on
the internet. Together these will deliver a further 13% of revenues in
2005

Market Players: Opportunities
* Digital TV companies: Possibly best placed in the IE market, as they
already occupy the entertainment “space” and in many cases have
launched interactive offerings; the emerging interactive services largely
complement the digital TV companies’ programming services; and finally,
these organisations are experienced in the business of negotiating
rights to premium content. Digital TV companies need to focus on more
sophisticated interactive offerings and may be hampered by regulatory
and technical constraints
* Mobile operators: The entertainment market is critically important in
stemming declining ARPUs (average revenue per user). However, putting
the required infrastructure and systems in place is a huge task. In
addition, the arena of entertainment content and services is an
unfamiliar world for operators more accustomed to packaging and
marketing relatively simple voice and messaging services
* Fixed internet portals and service providers: They have to a large
extent “spoiled” the market by offering free content to date. There is a
pressing need to supplement failing advertising revenue streams, and
the advent of broadband services may represent the opportunity these
players have been waiting for. However, European broadband rollout
will need to accelerate if these expectations are to be realised

Jo Piggott added: “Due to the rapid penetration of digital TV around
Europe, this medium is possibly best placed to take advantage of
opportunities for new interactive entertainment services. The rewards
for the winners are great, but market players must adopt winning
positions now in order to compete effectively. However, it is not all down
to the commercial players - national governments have a very important
role to play in making the transition from analogue to digital as smooth
and efficient as possible.”
Ends

butz

[butzbutz]

Pardon - doppelt gemoppelt !!

@RAZ, dieser Lapsus zeigt `mal wieder, daß das eben Dein
"Metier" ist !!

Gruß butz

[Offi]

So was nenne ich cool, obwohl das aus meiner Sicht aufgrund von Streuverlusten wenig Sinn macht.

Omni Casino Sponsors the ATP`s Hamlet Cup
ST JOHN`S, Antigua--(ENTERTAINMENT WIRE)--July 11, 2001--Omni Casino has just inked a deal to become the first online casino ever, to officially sponsor a major Tennis Tournament on the ATP Tour.

The event is `The Hamlet Cup International Series` on the ATP Tour, which takes place in Commack, New York, from August 18th - 26th, 2001, and is the warm up tournament for the US Open.

The `Grand Slam` sponsorship will include national television commercials, prominent signage on stadium court, and the exclusive title sponsorship of the events casino night.

``Omni Casino is proud to be a Grand Slam sponsor of the 2001 Hamlet Cup. In light of the legislation recently passed in Nevada that will legalize online gaming, we felt it was the right time that our company sponsored such a major event,`` says Alex Roberts, Omni Casino`s Public Relations Officer.

In conjunction with the sponsorship, the casino will be giving away One Million Dollars cash, in the ``Omni Casino $1,000,000.00 US Open Challenge`` to one of its members who can correctly predict the winner and loser of this year`s Men`s US Open tennis tournament, and the exact final score.

``While the odds against someone hitting are high, you have a better shot than hitting the lottery...,`` Roberts explains, ``and it won`t even cost you a dollar.``

``Since it is free to enter the `Million Dollar Challenge`, we are expecting over 40,000 people to submit a prediction between August 1st and August 27th,`` Roberts added, ``helping set a new milestone for the company`s outdoor marketing objectives.``

This is not the first major initiative by Omni Casino to reach the masses, last year they started the ``Invasion of Las Vegas`` bus campaign, where they wrapped a fleet of city buses in brightly paint vinyl adorning their logo and catch phrase, ``Win a Jackpot from Home.``

Omni Casino is a leading provider of online casino gambling, licensed and located in St. John`s, Antigua. Since 1997, Omni Casino has provided customers with the most exciting and rewarding gaming experience on the net. While handling over a quarter of a billion dollars in wagers per year, Omni Casino still maintains a personalized level of support, unmatched in the industry. For more information on Omni Casino, visit their Web site at http://www.omnicasino.com.

Offi

[butzbutz]

Aus dem Raging Bull:

Gaming / Credit Card Article in the NEWS:

Friday, July 13, 2001
Copyright © Las Vegas Review-Journal

HOUSE PANEL: Official says credit card ban
feasible

Online gaming, use of plastic predicted to stir
bankruptcy rise

By TONY BATT
lasvegas.com GAMING WIRE

WASHINGTON -- A proposed ban on the use of credit
cards to pay for Internet gambling would be difficult to
enforce but is technologically feasible, a Visa corporate
executive told a House panel Thursday.

Mark MacCarthy, a senior vice president for Visa USA Inc., said unscrupulous
merchants would simply stop coding transactions as Internet gambling to
circumvent the ban.

But under questioning from Rep. Bob Goodlatte, R-Va., MacCarthy
acknowledged Visa could take steps to fine and eliminate merchants from its
system if Internet gambling transactions were inaccurately coded.

"If a merchant decides instead of cooperating with us, and simply stops coding
transactions entirely, and vanishes from our system, we would have no way of
knowing where they might resurface," MacCarthy told the House Financial
subcommittee on oversight and investigations.

Goodlatte, who is planning to re-introduce a bill this year to ban Internet
gambling, seemed satisfied with MacCarthy`s answer. Resurfacing under a new
trade name, Goodlatte said, would pose problems for an Internet gambling
business. A similar measure died last year in the House.

Without naming Visa, Rep. Jim Leach, R-Iowa, said he could not understand why
a credit card company would object to a ban on the use of their products to pay
for Internet gambling.

"What`s at stake if we don`t, is that we massively increase bankruptcies in this
country," Leach said. "I am astonished at the lack of interest by the financial
community. Every one of them has a spectacular interest. I can`t think of a
higher priority for the banking industry."

Leach introduced a bill in February that would ban the use of credit cards and
other financial instruments to pay for Internet gambling.

Leach said he is also working with Goodlatte on the bill to ban Internet gambling.

Thursday`s three-hour hearing was interrupted for about an hour as House
members voted on campaign finance reform. The gathering did not break new
ground in the Internet gambling debate as supporters and opponents essentially
repeated previous arguments.

While questioning Sue Schneider, chairman of the Interactive Gaming Council, a
trade association for Internet betting sites, Goodlatte suggested that members of
her association are violating federal law.

"With all due respect, congressman, if that is so clear, I don`t think all of us would
be here today (debating this issue)," Schneider said.

Rep. John LaFalce, D-N.Y., said he planned to reintroduce a bill in the near
future, perhaps as early as next week that would prohibit the location of
automated teller machines in casinos. A similar proposal was introduced last
year but never received a hearing.

LaFalce said he also planned to introduce a stronger version of Leach`s bill
regarding a ban on using credit cards to pay for Internet gambling.

John Peter Suarez, director of New Jersey`s Gaming Enforcement Division, told
the panel his group filed civil complaints this month against three Internet
casinos that had advertised on billboards in the state.

Internet gambling could ruin the casino industry in Atlantic City, which generated
$4.4 billion last year, Suarez said. Web betting sites are expected to generate
revenues exceeding $4.5 billion by 2002, according to some estimates.

Rep. Luis Gutierrez, D-Ill., asked Suarez why he saw Internet gambling as a
competitive threat to bricks and mortar casinos while Frank Fahrenkopf, chief of
the American Gaming Association, does not.

Suarez said gambling in New Jersey is confined to Atlantic City while it is
statewide in Nevada.

"The average stay (for a gambler) in Atlantic City is 10 hours. In Nevada, it`s
three days," Fahrenkopf said.


butz





Fahrenkopf said his organization remains opposed to Internet gambling until it
can be effectively regulated.

[Offi]

Experts protest online gambling bills

WASHINGTON, July 12 — Gambling experts told a congressional panel Thursday that efforts to ban Internet gambling would prove ineffective, and Congress should instead consider regulating the fast-growing industry.

ONLINE CASINOS and sports-wagering facilities create many problems, witnesses told a House of Representatives subcommittee. Barriers to children’s’ participation are weak, most operations are not regulated, and compulsive gamblers can quickly see their habits spiral out of control, they said.
One policeman spent over $100,000 of his department’s money on Internet gambling and now faces fraud charges, said Dr. Valerie Lorenz of the Compulsive Gambling Center.
But efforts to ban Internet gambling outright or bar credit-card companies from handling such transactions would be unworkable due to the borderless nature of the Internet and the wide use of alternate payment systems like PayPal, witnesses told the House financial services oversight and investigations subcommittee.

“I’m always reminded of the old adage, ‘Keep your friends close and your enemies closer,’” said Sebastian Sinclair, vice president of Christansen Capital Advisors. “Sweeping this under the rug will only exacerbate the issue.”
Internet-based casinos and sports-betting facilities, many operating from offshore bases beyond U.S. jurisdiction, have proliferated over the last few years from an estimated 25 sites in the mid-1990s to approximately 1,400 today, according to Bear Stearns.
Revenues doubled last year to $2.2 billion, according to Christiansen Capital Advisors, and are expected to grow to $6.4 billion by 2003. Most of that money comes from U.S. citizens, Sinclair said.
The gambling industry as a whole took in $61.4 billion in the U.S. last year, according to the same estimate.

LEGISLATION IN THE WORKS
An effort to ban most forms of Internet gambling received majority support in the House last year, but failed to pass because of a procedural rule that required a two-thirds vote.
The bill’s sponsor, Virginia Republican Bob Goodlatte, plans to reintroduce the bill again this year, a spokeswoman said.

Another effort, sponsored by Iowa Republican Jim Leach, would bar the use of credit cards, wire transfers, or checks to pay for Internet gambling debts.
Mark McCarthy, head lobbyist for Visa USA Inc., said cardholders could easily circumvent the law by buying “electronic cash” at a site such as PayPal to use for online gambling. Furthermore, the law would put an unreasonable burden on Visa and other credit-card companies to enforce federal law.
“It is our view that the responsibility for illegal acts should be placed squarely on the shoulders of the illegal actors themselves,” McCarthy said.
Leach said he was not pleased with McCarthy’s message.
“We have an absolute obligation to look at this issue before it gets out of hand,” he said.

[butzbutz]

Opposition to anti-gaming bill mounts

By Benjamin Spillman
The Desert Sun
July 13th, 2001


--------------------------------------------------------------------------------
Opponents are moving to kill a bill that would ban Internet gambling in California.

Resistance from banking and gambling groups, as well as anti-gambling and social groups who
normally favor betting bans, has mounted since the ban breezed through the Assembly, 61-2, in
May.

Critics say the ban is unenforceable and has too many exceptions.

Backers of the bill say opposition has already slowed its momentum.

A staffer for its sponsor, Rep. Dario Frommer, D-Los Angeles, said he’s not sure whether the
bill can be saved.

"There is so much big-money interest in this," said Dan Reeves, Frommer’s chief of staff. "You
have all this support and no opposition, yet the bill will fail. You have all these people working in
the shadows."

The executive director of the California Council on Problem Gambling in Palm Springs
questioned the practicality of a statewide ban on Internet betting.

Taxpayer money would be better spent on education and prevention, not on chasing down
Internet casino operators, said Tom Tucker, the head of the largest problem-gambling group in
California.

Tucker is skeptical of a ban, but wants the state to address the social problems caused by
Internet gambling. He is assisting a San Jose man whose wife committed suicide after she lost
$70,000 betting online to testify on behalf of the ban.

"There wouldn’t be enough cyber cops available," Tucker said. "I think it is a feel-good bill."

Testimony on the bill is delayed until at least August because of opposition from the Internet
gambling industry, Reeves said.

"The Internet is designed to be open," said Norm Towne, a lobbyist for the interactive Gaming
Council of Vancouver, British Columbia. Towne said California should follow Nevada by
licensing and regulating Internet casinos.

Frommer has already compromised with the horse racing, Indian gaming and credit-card
industries. Credit-card companies wanted to limit provisions in the bill that would have exposed
the industry to lawsuits.

In the course of bargaining, however, the lawmaker may have lost groups that normally support
gambling restrictions.

Stand Up For California -- a group that opposes the expansion of gambling -- and the
Committee on Moral Concerns publicly criticized several changes to the bill. They oppose
exceptions for slot machines in Indian casinos that are linked together by telephone lines,
betting on horse races by telephone and Internet-based sports fantasy leagues.

In a written statement, they said the exceptions are "making a variety of gambling options
available to anyone, from their home or the nearest telephone." Reeves defended the
compromises. The goal of the bill, he said, is not to infringe on gambling that already exists, but
to stop expansion.

Indian casinos and horse racing are already regulated, and sports fantasy leagues are games
of skill, not gambling, Reeves said.

A separate bill in the Legislature would authorize Internet-based horse betting.


--------------------------------------------------------------------------------
Benjamin Spillman can be reached at 778-4643 or by e-mail at
[e-mail]

http://www.thedesertsun.com/news/stories/local/994985911.sht…

butz

[butzbutz]

Aus dem RB v. 13.07.00:


Avioli asks House panel for special considerations for racing

National Thoroughbred Racing Association Deputy Commissioner Greg Avioli urged federal
lawmakers to give special considerations to the racing industry during testimony before a
United States House of Representatives subcommittee that is pondering restricting citizens’
access to Internet gambling sites.

Addressing the House Financial Services subcommittee on oversight and investigations on
Thursday in Washington, D. C., Avioli said legislation that does not factor in current business
practices within the Thoroughbred industry could be harmful to racing. Should legislation be
passed that restricted licensed and regulated entities, Avioli warned that individuals seeking to
bet on racing would do so either "offshore or illegally within the United States.

"This would open the door to consumer fraud and result in significant decreases in revenues
for the licensed operators, purses, and tax revenues for the federal and state governments,"
Avioli said.

The racing industry also should have the opportunity to take advantage of technological
advances to facilitate the distribution of its product "in order to successfully compete against
other forms of gambling, sport, and entertainment," Avioli said.

Avioli was one of ten speakers to deliver comments to the committee, which includes Iowa
Representative James Leach, who has sponsored a bill that would ban the use of checks,
debit cards, and credit cards to pay debts and receive profits from Internet gambling.

Other speakers included Mike McCarthy, Visa’s senior vice president of public policy, Frank
Fahrenkopf, president and chief executive officer of the American Gaming Association, and
William Saum, director of agent, gambling, and amateurism activities for the National
Collegiate Athletic Association.

Avioli outlined the economic impact of the racing and breeding industry at the state and federal
levels and cited an American Horse Council study that indicats a $34-billion total economic
impact. He also said pari-mutuel racing generates $500-million to local and state governments
annually through taxes, track licenses, occupational licenses, admission taxes, and other fees.


Due to racing’s unique place in American agribusiness, "we believe that any legislation in the
area of illegal Internet gambling must give appropriate consideration to our industry," Avioli said.


"Any such legislation should maintain the effective framework of state and federal regulation of
pari-mutuel horse racing and the current protections offered to the public through this well
regulated system and respect the longstanding federal policy to allow individual states primary
authority over wagering issues within their respective states," Avioli said.

Virginia Representative Bob Goodlatte is expected to reintroduce legislation that bans most
forms of Internet wagering. The Internet Gambling Prohibition Act, which was debated in the
past but never enacted, has included special considerations for pari-mutuel wagering.

A report in the Washington Post said the new version of Goodlatte’s bill would leave out those
exceptions and incorporate other provisions in the Leach legislation.

http://www.thoroughbredtimes.com/todaysnews/todaysnewsview.a…


butz

[Offi]

Casino Notes
- July 7, 2001 - 12:05 AM
By JOE WEINERT
Staff Writer, [phone]

LoBiondo re-considers Internet gambling ban
Two years after last cosponsoring a bill to ban Internet gambling, U.S. Rep. Frank LoBiondo, R-2nd, is having second thoughts.

“I’m reassessing my position,” said the congressman whose district includes Atlantic City.

“That issue is evolving. The industry is reassessing. That does not divert from my strong concern and opposition to minors betting on the Internet,” LoBiondo told The Press of Atlantic City Editorial Board last week. “Maybe this is going to be a state’s-rights issue. Maybe it’s not going to be a federal issue at this point.”

Nevada has passed enabling legislation to allow Internet gambling within its borders. A similar bill introduced in New Jersey has gone nowhere and is opposed by the Atlantic City casino industry.

LoBiondo cosponsored federal bills to ban Internet gambling in 1997, ’98 and ‘99. They were House companion bills to the Senate versions championed by Jon Kyl, R-Ariz.

If another version of the Kyl bill came to the House this year, LoBiondo said, “We’d have to see the particulars because there are many concerns that some of us share about how the language specifically is written, and will it disadvantage what we think is an opportunity for our casinos (in Atlantic City) or the gaming industry?”

The language of any bill must be scrutinized, he said.

“Conceptually this becomes very important because one sentence can make all the difference in the world; one paragraph can make all the difference in the world,” he said.

Regarding another gambling issue at the federal level, LoBiondo said he’s opposed to the amateur-sports betting ban sponsored by Rep. Lindsey Graham, R-S.C. Notably, the bill would prohibit Nevada casinos from taking bets on college games.

“All that does is leave wide open the illegal end of it,” LoBiondo said. The Nevada books, he said, can help authorities spot trends that could expose point-shaving.

LoBiondo said he has to be vigilant for gaming measures in Congress.

“I’m always suspecting that there’s a plot afoot that I may not necessarily be aware of by Mr. Wolf (Frank, R-Va.) or someone else that would not be good news for us,” he said.

Aztar extends maturity of credit line for Trop
Aztar Corp. extended the maturity of its $264 million revolving credit line to June 2005, with the first payments due the first quarter of 2004. The credit line will “provide financial flexibility” while it builds its planned $225 million expansion of Tropicana in Atlantic City, the company said.

The Tropicana project, which includes a hotel tower, parking garage and retail village, is expected to open in 2003.

Sun Hotels announces shareholder restructuring
Former Resorts owner Sun International Hotels Ltd. announced a shareholder restructuring in which its principal investor, Sun International Investments Ltd., will be dissolved. SIIL owned two-thirds of SIHL’s stock.

The three members of SIIL, which included SIHL Chairman and CEO Sol Kerzner, will now hold their shares in SIHL directly.

As a result of the restructuring, Sun International Hotels Ltd. must change its name within a year; Sun will receive $3.5 million in cash and a $12 million note from SIIL investor Kersaf; the float in Sun’s stock will increase from 4 million to 6 million; SIIL will be able to expand beyond South Africa, using the Sun International name.

Analyst’s viewpoint
CIBC World Markets analyst William Schmitt sees a healthy summer for Atlantic City casinos despite beginning the period with a 1.5 percent decline in gaming revenue for June.

“The primary reason for the decline is a low table-hold percentage. Meanwhile, slot revenue improved for the month. While the increase in slot revenue is primarily due to a favorable calendar with one extra weekend in June 2001, compared with June 2000, we are encouraged that win per slot per day improved 2.8 percent, indicated some upside from more efficient marketing,” Schmitt said in a research report.

“We are also emboldened by these results given the staged strategy of most of the casino operators to reduce promotional expenses,” he said.

New at Bally’s, Caesars: Progressive Pai Gow
Bally’s and Caesars are offering a new table game for Atlantic City, Progressive Jackpot Pai Gow Poker. The game is played just like regular Pai Gow Poker but includes an optional side wager.

For an extra $1 at Bally’s or $5 at Caesars, players can bet whether they’ll make a poker hand that ranks in the progressive payout.

Caesars has four Progressive Jackpot Pai Gow Poker tables and Bally’s has two.

Gaming elsewhere


CONNECTICUT: The Bridgeport City Council adopted a nonbinding resolution expressing its willingness to negotiate with the Golden Hill Paugussetts for a tribal casino in the city, The Day of New London reported. The resolution includes a condition that the tribe gain federal recognition.


ILLINOIS: Gov. George Ryan said he would not reappoint two Illinois Gaming Board members who voted against building a new riverboat casino in the Chicago suburb of Rosemont, the Chicago Tribune reported. Both members had asked the governor to retain them when their terms expire this month.

Did you know?
Atlantic City casino hotels have 32,308 parking spaces, according to Casino Control Commission figures.

Quote of the week
“It’s just more people than usual. Five people were directing the lady. I got the impression it was her first time doing that.”

— James Goode, a gambler from Piscataway, on the new crew refilling coins inside his slot machine at Caesars Atlantic City, where the slot attendants and their union, Teamsters Local 331, went on strike.

http://www.pressplus.com/business-casino/994478752.html/url]

Gruesse

Offi" target="_blank" rel="nofollow ugc noopener">http://www.pressplus.com/business-casino/994478752.html/url]

Gruesse

Offi

[Offi]

Betting on soccer, especially over the Internet, is proving to be a major challenge to Hong Kong’s strict limitations on legal gambling. Monday, the government published “Gambling Review: A Consultation Paper,” seeking public comment on changes in the gambling laws.

The paper, produced by the Home Affairs Bureau, makes it clear that the recent, rapid growth in soccer betting gives urgency to the revisions in Hong Kong’s laws that have been under consideration since November.

Wagering on this sport got a big boost during the World Cup in 1998, the paper says. And the 2002 World Cup is expected to stimulate even more interest in soccer betting among Hong Kong residents, because those matches will take place in Asia (Japan and South Korea) in the same time zone.

The paper says the increase in the number of overseas soccer matches that are broadcast live in Hong Kong is part of the reason for the rise in soccer betting. Also, it says, this type of gambling is more socially acceptable than other forms, and is “more appealing to young adult punters, who have more disposable income.”

More and more bars in Hong Kong are showing soccer matches on large-screen TVs, matches received via cable or satellite, and advertising their offerings of live matches. That stimulates the interest of bettors, the paper says, as do the publication of odds and the establishment of telephone hotlines for soccer results by local newspapers and magazines.

In 32 raids last year on illegal soccer betting operations, police seized HK$269 million in cash and betting slips. [HK$1=US$0.128] That was 168 times the amount seized in the previous year, in eight times as many raids.

That may be the tip of the iceberg, the paper says, adding that “a conservative estimate puts the annual turnover (handle) of soccer betting in Hong Kong at approximately (HK)$20 billion at present.”

Much of the soccer betting is going to offshore telephone and Internet bookmakers, the paper states. These bookmakers are targeting the Hong Kong market by advertising there, hiring Chinese-speaking telephone operators to handle bets and displaying Chinese on their Web sites.

The market is attractive to offshore bookmakers, according to the paper, because there are no laws clearly prohibiting cross-border gambling or its promotion and because the high turnover on legal gambling proves that Hong Kong has a large demand.

But, the paper notes, “Hong Kong has very limited authorized gambling outlets. While public interest is developing in new areas such as betting on soccer, there is no authorized outlet available.”

The Hong Kong Jockey Club Rules

The only legal gambling in Hong Kong is on horse racing and a lottery called Mark Six. The Hong Kong Jockey Club owns both race tracks and controls the racing and all wagering on it, with 125 off-track betting centers.

In addition, it accepts bets by telephone and by WAP device. It also provides serious customers with a portable betting terminal. Customers pay a deposit and a service charge for the terminal, which they plug into a phone jack to connect with the Jockey Club’s computers. Thousands of customers use these devices.

The Jockey Club is a carryover from the days when Hong Kong was part of the British empire. It started in 1884 as the Royal Jockey Club.

In the 2000-2001 season, Jockey Club racing generated HK$81.5 billion in turnover. Government taxes from the betting duty on racing and the lottery account for more than 5 percent of the government’s total revenue.

In addition, the Jockey Club is a major source of funding for charities. It donates more than HK$1 billion annually for charities and public works.

While the Jockey Club has a sophisticated computer system capable of processing 6,000 transactions per second, according to the Far Eastern Economic Review, it still does not take bets over the Internet. And it refuses to advertise.

The politically powerful Jockey Club has lobbied for tighter laws against unauthorized bookmaking, saying that it is losing revenue to illegal and Internet operators. But part of the problem, as suggested by the amount of space that the Consultation Paper devotes to soccer, may simply be the lack of alternatives to betting on horses.

Betting on Sports vs. Betting on Horses

“We come to the old problem: Is sports gaming taking money away from horse racing?” said Neil Cook, the former editor-in-chief of the Daily Racing Form and chief executive of Blueblood Ltd., a U.K. gaming developer. “There’s an increase in the tendency to bet on live sports.”

In November, the Hong Kong government introduced the Gambling (Amendment) Bill 2000 into the Legislative Council. The bill would try to criminalize cross-border gambling, including via the Internet, and would outlaw promotion of bookmaking in Hong Kong by offshore bookmakers.

But it’s become bogged down in the Council’s Bills Committee, and no action is expected until October.

The government’s Consultation Paper says that three “policy options” could be pursued simultaneously: tightening the gambling laws, increasing law enforcement against illegal gambling, and “authorizing limited legal outlets with suitable government control.”

The paper is careful to list arguments for and against introducing legal outlets for soccer betting in Hong Kong. But its overall thrust is in the direction of doing just that.

If that’s the course the government takes, the paper says, the soccer betting should be run either by the Hong Kong Jockey Club or by another non-profit organization.

The paper also says that the Home Affairs Bureau has commissioned “a study of gambling behaviour and pathological gambling in Hong Kong.” It recommends a public education program, aimed particularly at young people, and increased counseling services for pathological gamblers.

In its appendix, the paper says that if outlets for soccer betting are authorized, there should be a minimum number of such outlets, but that telephone and/or Internet betting should be permitted. It adds that bets should not be allowed on games involving Hong Kong teams, and that credit betting should be prohibited.

http://www.showhand.com/News/HKSoccer280601.htm

Offi

[RAZ]

Diese Newz ist m.E. nach nicht gerade unwichtig bzw. birgt eine Menge guter Infos in sich.


Britain Expedites Reform of Betting Tax

The British government announced Friday that the betting tax will be eliminated three months ahead of schedule. Beginning Oct. 6, sports and race bettors will no longer pay a 9 percent lug that they had been charged for more than 30 years.

When Chancellor Gordon Brown announced his budget in early March, he said the betting duty would be abolished by Jan. 1, 2002, and replaced with a 15 percent tax on bookmakers’ gross profits. The idea was to end the deductions from bettors’ wagers, and encourage UK bookmakers to return home from their offshore locations.

In the last couple of years, most UK bookmakers had set up offshore telephone and/or Internet operations, to offer tax-free wagering. To get around British advertising restrictions, some – such as William Hill -- had dual operations online, one based in the UK and the other offshore. They said they couldn’t compete with low-tax or no-tax jurisdictions if they remained in Britain and had to pass on the 6.75 percent duty to all bettors.

The difference between the 6.75 percent and the 9 percent that onshore bookmakers have been deducting represents a levy that is used to help support the horse racing industry and an administrative charge for the bookmakers. The government says that under the new policy, bookmakers will absorb the horse race levy and the administrative charge and the 15 percent tax on gross profits, thus eliminating deductions from bettors.

Gross profits are defined as the betting revenue received by the bookmakers, minus the winnings they pay out.

As soon as Brown announced the change in March, two of the largest UK bookmakers, Ladbrokes and Coral Eurobet, said they would abandon their no-tax operations in Gibraltar and move to Britain.

In a press release Friday, the Treasury office said: “Since the Budget announcement, rapid progress has been made both by the bookmakers in re-locating their off-shore operations to the UK and by Customs in preparing to switch to the new system. The Government has therefore decided to bring in the reforms to betting taxation a full three months early.”

The release also included favorable comments from key industry executives. Bob Scott, chief executive of Coral Eurobet, said, “This will be the biggest day in the history of betting. I would like to applaud the Government not only for having the vision to introduce this revolutionary tax but also for the speed with which they have acted.”

Alan Ross, managing director of Ladbrokes, said, “Every betting customer should thank the Government and put the date of October 6th into their diary as this marks the beginning of a new era for the industry. The decision today is a real boost to the betting industry and means that the significant increases in turnover, employment and international reach promised by tax-free betting will happen even sooner than anticipated.”

John Brown, chairman of William Hill, also congratulated the government.

Oct. 6 is a Saturday, and the Treasury release noted that events occur that weekend that attract worldwide betting interest:

“Among the sporting events taking place on the first weekend of tax-free betting are the Prix de l’Arc de Triomphe at Longchamp, one of Europe’s premier horse races, always the subject of racing and betting interest from around the world, and England’s final World Cup Group match at home to Greece.

“The international interest in these events reinforces one of the key objectives of the reforms, which is to enable UK-based bookmakers to target an increased share of the growing global market for telephone and Internet betting.”

The Treasury also said the gross profits tax “recognises the commercial reality that margins are generally tighter on telephone and on-line betting than on cash betting in shops . . . .”

The Treasury said the early start to the new policy means that the change will cost the government an estimated £75 million [$105.4 million] in the first year. But it expects to make up that loss “in the medium-term” by generating growth in the industry.

Beginning Tuesday, the Customs office will hold a series of seminars for bookmakers to explain the new tax system.

At least one offshore bookmaker plans to remain offshore, however. After Brown announced the new policy in March, Peter Higgins, the business development director for Sportingbet.com, told RGT Online that “the Internet customer sees tax free betting and the Internet as synonymous.” He questioned how long the “Big Three” UK bookmakers would be able to absorb the 15 percent tax without adjusting their prices.

“We will not be moving back to the UK until the UK government totally scraps the betting duty system in its entirety,” Higgins said then. He said 93 percent of his company’s business comes from outside the UK. Sportingbet.com is based in Alderney, one of the Channel Islands

RAZ

[Offi]

Die News ist sehr gut, der Effekt auf Worldgaming bisher aber begrenzt. Solange wir in Antigua bleiben, werden unsere Gewinne nicht in UK versteuert, auch wenn da der Hauptsitz ist, denn es gilt bei der Besteuerung immer noch der Ort der Enstehung. Der einzige Effekt, den ich bisher sehe, ist das dadurch die Operator in UK mit zusaetzlichen Umsaetzen rechnen koennen, was einen Effekt auf potentielle Ln`s haben kann. Wenn man sich mal die Software von Hill oder Coral Eurobet anschaut, rennt man schneller als man kann - Horror! Die haben halt keine Ahnung vom Business im Netz, nur Kohle um es zu pushen. Hill hat es sogar noetig von einem kleinen Anbieter wie gamebookers.com 3 icons zu klauen. Hoffe das neue Sportsbook ist softwaretechnisch eine Granate und natuerlich von der Bedienungsfreundlichkeit. Das jetzige Sportsbook ist langsam antiquierter als der Papst.

Gruesse

Offi

[butzbutz]

Hi Ihren beiden @ RAZ & Offi, gute Koordination aus anderen Zeitzonen?

Bei Offi wissen wir`s ja, RAZ time 4,05 h ?
Immerhin ein Lebenszeichen, als "Tümmler" im RB aber schon gesichtet!

sound deviate: "damdidam"

Gruß butz

[butzbutz]

Aus dem Raging Bull:

Place your bets for the gaming bonanza

A big casino jackpot looms as a report signals liberalised gambling. By Nick Mathiason

Sunday July 15, 2001
The Observer

This Tuesday will mark the beginning of a process that could revolutionise the UK`s £7 billion
betting industry.

http://www.observer.co.uk/business/story/0,6903,521816,00.ht…

butz

[butzbutz]

Aus dem Raging Bull:

aturday, July 21, 2001
Copyright © Las Vegas Review-Journal

Measure takes aim at Internet
gambling

Bill limits payment vehicles for Web gaming

By TONY BATT
lasvegas.com GAMING WIRE

WASHINGTON -- Rep. John LaFalce, D-N.Y., introduced legislation
Friday to ban the use of credit cards or any other financial instruments to
pay for Internet gambling.

The bill is a more sweeping prohibition than legislation offered in
February by Rep. Jim Leach, R-Iowa, according to a LaFalce aide.

The move comes one day after LaFalce introduced a measure to
prohibit casinos from offering ATMs and credit card cash advance
machines next to gambling tables.

Both bills may come up on Tuesday when the House Financial Services
subcommittee on oversight and investigations conducts its second
hearing this month on Internet gambling.

"The issue Congress must address is how we can protect our nation`s
youth from the growing availability and negative consequences of
Internet gambling," LaFalce said in a news release.

"To me the answer is simple. We cut off Internet gambling at its source
by prohibiting the primary payment vehicles that make online betting
possible."

The bill would prohibit electronic payments or any other federally
regulated financial transfers to known Internet gaming sites, according to
LaFalce aide Dean Sagar.

"The Leach bill would allow (Internet gambling) payments if they are
made lawfully," Sagar said. "Technically, payments to Internet gambling
sites in Antigua or the Netherlands Antilles would be legal (under the
Leach bill). This (LaFalce bill) would block all payments for Internet
gambling."

Sagar said the Leach bill would put the onus on credit card companies to
determine if Internet gambling sites are legal or not.

"How does Visa know where Internet gambling sites are legal or illegal?
What happens if Las Vegas goes ahead and legalizes Internet
gambling? It becomes complicated (without a comprehensive ban),"
Sagar said.

Representatives of Visa and Master Card failed to return Friday
messages seeking comment.

Internet gambling generated about $1.6 billion in revenues throughout
the world last year via an estimated 1,400 sites operated by 250
companies.

The vast majority of those companies operate outside of the United
States to escape the oversight of the federal government, which argues
that the 1961 Federal Wire Act forbids the practice with its ban against
bets place over phone lines. A federal court case from Louisiana is on
appeal and could determine the legality of online betting.

Leach aide Bill Tate declined to comment or make the congressman
available for an interview to discuss LaFalce`s proposed credit card ban.

Both of the bills LaFalce introduced this week stem from
recommendations made by the National Gambling Impact Study
Commission in its June 1999 report. The commission conducted a
two-year study of the economic and social impact of legalized gambling.

Last year, LaFalce co-sponsored Leach`s bill to ban credit card
payments for Internet gambling transactions. The bill passed the House
Banking Committee, now the Financial Services committee, by voice vote
in June 2000 but never came up for a vote on the House floor.

LaFalce withdrew his support last year after Leach exempted the horse
racing industry`s simulcasts from the ban.

"He didn`t co-sponsor the Leach bill this time because of that same
loophole," said Joseph M. Kelly, a business law professor at SUNY
College in Buffalo.

Kelly said Leach`s bill has a better chance of succeeding than LaFalce`s
legislation because it takes into account the powerful lobbying interests
of the horse racing industry.

"Without the exemptions last time, the Leach-LaFalce bill would not have
gone nearly as far as it did," Kelly said.

Leach`s bill this year has one co-sponsor so far, Rep. Thomas Petri,
R-Wis.

Rep. Bob Goodlatte, R-Va., who is preparing to unveil a bill to prohibit
Internet gambling, said this week he has been talking to Leach about
merging their bills.

"We are looking at the concepts in the Leach and LaFalce bills,"
Goodlatte spokeswoman Janet Polarek said Friday. She said she did not
know if Goodlatte has been talking to LaFalce.

Anthony Cabot, an Internet gambling lawyer in Las Vegas, said he does
not expect the LaFalce bill to attract widespread support because it
would be unworkable.

The LaFalce bill also would take away the rights of all states to make
their own determination on whether to legalize Internet gambling, Cabot
said.

Cabot described LaFalce`s legislation as a threat not only to Internet
gambling, but to the entire gambling industry.

"It would stop the gaming industry from advancing into the 21st Century,"
Cabot said. "All forms of gambling are going to use computer networks. It
sounds like the (LaFalce) bill intends to attack the heart of all gambling."

Marc Falcone, a gambling analyst at the Wall Street firm of Bear Stearns,
said a total ban like the one LaFalce is advocating could prove
counterproductive.

"Given the fact that we feel the business (of Internet gambling) is always
going to exist, it would be a big challenge to implement this legislation,"
Falcone said. "The real question is whether Internet gambling can be
regulated or not, and I don`t think that technology exists right now."

Sue Schneider, chairwoman of an Internet gambling trade association
called the Interactive Gaming Council, seemed surprised that LaFalce
would propose such a blanket ban.

"That`s kind of interesting that he would get rid of any exemptions,"
Schneider said. "But I haven`t seen the bill so anything I say would be a
stab in the dark."

Alan Feldman, a spokesman for MGM-Mirage, said he was not surprised
LaFalce would advocate a comprehensive prohibition.

"He has a long history of opposing gambling of any form," Feldman said.
"He seems to have no problem with federal intervention into the lives of
adults and the entertainment choices they make. I would not be
surprised if he proposes a prohibition of ATMs (automated teller
machines) near ice cream parlors, no doubt citing health reasons."

[RAZ]

US Virgin Islands May Trump Las Vegas on On-Line Gambling

This Article Sponsored by:
SAINT THOMAS, US Virgin Islands – July 20, 2001 – As reported by Agence France Press: `` A number of its Caribbean neighbors are home to international Internet gambling operations, and until now the US Virgin Islands have been barred from following suit.

``Current US federal law is interpreted by the Justice Department as banning on-line gambling across US state lines.

``The state of Nevada, in an initiative supported by major casinos in Las Vegas, is moving to test that interpretation of the law.

``But Nevada looks set to be trumped by the tiny jurisdiction of the Virgin Islands, whose senators on Thursday passed their own bill legalizing Internet gambling.

``The legislation now goes to the territory`s governor for his approval or veto. If it becomes law, the islands will to become the first US jurisdiction to allow punters worldwide to wager via the web through sites based on its territory.

``US Virgin Islands senators who voted for the bill have clearly been lured by the potential revenues --- under the legislation, the territory would collect 10 percent of the companies` revenues, or about 50 million dollars, by 2002. In addition, the new companies` operators promised senators that revenues would help wire all their public schools.

``And lawmakers here hope that even if locally based online gaming remains illegal, they will be able to circumvent US federal legislation by banning residents of the US mainland from playing on sites based here..”

... gute Nachrichten ...

RAZ

[RAZ]

Nevada Officials Delay Meeting with Feds on Internet Gambling

by Fred Faust

Brian Sandoval, chairman of the Nevada Gaming Commission, has decided to do plenty of legal homework before seeking a meeting with the U.S. Department of Justice to discuss the legality of Internet gaming. Meanwhile, the Commission will hold a two-day seminar next week that will be devoted to technical and legal issues that surround online gaming.

Last month, Sandoval discussed Nevada’s new interactive gambling legislation at a session of the Global Interactive Gaming Summit & Expo in Toronto.

“The first thing that we as regulators will have to do,” he said then, “is meet with the Department of Justice to determine their interpretation of the federal law – specifically the Wire Act – and its applicability to the Nevada law. We anticipate that we would be meeting with (U.S. Attorney General) Mr. Ashcroft or his representative in the very near future to ascertain some of the answers to those questions.”

No such meeting has occurred, however, and Sandoval told RGT Online Friday that he doesn’t want to have such a meeting “without having the benefit of having done our own independent legal research.”

This will take some time. First of all, the Commission has tasked the Nevada Attorney General’s office with a “blue-sky analysis” – researching the laws in all 50 states with regard to interactive gaming. Second, the Commission will retain “an out-of-state law firm to do the federal analysis, with regard to the federal law and its applicability to the Nevada legislation,” Sandoval said.

The Commission is receiving resumes from several large East-coast law firms, he said. A review of the resumes has not yet begun, but Sandoval hopes the Commission will select one by the end of September.

“We felt it would be the responsible way to go to have some of these legal opinions in hand before we had a meeting with the Justice Department,” Sandoval explained.

Those opinions, he added, will be influenced by the result of an appeals court decision on a ruling in February by a federal judge in New Orleans. U.S. District Court Judge Stanwood R. Duval Jr. explicitly said in that ruling: “At this point in time, Internet casino gambling is not a violation of federal law.” He said the 1961 federal Wire Act only applies to sports betting.

While Duval’s decision is not binding in other districts, it’s significant because he ruled in cases that had been consolidated from numerous suits filed in several districts. Sandoval said oral arguments for the appeal of Duval’s ruling have not been scheduled yet.

Nevada’s move to legalize interactive gambling is not likely to be welcomed at the Justice Department. Under the Clinton administration, the Department believed the Wire Act, perhaps with modifications, was sufficient to prosecute Internet casino gambling operations. That was the reason it gave for opposing Congressional efforts to specifically prohibit Internet gambling.

Now the Department is headed by Ashcroft, a far-right Republican who is opposed to gambling as well as alcohol and even dancing. When he was a U.S. Senator representing Missouri, Ashcroft, supported a Senate bill sponsored by Jon Kyl, Republican-Arizona, to prohibit Internet gaming.

“We have full respect for the federal government and if the Justice Department says this is an illegal activity, we’ll have to respect that,” Sandoval said Friday. “But certainly it is the responsible thing to do begin the process by first educating ourselves before we even get into a rule-making process. There’s a lot of value to educating regulators as well as the public with regard to Internet gaming.”

To that end, the Nevada Gaming Commission has scheduled an “Informational Seminar” next week, on July 31 and Aug. 1, at the Community College of Southern Nevada in Las Vegas. Dan Wade, the vice chairman of MGM Mirage, which is eager to offer online gaming, will make opening remarks.

Industry officials, including several from Australia, will discuss topics such as the “Safety and Security of Internet Gaming Systems” and “Testing of Systems.” Steve Williams, the former chief technical officer of America Online, will talk about “Age and Location Verification.”

There are also sessions on the legal and economic issues of interactive gaming. For a detailed agenda, visit the Web site of the Nevada Gaming Commission.

Sandoval said the seminar “is not intended to advance anybody’s cause but to explore the issues contained in the Nevada legislation. There’ll be no deliberation, no rule-making, anything of that nature.”

The Nevada law that took effect July 1 authorizes the state’s regulators to license Nevada hotel-casinos to offer interactive gaming if the regulators find that it can be done legally and regulated effectively.

Here we go

RAZ

[RAZ]

Der Startschuss für das Bekanntwerden der beginnend boomenden Branche ist hiermit m.E. nach gegeben!!!

NATIONAL NEWS: US casino group set to win UK online licence
Financial Times; Jul 27, 2001
By SCHEHERAZADE DANESHKHU and MATTHEW GARRAHAN



MGM Mirage, one of the largest US-based casino groups, is close to setting up an online casino in the Isle of Man.

The Isle of Man recently legalised online casinos and is to issue three licences in September. It is understood that MGM is favourite to win one of the licences.

If the Las Vegas-based group succeeds in its bid for one of the first internet casino licences to be awarded in the British Isles, it will also become the first US casino company to set up an offshore internet site.

The Isle of Man has received 11 applications from large gaming companies based in Europe, North America and Africa.

The island`s Department of Home Affairs believes the recent government-commissioned Budd review into gaming will allow it to issue internet casino licences.

MGM Mirage - the result of last year`s merger between Mirage Resorts and MGM Grand - is seeking to establish an off-shore base amid unclear online betting regulations in the US. Internet sports betting is illegal in the US but online casinos appear not to be.

MGM Mirage is understood to prefer a British Isles` internet casino licence, which is seen as more marketable and carries more kudos than other off-shore locations.

The group is also examining the prospects of opening a "bricks and mortar" casino in the UK following last week`s publication of the Budd review, which advocates liberalising the industry. One of Sir Alan Budd`s recommendations is to allow casinos to operate online - legislation does not allow for the issue of internet casino licences although it is not illegal to play online.

There are at least 400 off-shore internet casinos. Established operators are anxious to enter the online gambling market but have been wary of falling foul of unclear domestic law.

Anthony Coles, partner at Jeffrey, Green, Russell, London-based solicitors specialising in online gambling law, said: "This news is an indication that the British jurisdictions are becoming even more attractive for major gaming companies."

Here we go

RAZ

[RAZ]

Worldgaming´s größter Lizenznehmer ...

Sportsbook.com Acquired by Sportingbet

source www.sportsbook.com


Sportingbet.com (UK) plc

Acquisition of Internet Opportunity Entertainment Inc
and Oak Ventures Corporation (together "SportsBook")


Highlights of the Acquisition

* Acquisition of SportsBook, a major US focused internet sports
bookmaker, for an initial consideration of US$51.25m (£35.9m) payable in cash,
convertible and non-convertible loan notes and shares. This comprises a
payment of US$38.8m (£27.1m) at completion and US$12.5m (£8.8m) when the
aggregate net profits for four quarters amount to US$6.0m (£4.2m)



* Additional performance related consideration of up to US$133.8m
(£93.7m) is payable over a period of up to 7 years depending on the
profitability of the SportsBook business

* SportsBook had turnover of US$435.4m (£305.0m)) with a gross margin of
US$42.1m (£29.5m) (9.7 per cent) and a net profit of US$4.9m in the year ended
31 March 2001

* As at 30 June 2001 SportsBook had 347,650 customers of whom
approximately 70,000 had placed a bet in the preceding three month period

* High quality, incentivised, proven management team acquired with
expertise in the Americas


* Branded websites will be retained and run alongside Sportingbet
branded sites


* Significant revenues from the provision of own label bookmaking
services including a major contract for the provision of outsourced bookmaking
services for the casino product allied to the Sportsbook website


* Anticipated savings of at least £3.0m in the year ended 31 March 2002


* Margin improvements expected through the portfolio effect of greater
customer numbers and bets placed


Commenting on the acquisition, Mark Blandford, Chief Executive of Sportingbet
said:


"I have long admired SportsBook and regard it as one of the most successful
examples of internet bookmaking. In acquiring this business Sportingbet will
be able to achieve substantial synergy benefits. I believe this to be an
excellent deal for Sportingbet shareholders. Following this deal we are
clearly a leading global bookmaker as measured by customers and bets placed.
Accordingly, we are well placed to capitalise on market trends and
opportunities."

Sportingbet.com (UK) plc

Acquisition of Internet Opportunity Entertainment Inc.
and Oak Ventures Corporation

Placing of 8,947,368 new ordinary shares to raise £8.5m


Sportingbet.com (UK) plc ("Sportingbet" or the "Company"), the global internet
bookmaker, today announces that it has agreed to acquire the entire issued
share capital of Internet Opportunity Entertainment Inc. and Oak Ventures
Corporation (together "SportsBook") for an initial consideration of US$38.8m
(£27.2m). The initial consideration comprises a payment of cash (US$10.0m (£
7.0m)), shares (US$6.5m (£4.6m)), a convertible loan note (US$10m (£7.0m)) and
a loan note (US$12.3m (£8.7m)). In addition, when the aggregate net profits
for four consecutive quarters after completion amount to US$6.0m (£4.2m),
Sportingbet will issue to the vendors 8,921,163 shares (US$12.5m (£8.8m)).


Additional consideration, subject to a maximum further aggregate payment of
US$133.8m (£93.7m), may become payable depending on the profitability of
SportsBook over the period from 1 August 2001 to 31 July 2008. This
consideration is expected to be satisfied as to 45 per cent cash and 55 per
cent shares. In any event the maximum number of shares that will be issued
under the Acquisition Agreement will not exceed 86.8m or, if lower, 29.9 per
cent of the Company`s issued share capital from time to time.


SportsBook comprises the sports internet betting interests of a substantial
privately owned Caribbean sports betting and gaming group. The sports betting
business, assets and certain liabilities of this group have been brought
together and transferred to SportsBook for the purpose of this transaction.


In order to finance the initial consideration of $10.0m (£7.0m) (and the costs
of the transaction), Dresdner Kleinwort Wasserstein has placed 8,947,368 new
ordinary shares with investors to raise £8.5m.


Information on SportsBook


SportsBook, one of the largest retail focused internet sports bookmakers, was
founded in 1997 from a base in the Caribbean and has since grown very rapidly.
The growth of the business has been primarily a product of SportsBook`s
marketing initiatives, supplemented by two small acquisitions. As at 30 June
2001 SportsBook had a database of 347,650 customers, of whom approximately
70,000 placed a bet in the preceding three month period. SportsBook`s
customers are drawn from approximately 150 countries, with approximately 92
per cent accessing SportsBook`s websites from North America. SportsBook
provides odds principally on North American based sports (American football,
basketball and baseball).



The main websites operated by SportsBook are:


* sportsBook.com

* wallstreet.com

* playersonly.com


In addition, SportsBook provides a number of independent websites with an own
label bookmaking service in return for a percentage of the operating profit
derived from those operations. In the year ended 31 March 2001 these
marketing agreements generated a profit contribution of US$5.1m (£3.6m).
These agreements run until at least 2004.


SportsBook`s revenue is principally derived from the internet, however in
April 2000 SportsBook introduced a telephone betting service. This has grown
rapidly and in the 12 months to 31 March 2001 and accounted for approximately
5.0 per cent of SportsBook`s net win.


SportsBook`s head office, as a precursor to launching a European offering, was
recently moved to Gibraltar. The risk management, customer service and
customer accounting functions are located in Margarita Island, Venezuela, and
SportsBook also operates a small telephone marketing operation in Dublin. In
total, SportsBook employs approximately 150 people. SportsBook currently
operates under an Antiguan licence.


SportsBook operates licensed software supplied by World Gaming Plc, a quoted
company, for which it pays a royalty based on a percentage of net win.
SportsBook is World Gaming`s largest customer.


To date, SportsBook has been privately owned and operated and has a limited
operating history. It has grown very rapidly and has been managed on a cash
book basis. Moreover, it has operated in locations where the accounting and
regulatory requirements are less stringent than those imposed in the UK.
Accordingly, the financial reporting and other administrative procedures of
SportsBook have not been to a standard that would be expected from a UK
company and the accounts for the year ended 31 March 2001 contain qualified
audit opinions. The Accountants` Reports are set out in Appendix 2.
Following completion, Sportingbet will implement its financial reporting and
other corporate procedures on the SportsBook operations.


Rationale for the acquisition


The Directors believe that as sports internet betting operations are highly
scaleable and that there will be industry consolidation. Accordingly, when the
opportunity arose for Sportingbet to merge with a leading participant in the
World`s largest internet betting market, the Board concluded (in the belief
that the regulatory attitude in North America to internet sports betting is
likely, over time, to liberalise) that Sportingbet should seek to anticipate
the industry consolidation, providing that advantageous terms could be agreed.
From this enlarged platform, the Board believes that Sportingbet will be
better placed to take advantage of the opportunities presented by the global
internet sports betting opportunity than the Company would have been on a
standalone basis.


The acquisition of SportsBook brings a number of important strategic and
immediate business benefits for Sportingbet. The principal benefits include:


* the acquisition of a highly profitable operation with a leading
market position in the North American sports betting market

* substantial cost savings through the elimination of duplicated
costs

* the acquisition of a high quality, incentivised and proven
management team with expertise in the Americas

* the adoption of the best practices in each business

* enhanced risk management through operating a significantly larger
customer database


The Directors anticipate that savings of at least US$4.3m (£3.0m) will be
achieved in the year to 31 March 2002.


In addition, the Directors expect that over time the enlarged group will
derive revenue synergies through combining the marketing efforts of the two
businesses. In particular, the enlarged group intends to retain SportsBook`s
branded websites which are some of the leading brands in North America.


Although the process of integration will commence immediately, it is
anticipated that the software platforms will not be integrated until 2002.
Immediately following the acquisition, the enlarged group will operate a
combined risk management function to maximise margin opportunities. As part
of the integration process, Sportingbet intends to fully integrate the
Venezuelan and Gibraltar operations and relocate them to its base in Costa
Rica.

Casino Management Agreement


The Vendors own a number of internet based casino operations, based largely
around the SportsBook websites. These operations generated a gross profit of
US$14.7m (£10.3m) in the year ended 31 March 2001. Although this business is
not being acquired by Sportingbet as part of this transaction the enlarged
group has entered into an outsourcing agreement, for an initial period of 5
years, to provide the processing and administration services for the casino
operations allied to the sports book (the "Casino Agreement"). The
administration of the smaller casino websites is outsourced to World Gaming,
the casino software supplier.


The Casino Agreement provides for Sportingbet to be paid a fixed fee of
US$1.5m per annum plus 50 per cent of the gross win of the SportsBook related
casino business in return for the provision of services under the agreement.
The agreement provides that SportsBook shall operate and pay for all of the
costs of running the casinos including operating expenses, banking fees,
administration costs and information technology.


The customers of SportsBook are maintained on a single integrated database. On
acquisition, the SportsBook customer database and websites will become the
property of Sportingbet. Under the terms of the Acquisition Agreement
Sportingbet has agreed that it will not operate a separate or competing casino
business to that of the Vendors on any of the SportsBook websites. At the end
of the Casino Agreement, this restriction will lapse and Sportingbet will be
free to terminate its relationship with the Vendor and operate its own casino
business allied to the SportsBook websites if it so chooses.



Financial information on SportsBook



Set out below is a summary of SportsBook`s qualified audited results for the
year ended 31 March 2001, which have been extracted from the Accountants`
Reports set out in Appendix 2 to this announcement:


Internet Telephone operations Combined
operations
Year ended Year ended Year ended
31 March 2001 31 March 2001 31 March 2001

US$000`s US$000`s US$000`s
Turnover 393,693 41,756 435,449
Gross profit 40,002 2,087 42,089
Administrative expenses (31,025) (3,455) (34,480)
Depreciation and amortisation (1,100) - (1,100)
Exceptional costs (1,647) - (1,647)
Profit/(loss) before tax 6,230 (1,368) 4,862

Net assets 8,069 (735) 7,334



The financial information in respect of the SportsBook Internet operations and
SportsBook Telephone operations have been subject to separate audits by BDO
Stoy Hayward. The combined Financial information for SportsBook detailed
above has been arrived at by an aggregation of the SportsBook Internet and
SportsBook Telephone Financial information. The combined Financial
information, of itself, has not been subject to an audit by BDO Stoy Hayward.



The gross profit for the year ended 31 March 2001 amounted to US$42.1m (£
29.5m), an overall gross margin of 9.7 per cent, including the contribution
from the provision of own label bookmaking services to independent websites
and the contribution from the Casino Agreement, had such an agreement been in
effect during the year. Sports betting gross profit was US$28.4m (£19.9m)
being 6.7 per cent on turnover of US$422m (£297m). The contribution from own
label bookmaking services amounted to US$5.1m (£3.6m) and contribution from
the Casino Agreement would have amounted to US$8.6m (£6.0m).



Administrative expenses amounted to US$34.5m (£24.2m) which included marketing
expenses of US$9.3m (£6.5m) on behalf of the internet operations. This amount
is stated net of any marketing cost that would have been recharged to the
vendors under the Casino Agreement for the promotion of SportsBook`s websites.
Bank charges and other administrative expenses are borne entirely by the
sports book whether incurred for the SportsBook websites or those of a third
party.



During the last financial year, a number of exceptional items, totalling
US$1.6m (£1.1m) were incurred including US$1.4m (£1.0m) relates to the office
expenses associated with the Gibraltar office. These costs do not represent
an ongoing cost to the business as this office is to close. In addition, a
further US$3.2m (£2.2m) relating to a marketing agreement to assist in the
setting up and ongoing marketing of the telephone betting business, was
charged as an ordinary trading item in the period. The combined profit before
tax, excluding exceptional costs and the marketing agreement noted above,
amounted to US$9.8m (£6.9m) for the year ended 31 March 2001.

Here we go

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King Solomon`s $10,000 Bonuses - Biggest Online Casino Promotions!
LONDON, July 31 /PRNewswire/ -- King Solomon`s Online Casino challenges its competitors by offering its biggest winners special $10,000 bonuses.

This unrivalled promotion, valid until 31 August 2001, is the largest bonus being offered by any online casino portal to winners. ``Our aim is to get online players to choose King Solomon`s Casino over others in the increasingly crowded market place,`` states Nicky Getley, Customer Loyalty Manager. She continues to declare: ``Although other sites offer Progressive Jackpot slots, punters who win over $50,000 by playing any of the 5 Progressive Jackpots on our site will automatically receive $10,000 free purely because they chose to play with us. By introducing this offer we hope to position King Solomon`s as the market leader in online casino promotions.``

Online casinos have always offered gamblers a host of enticements such as holiday packages or even new cars, but this King Solomon`s offer represents a new effort to outbid competitors. Nicky continues: ``Our rivals purely entice players with the chance of winning thousands. We offer our players the chance to win thousands and double their excitement at winning by awarding this huge bonus!``

Successfully in operation for over 2 years now, King Solomon`s Casino has established itself as a market-leader in the e-gaming industry. This latest $10,000 offer, known as ``Crack-the-Jackpot`` may see the scheme extended past the August deadline date due to its popularity.

Within two weeks of the launch, a King Solomon`s player, from Oklahoma won $50,415.71 playing the Cash Splash Progressive Jackpot. A fortnight later another King Solomon`s player claimed the bonus with a $53,521.97 win on Cash Splash.

The online gaming industry continues to experience significant growth, despite attempts by some governments, such as in Australia, to clip the wings of this branch of e-commerce. Competition is rife for operators determined to establish themselves as market-leaders in what is proving to be an extremely dynamic industry. King Solomon`s Casino has forged a loyal clientele based on its reputation for honesty and trustworthiness.

Offi

[RAZ]

Ambassador Online Casino is the Latest from Boss Media

This Article Sponsored by:

KAHNAWAKE MOHAWK TERRITORY, Canada –- (Press Release) -- July 31, 2001 -- Ambassador Casino debuts as Boss Media`s most advanced online casino to date. This casino offers a rare blend of unparalleled stability, game integrity, the best graphics and many new features in a user-friendly environment. Ambassador Casino has gone further than any other online casino operator to develop sophisticated management processes and compliance standards that are on a par with land-based casinos.

Launching in the wake of the most rigorous testing programme in the industry, Ambassador Casino has undertaken numerous enhancements to the Boss Media software. A unique combination of cutting edge technology and customer focus has been developed. A spokesperson for Ambassador commented `we have made the enhancements entirely from a customer`s perspective`. Some of the most notable enhancements include a progressive downloader/installer that is seamless to the user. Computer novices can download the software with the help of a simple step-by-step guide on the website. Players can select from a range of classic casino games and the simplified function keys enable a smooth and fast gaming experience that will be appreciated by even the most experienced gambler. As a result, Ambassador Casino is one of the user-friendliest online casinos available to the rapidly growing number of online gamblers.

At Ambassador Casino, customers will find a superior casino environment with rich graphics that are the best in online gaming. They can choose exciting features such as exclusive private tables, a luxury normally afforded only to the rich and famous, or their own background music through MP3 files.

Customers can be assured of total game integrity when playing at Ambassador Casino. The casino is only one of a handful that can claim a PricewaterhouseCoopers audit of the Random Number Generator together with the monthly payouts. Furthermore, Independent Certification of the games for fairness is planned in the near future.

With a position of compliance leadership, Ambassador Casino operates only in a totally legal fashion. Ambassador Casino will not accept real play from any jurisdiction where Internet gambling is illegal or from minors.

Other measures to prevent underage gambling include voluntary registration with all web-filtering organisations. Rigorous and pro-active procedures have been integrated into the software and Ambassador Casino`s management processes to ensure full legal compliance and social responsibility on a continuous basis.

Ambassador Casino is licensed by the Kahnawake Gaming Commission in Canada and are members of the Interactive Gaming Council.

The launch of Ambassador Casino heralds a new breed of sustainable and credible online casinos dedicated to providing the best in online gambling for the long term. Trust, credibility and a superior gambling experience will ensure players keep coming back for more. Players can see for themselves by downloading the casino software or ordering a CD Rom at the Ambassador Casino.

Please note that Ambassador Casino regrets it is unable to accept real money play from the United States.

[RAZ]

DJ MARKET TALK/EU: Merrill Says Stick With Gaming Plays

Call Us In London: 44-20-7842-9464

0930 GMT (Dow Jones) LONDON--Merrill Lynch says investors should stick with UK gambling stocks as "seismic" changes in law could lead to "substantial reratings" of companies like Stanley Leisure (U.SLY), Rank (RANKY) and Hilton (U.HGP). Pockets of choice remain elsewhere in the sector, such as Compass (U.CPG) and First Choice (U.FCH), Merrill adds. (NPB)

(END) Dow Jones Newswires


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[RAZ]

Offshore gambling conviction upheld

By TONY BATT
lasvegas.com GAMING WIRE
Wednesday, August 01, 2001
Copyright © Las Vegas Review-Journal

link: http://www.lvrj.com/lvrj_home/2001/Aug-01-Wed-2001/business/…


WASHINGTON -- In a test case for Internet gambling, a federal court in New York on Tuesday upheld the bookmaking conviction of a San Francisco man for illegally operating an offshore gambling site from the Caribbean island of Antigua.

Jay Cohen, who has vowed to appeal his conviction to the U.S. Supreme Court, faces a 21-month prison sentence for violating the 1961 wire act. The act prohibits the use of a telephone and other wire devices to place bets across state lines.

The three-judge panel of the 2nd U.S. Circuit Court of Appeals rejected arguments by Cohen`s lawyer, Mark Baker, that his business was no different than off-track betting parlors in New York.

"We need not guess whether the provisions of (the 1961 wire act) apply to Cohen`s conduct because it is clear that they do," wrote U.S. District Judge John F. Keenan.

Keenan said the act applied to Cohen`s company, World Sports Exchange, because it accepted bets by telephone or Internet.

Melinda Sarafa, another lawyer who represents Cohen, issued a statement expressing disappointment with the decision.

"We believe that the court did not adequately address a number of important issues presented by this case," Sarafa said. "Among those, we maintain that the court ignored legitimate contentions that Mr. Cohen`s business operated no differently than various state-run off track betting organizations which accept Interstate wagering instructions by telephone and the Internet."

Cohen, a former stock trader, is the only person who has stood trial and been convicted for running an Internet gambling site in violation of the 1961 wire act.

[RAZ]

Park Place considering cybercasino
CEO warns Web gambling could hinder casino industry

By JEFF SIMPSON
lasvegas.com GAMING WIRE
Wednesday, August 01, 2001
Copyright © Las Vegas Review-Journal

link: http://www.lvrj.com/lvrj_home/2001/Aug-01-Wed-2001/business/…

Park Place Entertainment Chief Executive Officer Tom Gallagher said Tuesday his company is considering whether to apply for an Internet casino license in a country off the British coast.

"It`s something that we are considering," Gallagher said about the company`s interest in a cybercasino from the Isle of Man. "It`s not a primary focus because it`s simply one element of a much broader picture."

Gallagher warned that the casino industry could be damaged by pushing Web gambling in a society that`s not prepared for the political and social challenges of online betting.

Several measures are working their way through Congress to prevent and hinder e-betting.

"Until the public and the gaming industry feels confident with Internet controls and safeguards, we should focus on those issues rather than pushing casino-style gaming into millions of homes that may not want it," Gallagher said.

He spoke at the Charleston Campus of the Community College of Southern Nevada during the opening day of a two-day conference organized by the Nevada Gaming Commission to consider Internet gambling issues.

The Nevada Legislature recently approved a bill authorizing the commission to regulate Internet gambling if the panel determines the practice is legal within the United States.

The Justice Department has argued that the practice is prohibited by a 40-year-old federal law banning sports betting via telephones.

Nevada regulators must decide whether that law applies to casino gambling and not just sports wagering. They must also determine that effective barriers can be erected to prevent online wagering by children and gamblers in states where the practice is illegal.

BMM Australia Web security consultant James Sargent delivered a two-hour introductory primer on the safety and security of Internet gambling systems.

The presentation focused on the risks faced by Internet casino operators and on strategies used to minimize such risks.

Regulators appeared concerned when Sargent told them that no Internet casino security safeguards are 100 percent secure from threats posed by hackers and disgruntled customers. Seventy percent of the security violations are by employees at e-betting sites, Sargent said.

"You can possibly get a system that is 99 percent effective," Sargent said.

MGM Mirage and Southern California-based Action Online Entertainment have applied for two of the online licenses to be issued by the 220-square-mile island. Three licenses are expected to be granted in a month, and as many as 11 companies have applied.

Gallagher`s company owns and operates Caesars Palace, which many casino industry observers believe to be the most powerful brand in legal gambling and one they say would generate a great deal of online gambling. But he said the casino industry needs to move cautiously when considering whether to enter the e-gambling market.

"Because the profit potential may well be significant, there is also a strong element of cheerleading, most easily seen in the argument that it can`t be stopped, it`s inevitable, so let`s make sure we get our share," Gallagher said. "Our view is different. The fact that there are unregulated foreign competitors taking play from the United States does not mean we must push to legalize Internet gaming in the United States."

Internet gambling generated $1.6 billion in worldwide revenues last year via an estimated 1,400 sites operated by 250 companies, many of which are located in small Caribbean countries to escape the oversight of major world governments.

Commission Chairman Brian Sandoval said Gallagher and Sargent`s remarks made it clear that regulators have a lot of work to do before they can decide whether they`ll be able to regulate Internet casinos.

"It confirms my belief that this area is even more complicated than we anticipated," Sandoval said.

The final conference session begins at 9 a.m. today at the Charleston Boulevard campus of the Community College of Southern Nevada, 6375 W. Charleston Blvd., Building D, Room D-152.

The session is open to the public.

[RAZ]

Ambassador Online Casino is the Latest from Boss Media

This Article Sponsored by:

KAHNAWAKE MOHAWK TERRITORY, Canada –- (Press Release) -- July 31, 2001 -- Ambassador Casino debuts as Boss Media`s most advanced online casino to date. This casino offers a rare blend of unparalleled stability, game integrity, the best graphics and many new features in a user-friendly environment. Ambassador Casino has gone further than any other online casino operator to develop sophisticated management processes and compliance standards that are on a par with land-based casinos.

Launching in the wake of the most rigorous testing programme in the industry, Ambassador Casino has undertaken numerous enhancements to the Boss Media software. A unique combination of cutting edge technology and customer focus has been developed. A spokesperson for Ambassador commented `we have made the enhancements entirely from a customer`s perspective`. Some of the most notable enhancements include a progressive downloader/installer that is seamless to the user. Computer novices can download the software with the help of a simple step-by-step guide on the website. Players can select from a range of classic casino games and the simplified function keys enable a smooth and fast gaming experience that will be appreciated by even the most experienced gambler. As a result, Ambassador Casino is one of the user-friendliest online casinos available to the rapidly growing number of online gamblers.

At Ambassador Casino, customers will find a superior casino environment with rich graphics that are the best in online gaming. They can choose exciting features such as exclusive private tables, a luxury normally afforded only to the rich and famous, or their own background music through MP3 files.

Customers can be assured of total game integrity when playing at Ambassador Casino. The casino is only one of a handful that can claim a PricewaterhouseCoopers audit of the Random Number Generator together with the monthly payouts. Furthermore, Independent Certification of the games for fairness is planned in the near future.

With a position of compliance leadership, Ambassador Casino operates only in a totally legal fashion. Ambassador Casino will not accept real play from any jurisdiction where Internet gambling is illegal or from minors.

Other measures to prevent underage gambling include voluntary registration with all web-filtering organisations. Rigorous and pro-active procedures have been integrated into the software and Ambassador Casino`s management processes to ensure full legal compliance and social responsibility on a continuous basis.

Ambassador Casino is licensed by the Kahnawake Gaming Commission in Canada and are members of the Interactive Gaming Council.

The launch of Ambassador Casino heralds a new breed of sustainable and credible online casinos dedicated to providing the best in online gambling for the long term. Trust, credibility and a superior gambling experience will ensure players keep coming back for more. Players can see for themselves by downloading the casino software or ordering a CD Rom at the Ambassador Casino.

Please note that Ambassador Casino regrets it is unable to accept real money play from the United States.

[Offi]

Boss Media - Ambassador Casino sets new standards


August 1, 2001


Boss Media are proud to announce the launch of Ambassador Casino, their most advanced online casino to date. This casino offers a rare blend of unparalleled stability, game integrity, the best graphics and many new features in a user-friendly environment. Ambassador Casino has gone further than any other online casino operator to develop sophisticated management processes and compliance standards that are on a par with land-based casinos.



Launching in the wake of the most rigorous testing program in the industry, Ambassador Casino has undertaken numerous enhancements to the Boss Media software. A unique combination of cutting edge technology and customer focus has been developed. A spokesperson for Ambassador commented “we have made the enhancements entirely from a customer’s perspective”.


Some of the most notable enhancements include a progressive downloader/installer that is seamless to the user. Computer novices can download the software with the help of a simple step-by-step guide on the website. Players can select from a range of classic casino games and the simplified function keys enable a smooth and fast gaming experience that will be appreciated by even the most experienced gambler. As a result, Ambassador Casino is one of the user-friendliest online casinos available to the rapidly growing number of online gamblers.


At Ambassador Casino, customers will find a superior casino environment with rich graphics that are the best in online gaming. They can choose exciting features such as exclusive private tables, a luxury normally afforded only to the rich and famous, or their own background music through MP3 files.


Customers can be assured of total game integrity when playing at Ambassador Casino. The casino is only one of a handful that can claim a PricewaterhouseCoopers audit of the Random Number Generator together with the monthly payouts. Furthermore, Independent Certification of the games for fairness is planned in the near future.


With a position of compliance leadership, Ambassador Casino operates only in a totally legal fashion. Ambassador Casino will not accept real play from any jurisdiction where Internet gambling is illegal or from minors. Other measures to prevent underage gambling include voluntary registration with all web-filtering organizations. Rigorous and pro-active procedures have been integrated into the software and Ambassador Casino’s management processes to ensure full legal compliance and social responsibility on a continuous basis.


Ambassador Casino is licensed by the Kahnawake Gaming Commission in Canada and is members of the Interactive Gaming Council.


The launch of Ambassador Casino heralds a new breed of sustainable and credible online casinos dedicated to providing the best in online gambling for the long term. Trust, credibility and a superior gambling experience will ensure players keep coming back for more. Players can see for themselves by downloading the casino software at http://www.ambassadorcasino.com or ordering a CD Rom at http://www.ambassadorcasino.com/cgi-bin/cdorder/order.pl


The Boss Media Group is a leading provider of turnkey solutions for casino operations on the Internet. Potential licensees are offered a customized client-server system, an integrated payment system, and the maintenance and administration services necessary for the successful operation of an Internet casino. Boss Media AB (publ) is a publicly traded company listed on the OM Stockholm Exchange`s O-list (Attract 40).

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[Offi]

Jackpot Carnival at the Caribbean Casino; Aspinalls.com Launches Big-payout Slots
LONDON and NEW YORK, Aug. 3 /PRNewswire/ -- As part of its commitment to providing its members with the ultimate gaming experience, Aspinalls.com has launched two big-payout slot machines at its Caribbean Casino. This brings the total number of games at Aspinalls.com`s Caribbean and London Casinos to an impressive 26.

``Tropical Paradise`` is a 5-reel slot machine with stakes ranging from $0.05 to $0.25 per line, offering a maximum win of over $60,000. ``The Magnificent Sevens`` is a 3-reel multipayline slot machine, with a maximum payout of $20,000, and players can bet on up to 5 lines with a maximum stake of $5.

Aspinalls Online plc, which takes one of the world`s great casino names onto the Internet, is the first online-only casino business to be publicly traded.

Russell Foreman, CEO of Aspinalls Online plc, said:

``We believe in offering our members an unrivalled choice of casinos and games, supported by superb customer service, first-class promotions and incentives and a valuable loyalty program.``

Until the 7th August, all new members who register and download the Aspinalls.com software will automatically be entered into a prize draw to win an exclusive VIP trip for two to Las Vegas, worth over $21,000. In addition, every new member who deposits and plays his or her first $50 will automatically receive a pair of designer cufflinks in the form of silver-plated playing dice, worth $70.

Potential players simply need to log onto www.aspinalls.com, download the Caribbean or London Casino and register for free membership of Aspinalls.com. The software can be downloaded directly from the site or installed from a free CD-ROM.

Launched on 21st June 2001, Aspinalls.com`s London and Caribbean Casinos feature all the great casino table games, including Roulette, Blackjack, Craps and Baccarat along with Slot Machines, Video Poker and Keno. Each casino has its own look and feel -- classic green, black and burgundy for London and lighter-hearted blue and yellow for the Caribbean. And whilst both casinos share a minimum bet of $0.25 on the slot machines, maximum bets differ - with a $2000 maximum on blackjack at the London Casino compared to $200 at the Caribbean.

About Aspinalls.com

Aspinall`s is one of the most prestigious names in the world of casinos, having held a casino license in the UK for some 40 years. During that period it has established a reputation built on trust and fairplay. Founded by Damian Aspinall, Executive Chairman, and Russell Foreman, Chief Executive Officer, Aspinalls.com is the first online gaming site to offer a range of internationally themed casinos and a sophisticated loyalty program. Aspinalls.com is operated by Aspinalls Online plc.

What`s in the London Casino?

Designed for the more experienced gambler, the London Casino offers a range of traditional casino games such as Roulette, Blackjack, Craps and Baccarat. Keno, Video Poker and Slot Machines complement these. The minimum bet on the London Casino table games is $5, with a maximum bet of $500. However, the maximum bet on Blackjack is set at $2,000 and the minimum bet on roulette is $1.

What`s in the Caribbean Casino?

Fun, fast and colourful, the Caribbean Casino is ideal for the less experienced player. With rows of Slot Machines, Video Poker and table games, the minimum bet starts from just $0.25, with the maximum bet reaching $200. Like the London Casino, the Caribbean Casino features Blackjack, Roulette, Craps, Baccarat, Keno, Video Poker, Pai Gow Poker and Slot Machines, with odds ranging from 3:2 to 36:1.

Offi

[RAZ]

Las Vegas Panel Sees Internet Casinos as Lucrative Investments

by Kevin Ferguson

LAS VEGAS, Nevada – August 2, 2001 --Las Vegas casino operators could be better off launching Internet casinos instead of expanding with real casinos into newer markets if Nevada gaming regulators permit online gambling, a panel of industry analysts said Wednesday.

"We`ve recently seen a decline in return on investment in Las Vegas casinos, culminated by the $1.2 billion Aladdin," said Sebastian Sinclair, an Internet gambling analyst for Christiansen Capital Advisors.

He said a dominant land-based Las Vegas casino operator could launch a site at a minimum cost of $20 million.

That expense would include hardware, software, initial marketing efforts and a staff of 20 to 30 computer technicians.

Sinclair estimates the Internet gambling industry will generate $10.7 billion in 2005.

"That`s assuming some form of U.S. prohibition is passed, and Nevada is the only state that (is exempt)," Sinclair said.

Former U.S. Sen. Richard Bryan said there are four bills targeting Internet gambling being considered in Congress this session. He said, however, he doesn`t expect any of them to pass or even get much debate because of a number of other bills have higher priority. Those include campaign finance reform and education reform.

"(U.S.) Sen. Harry Reid and (Sen.) Tom Daschle set the agenda and none of those (bills) are on the agenda. But that could change," Bryan said. Reid, the minority whip, is a Nevada Democrat. Daschle, a Democrat, is the Senate majority leader from South Dakota.

Sinclair`s $10.7 billion estimate of the 2005 Internet gambling industry falls just short of last year`s Nevada gaming industry revenues: $9.6 billion.

Marc Falcone, a gaming analyst for investment firm Bear Stearns, said if Las Vegas casino operators enter the Internet market by 2003, the state`s gaming revenues should see a 3 percent to 5 percent boost by 2008.

If Las Vegas casinos launch web gambling sites by 2003, Sinclair estimates the Nevada e-gaming industry could garner 15 percent of the market, generating state tax revenue totaling $231 million between 2003 and 2005.

Falcone, Sinclair and Sue Schneider, chief executive of e-gaming research firm the River City Group, were speakers at a Wednesday Las Vegas seminar. They were invited by the Nevada gaming regulators to shed light on the growth of the industry.

Sinclair said Wednesday there are about 4.5 million people gambling on the Internet worldwide. He noted that half of them are gambling on web-based race and sports books, and the other half on cybercasinos and e-lotteries.

Sinclair said the industry could grow to a market of 60 million players, the number of people who play online video games now.

Schneider said that last year there were about 350 companies operating an estimated 1,400 gambling sites. Those numbers will shrink in the coming years due to industry consolidation, the panelists agreed.

Falcone said Internet casinos are a good way to expand casino brands internationally -- not just to gamblers, but also nongaming customers -- by incorporating other e-commerce elements and special vacation deals.

"These sites provide great cross-marketing opportunities," Falcone said. "We`re seeing that in the play-for-fun (casino) sites where people can book hotel rooms and dinner reservations."

Falcone noted that the non-gambling Wagerworks.com, partially owned by MGM MIRAGE, has been gaining a lot of web traffic.

"Players play a long time to win prizes, which drives traffic to their properties," he said.

Falcone said the potential leaders in the Internet casino industry because of brand strength include MGM MIRAGE of Las Vegas, Caesars (owned by Park Place Entertainment Corp. of Las Vegas), Hilton Hotels Corp. and William Hill International, a dominant United Kingdom sports book operator.

So what

RAZ

[butzbutz]

Aus dem BusinessWeek:




AUGUST 13/2001 INSIDE WALL STREET

An Online Crapshoot


Never mind that online gambling is not yet legal in the
U.S. The prospect has fired up some pros who are
positioning themselves for a big play in electronic
wagers. Witness the stock of CryptoLogic (CRYP ),
a leading licensor of online casino software, which
has raced from 10 in early March to 27.70 on Aug.
1.

"CryptoLogic is betting that gamblers will roll the
dice online," says Scott Preston, an analyst at
Research Capital, who rates the stock a buy and
sees it leaping to 40 in a year. CryptoLogic`s premier
software lets casinos extend their operations to the
Internet. The online set-up has a secure, encrypted
cash server for deposits and withdrawals from
customers` accounts to facilitate Web transactions.

CryptoLogic`s big jump was partly due to
applications for licenses by MGM Mirage and Park
Place Entertainment to operate online casinos in
Britain`s Isle of Man. In Nevada, a state Senate
committee cleared a bill that could bring online
gaming there in a couple of years. MGM Mirage
owns the Bellagio and MGM Grand, while Park
Place owns 30 resorts including Caesars Palace in
Las Vegas. "All of these trademarks would translate well onto the Internet,"
says Peter Swan of Pacific Growth Equities.

Net gambling, analysts say, should grow from $1.5 billion in 2000 to $6 billion
by 2003--a fraction of the $350 billion world gambling total. Overseas, online
gambling is already clicking: CryptoLogic has provided software for Casino
Sur in Argentina, and has 750,000 users of its gaming software in Europe,
Asia, the Caribbean, and Australia. The big casinos will reap the bulk of the
business, but CryptoLogic will also see quite a harvest, says Preston, who
figures it will earn $1.33 a share in 2001 and $1.68 in 2002, up from 2000`s
$1.04.


By Gene G. Marcial


butz

[butzbutz]

Sunday, August 05, 2001 - 12:00 a.m. Pacific

Personal Technology: Gaming industry
planning to play cybercasino hand

By Doug Bedell
The Dallas Morning News

DALLAS — If he could, Brian McElvane and his Mississippi poker-playing
buddies would road-trip to Biloxi every night, dig their elbows into the soft
green felt at the Isle of Capri Casino, order up free beer and play Texas
Hold `em until dawn.

Instead, bound to steady jobs hundreds of miles from the nearest casino,
they grab their MasterCards and head to the virtual card room at
www.ParadisePoker.com, a Costa Rica-based operation.

"Staring at a monitor isn`t near as much fun as actually seeing the guys with
their poker pusses, bluffing," said McElvane, a 29-year-old construction
worker. "But we enjoy this online stuff. It keeps us sharp for the real thing."

McElvane and his friends have plenty of company. The Pew Internet and
American Life project estimates that more than 4.5 million Americans have
gambled online at least once. At least 1 million make an Internet gambling
junket every day, the study said.

After downloading game software, players can surrender cash from their
bank debit and credit cards to their choice of more than 250 companies
running an estimated 1,400 casino Web sites.

The act itself is a bold roll of the dice. Many sites are unregulated by any
government. Some disappear, absconding with winnings. Even relatively
stable cybercasinos are often slow to pay out winnings, if they pay off at all,
players say.

But that hasn`t stopped McElvane or his friends. A major segment of the
$40 billion American casino industry has abandoned hope that the offshore
gaming rush to Antigua, Costa Rica, Australia and the United Kingdom will
be quelled by laws or Internet filters.

As a result, casino gamblers in the 38 states with legal games of chance may
soon send their Web browsers — and their money — to Las Vegas.

Many hurdles remain

Nevada`s governor signed a bill last month that could make the state the first
to establish legal click-and-bet Internet casinos. But plenty of legal, moral,
financial and technical hurdles remain before domestic Internet casinos take
flight, experts say.

The U.S. Justice Department considers online casino wagering to be a
violation of the Interstate Wire Act, the 1961 law prohibiting gambling by
telephone on a "sporting event or contest." And there has been one
successful federal prosecution of a defendant involved in taking U.S. wagers
on an Antigua-based bookmaking Internet site.

The new Nevada legislation mandates that the Wire Act`s ambiguity must be
wiped away before any licensing begins.

"We can`t get into the situation where we adopt rules and authorize these
operations, then have indictments," said Nevada Gaming Commission
Chairman Brian Sandoval.

Whether that Wire Act language applies to online casinos may hinge on a
case being considered by the 5th U.S. Circuit Court of Appeals in New
Orleans, said Las Vegas attorney Anthony Cabot, an expert in gaming law.

In it, Visa and MasterCard were accused of aiding violations of the Wire
Act by allowing credit cards to be used for bets at offshore Internet casinos.
In March, a federal judge threw out the government`s charges, saying the
Wire Act language clearly excluded casino wagers.

"If they come down and say it doesn`t apply, that`s a pretty strong
precedent," Cabot said.

If federal legal issues can be resolved, specific agreements would have to be
reached with each state. Critics of online-casino wagering want assurances
that the cost of treating gambling addictions and related social illnesses
would be funded from Nevada profits.

There is no guarantee that offshore gaming software isn`t fixed or otherwise
rigged to maximize profits. Some software vendors have yanked their
products from Internet casinos when player complaints pile up, but that is
little deterrent to the unscrupulous.

Antigua and Costa Rica have stepped up regulatory efforts. But renegade
Web sites can pop up anywhere, then cease operations before any
government can catch them, experts say.

State oversight

Nevada`s efforts, on the other hand, would undergo the same stringent tests
currently applied to its land-based electronic slot machines, state officials
promise. And fairness could be easily monitored on central state gaming
servers, officials said.

U.S. software companies are hustling to recruit game programmers to spice
up their casino offerings. Some software programs include realistic
background noise and allow table chat among players. Craps-shooting
software even features the sound of tumbling dice on felt with each virtual
throw.

But if they`re going to keep those dollars on shore, Nevada will have to
produce innovative ways of ensuring that people in states such as Utah and
Hawaii, where no legal wagering is permitted, are kept out, Sandoval said.

Those in casino-legal states may have to be authenticated by a more precise
method of determining their physical location.

Already, Cabot said, some Nevada sports books are allowing users to dial
in with their modems to a special telephone number. Standard
caller-identification technology is used to make sure a gambler is within
Nevada`s borders when the call is placed.

"We`re already doing some of this interactive stuff," Cabot said.

Satellite security

For a national rollout of Nevada online casinos, several firms are touting the
abilities of small GPS receivers.

Companies, including CyberLocator.com, have begun demonstrating how
these inexpensive, easy-to-install USB devices can pinpoint the location of
any equipped computer using measurements taken from satellite sensors.

CyberLocator Vice President Paul Siegel said the technology is so precise
that it can determine on which corner of the desk a computer is sitting. Up to
this point, Siegel said, his service has been used to ensure that data is
coming from an exact location on oil pipelines and other transmission lines.

But Siegel, a former Bally`s slot-machine sales representative, said his
company has developed a practical method for attaching its equipment
directly to central gaming servers such as those being considered by Nevada
regulators.

When a gambler attempts to enter an online casino via the Web,
CyberLocator`s machine intercepts the transmission, authenticates the
location from the GPS receiver, then permits qualified surfers to continue.
Everybody else is denied access.

Beyond that, a reliable system to verify the age of players would have to be
developed, according to the Nevada Legislature`s charge to its gaming
commission. Underage gaming is a huge potential problem for online
casinos, Sandoval said.

"I will tell you that this is — at least from a public-policy standpoint — the
No. 1 issue in the state of Nevada," Sandoval said.

It may be that a biometric device — perhaps a thumbprint detector that can
match users with a database of authorized gamblers — will have to be
deployed on home computers.

The first Nevada online casino won`t be ready for licensing for more than a
year, experts say. And stiff national opposition is expected to mount as the
prospect nears reality.


butz

[butzbutz]

Monday August 6 7:40 AM ET


INGAPORE (Reuters) - The Asia Pacific region will overtake the United States as the world`s
largest pool of Internet subscribers by 2003, Gartner Dataquest said on Monday.

The research group projects the Asia Pacific region, including Japan, to have 183.3 million net
subscribers in 2003, compared to 162.8 million in the United States.

Western Europe will have an estimated 162.2 million users.

Asia Pacific, however, will lag behind the United States in terms of Internet access revenue for at least
another five years.

By 2005, the Asia Pacific Internet access market will be worth $17.2 billion. The U.S. market will
continue to lead with $21.2 billion.

``This differential between subscribers and access revenue illustrates a major reason why Internet use is
still growing rapidly in Asia Pacific,`` Gartner Dataquest`s senior analyst Andrew Chetham said in a
statement.



``The region has some of the lowest Internet access rates in the world, and prices are still coming down
as a result of competition or, in some cases, government direction.``

U.S. Internet Service Providers (ISPs), which have refrained from slashing prices, will continue to reap
strong revenues as their customers buy higher value services beyond simple net access, Chetham told
Reuters.

The region had 78 million Internet subscribers at the end of 2000 and 248 million are expected by
2005.

Japan, with 24.4 million online, had the largest subscriber base at the end of 2000, followed by South
Korea (news - web sites) (16.7 million), China (14.6 million) and Taiwan (4.6 million).

China is expected to overtake South Korea as the second largest market in the region by this year but
will not overtake Japan until 2003.

By 2005, China and Japan combined will have about 151.5 million subscribers, representing 61
percent of the total Asia Pacific subscriber base.

Chinese ISPs will eventually be among the largest and potentially the most profitable in the world,
Chetham said.

``The ISPs business is about scale. If you`re taking the same revenue from each (customer), but its
costing you less to service each one, that`s the path to profitability,`` Chetham said.

India is expected to have the highest growth rates in the region with average subscriber growth of 44
percent a year between 2001 and 2005.

India will have 21.3 million subscribers by 2005, making it the fourth largest market after China, Japan
and South Korea.

butz
I

[RAZ]

Sportingbet announces further strategic partnership

13/08/2001

Sportingbet.com (UK) plc, the global sportsbook, has signed a five-year strategic partnership with Royaltons (Gibraltar) Limited, a specialist gaming company. The deal expands on existing marketing agreements Sportingbet has and will facilitate organic growth in an important market.

Under the agreement, Royaltons launched www.royaltons.com on 30 July 2001. It is primarily focussed on a pan-European audience offering customers the opportunity to bet on all major global sports including all European football leagues and competitions.

Royaltons is set to establish a significant presence in Europe prior to the World Cup 2002 through strategic partnerships with major media companies. It has already signed agreements to become the `official betting partner` of Sports.com, Eurosport.com and MP Web of the Media Partners Group of Milan, Italy.

Royaltons is a gaming company established in December 2000 by Sandy Becher, Philip Budin and Steve Budin to capitalise on extensive media contacts and operational expertise within the gaming and sportsbetting industry.

The agreements give Royaltons exclusive integration into the actual sports content of the partner sites. In addition to traditional online advertising, links to Royaltons betting opportunities are included in the editorial copy, navigation and interactive games arenas of the sites themselves.

Under the terms of Royaltons` agreement with Sportingbet, Royaltons is responsible for all marketing expenditure in the initial target region of Europe. Sportingbet`s role is to provide all of the risk management, software functionality, financial management and administration, using its existing international software platform and multi-currency online transaction processing. In return, Sportingbet will receive a share of the gross margin on sports betting and casino.

Plans for Royaltons to launch Italian, Spanish and German language versions of www.royaltons.com and an Italian language version of www.europebetting.com are advanced. The sites are anticipated to go `live` in August 2001.

Sandy Becher, president of Royaltons said:

"Sportingbet`s online expertise combined with Royaltons market knowledge will ensure customers and partners receive a first class and culturally relevant sports betting service."

Mark Blandford, managing director of Sportingbet said:

"This type of partnership is an excellent way to increase revenue streams using our existing Sportingbet infrastructure. It is further evidence that Sportingbet`s legal, technical and financial platforms are gaining recognition from within the industry. "


Here we go

RAZ

[Tippee]

Wooing Lady Luck
Women cash in at online lotteries, casino sites

By Kristen Gerencher, CBS.MarketWatch.com
Last Update: 4:22 PM ET Aug. 22, 2001




SAN FRANCISCO (CBS.MW) -- More women are feeling lucky these days, and casino operators and gaming companies are trying to court their dollars from the Las Vegas Strip to the information superhighway.


Casinos have boosted their appeal to women by adding more slot and video poker machines in the last decade, and Internet gaming sites are starting to cash in on gender preferences by offering everything from online bingo to baccarat, experts say.

At GoodAsGoldCasino.com, which offers online craps, slot machines and poker, women now outnumber men 55 to 45, a complete flip from men`s 80 percent lead on related sites in 1998, said Alistair Assheton, managing director of parent company VIP Services in Curacao.

"We didn`t expect to see the female overtake the male quite as quickly," he said.

The company didn`t go out of its way to attract women but did refrain from using promotions that could alienate them, Assheton said.

"There are companies that (put) naked women in their banner ads," he said. "We`ve always tried to market ourselves gender-neutral. The outcome is getting more women."

Distinct patterns

Businesses are learning that men and women approach gambling differently, said Richard McGowan, a Boston College economics professor and author of "Government and the Transformation of the Gaming Industry."

"When most women go gambling, it`s a mindless activity for them. They want to relax," he said, noting that table or so-called skill games typically draw the opposite sex. "When playing blackjack and roulette, there`s a competitive element that men enjoy."

Online gambling faces an extra caveat -- the element of trust. Once consumers determine the game isn`t rigged and that winnings actually are paid out, many play games they may have been too intimidated to try in casinos, Assheton said.

A lot of women learn craps through online tutorials instead of elbowing past men on the floor, he said. "You can sit in your slippers and learn how to play the game."

Last month, women outnumbered men on 13 of the15 most visited sweepstakes and gambling sites rated by Nielsen NetRatings. They clicked their way to a 61-39 ratio on Jackpot.com and checked in at 58-42 on VirtualVegas.com, a subsidiary of Vivendi.

"We didn`t expect the female to overtake the male quite as quickly."

Alistair Assheton,VIP Services


What`s more, women accounted for 71 percent of online bingo players, 53 percent of e-lottery participants and 45 percent of transactions on casino sites, according to early results from the River City Gambler Monitor, which tracked more than 1,800 online users who gamble.

Women also showed more restraint with their purse strings, losing $74 a day on average compared with a typical $161 loss for men.

"That suggests that women are not risking as much or losing as much as men," said Arnold Reymer, president of Reymer Associates, which conducted the River City study.

Lessons learned

Women may use e-gambling sites, most of which are based in the Caribbean, because they`re more likely to shop online as well, said Sebastian Sinclair, vice president of Christiansen Capital in New York.

"Women are generally more active in e-commerce in terms of utilizing sites like EBay and Amazon.com," he said. "They tend to do it more frequently."

They may also flock to the Web as an alternative to the male-dominated environment of European storefront bookies, Sinclair said. Many offshore sites reported that 20 percent of their clients were women, four times the number that appear in betting shops, he said.

Legal questions

"Historically, people would not have presumed that women were prone to gambling."

Marc Falcone,Bear Stearns


As state governments in the U.S. consider legalizing online betting, with Nevada coming closest, women already account for a larger share of e-betting than projected, said Marc Falcone, a gaming analyst at Bear Stearns.

"The statistics were surprising to us that more women than men were gambling online," Falcone said of a March report that found women comprised about two-thirds of Caribbeangold.com`s customers. "Historically people would not have presumed women were prone to gambling."

The stakes could be huge. Industry analysts expect electronic gambling to win big in the next few years as politicians and the industry work out legal challenges and regulatory concerns over how to keep minors and people from states that prohibit e-wagering from abusing the system.

While online gambling accounts for 1 percent of the market with $2.2 billion in global consumer bets, Sinclair projects it will someday exceed the $60 billion U.S. land-based betting industry.

Meanwhile, MGM Mirage (MGG: news, chart, profile) has applied for a license to do online business on the Isle of Man, where e-wagering is legal. Harrahs Entertainment (HET: news, chart, profile), however, is keeping a low profile on the subject.

Harrahs won`t support proposals authorizing Internet gambling until "certain regulatory safeguards" are in place, spokeswoman Dawn Christensen said.

In the interim, both MGM Mirage and Harrahs offer "play-for-fun" sites where consumers can redeem their winnings in discounts and freebies at the casinos.

On the sporting side, Internet gambling on horseracing on sites such as Youbet.com (UBET: news, chart, profile) and TVG is now legal in most states, with California signing on as No. 40 last week.

Horse betting draws $18 billion in wagers, and many of the betters are men. It`s a shrinking market that hasn`t seen the same influx of women as other gambling games.

Said Sinclair: "It`s still pretty much an old boys` club."

[Tippee]

Wooing Lady Luck
Women cash in at online lotteries, casino sites

By Kristen Gerencher, CBS.MarketWatch.com
Last Update: 4:22 PM ET Aug. 22, 2001




SAN FRANCISCO (CBS.MW) -- More women are feeling lucky these days, and casino operators and gaming companies are trying to court their dollars from the Las Vegas Strip to the information superhighway.


Casinos have boosted their appeal to women by adding more slot and video poker machines in the last decade, and Internet gaming sites are starting to cash in on gender preferences by offering everything from online bingo to baccarat, experts say.

At GoodAsGoldCasino.com, which offers online craps, slot machines and poker, women now outnumber men 55 to 45, a complete flip from men`s 80 percent lead on related sites in 1998, said Alistair Assheton, managing director of parent company VIP Services in Curacao.

"We didn`t expect to see the female overtake the male quite as quickly," he said.

The company didn`t go out of its way to attract women but did refrain from using promotions that could alienate them, Assheton said.

"There are companies that (put) naked women in their banner ads," he said. "We`ve always tried to market ourselves gender-neutral. The outcome is getting more women."

Distinct patterns

Businesses are learning that men and women approach gambling differently, said Richard McGowan, a Boston College economics professor and author of "Government and the Transformation of the Gaming Industry."

"When most women go gambling, it`s a mindless activity for them. They want to relax," he said, noting that table or so-called skill games typically draw the opposite sex. "When playing blackjack and roulette, there`s a competitive element that men enjoy."

Online gambling faces an extra caveat -- the element of trust. Once consumers determine the game isn`t rigged and that winnings actually are paid out, many play games they may have been too intimidated to try in casinos, Assheton said.

A lot of women learn craps through online tutorials instead of elbowing past men on the floor, he said. "You can sit in your slippers and learn how to play the game."

Last month, women outnumbered men on 13 of the15 most visited sweepstakes and gambling sites rated by Nielsen NetRatings. They clicked their way to a 61-39 ratio on Jackpot.com and checked in at 58-42 on VirtualVegas.com, a subsidiary of Vivendi.

"We didn`t expect the female to overtake the male quite as quickly."

Alistair Assheton,VIP Services


What`s more, women accounted for 71 percent of online bingo players, 53 percent of e-lottery participants and 45 percent of transactions on casino sites, according to early results from the River City Gambler Monitor, which tracked more than 1,800 online users who gamble.

Women also showed more restraint with their purse strings, losing $74 a day on average compared with a typical $161 loss for men.

"That suggests that women are not risking as much or losing as much as men," said Arnold Reymer, president of Reymer Associates, which conducted the River City study.

Lessons learned

Women may use e-gambling sites, most of which are based in the Caribbean, because they`re more likely to shop online as well, said Sebastian Sinclair, vice president of Christiansen Capital in New York.

"Women are generally more active in e-commerce in terms of utilizing sites like EBay and Amazon.com," he said. "They tend to do it more frequently."

They may also flock to the Web as an alternative to the male-dominated environment of European storefront bookies, Sinclair said. Many offshore sites reported that 20 percent of their clients were women, four times the number that appear in betting shops, he said.

Legal questions

"Historically, people would not have presumed that women were prone to gambling."

Marc Falcone,Bear Stearns


As state governments in the U.S. consider legalizing online betting, with Nevada coming closest, women already account for a larger share of e-betting than projected, said Marc Falcone, a gaming analyst at Bear Stearns.

"The statistics were surprising to us that more women than men were gambling online," Falcone said of a March report that found women comprised about two-thirds of Caribbeangold.com`s customers. "Historically people would not have presumed women were prone to gambling."

The stakes could be huge. Industry analysts expect electronic gambling to win big in the next few years as politicians and the industry work out legal challenges and regulatory concerns over how to keep minors and people from states that prohibit e-wagering from abusing the system.

While online gambling accounts for 1 percent of the market with $2.2 billion in global consumer bets, Sinclair projects it will someday exceed the $60 billion U.S. land-based betting industry.

Meanwhile, MGM Mirage (MGG: news, chart, profile) has applied for a license to do online business on the Isle of Man, where e-wagering is legal. Harrahs Entertainment (HET: news, chart, profile), however, is keeping a low profile on the subject.

Harrahs won`t support proposals authorizing Internet gambling until "certain regulatory safeguards" are in place, spokeswoman Dawn Christensen said.

In the interim, both MGM Mirage and Harrahs offer "play-for-fun" sites where consumers can redeem their winnings in discounts and freebies at the casinos.

On the sporting side, Internet gambling on horseracing on sites such as Youbet.com (UBET: news, chart, profile) and TVG is now legal in most states, with California signing on as No. 40 last week.

Horse betting draws $18 billion in wagers, and many of the betters are men. It`s a shrinking market that hasn`t seen the same influx of women as other gambling games.

Said Sinclair: "It`s still pretty much an old boys` club."

[butzbutz]

Senator Kyl wird wieder aktiv!!



Senator Jon Kyl (R-ARIZ) vows to make internet gambling illegal in this Congress.

Internet betting called `crack cocaine of gambling`

By TIM PRICE
Star-Telegram Staff Writer

A click of the computer mouse can buy a lot for the Internet-surfing sports fan. Buy an
autographed jersey. Buy tickets to a game.

Buy some action. Sweat out a bet.

It figures that when the football season rolls into high gear next month, a growing number of
people will be keeping one eye on the network television preview shows when the topic is point
spreads and the other eye on the computer. The live bookie who could be reached with a phone
call can be replaced by an online bookmaker with an Internet address.

http://www.bettingonthenet.scriptmania.com/GamingNews.html

butz

[butzbutz]

Wednesday September 5, 4:17 pm Eastern Time

Press Release

SOURCE: CryptoLogic Inc.

Mid Quarter Update: CryptoLogic Advances Towards
Certification In Isle Of Man & Alderney And Maintains
Third Quarter 2001 Guidance

Focus On Safe, Secure and Regulated Gaming Continues to
Differentiate Internet Software Leader

TORONTO--(BUSINESS WIRE)--Sept. 5, 2001-- CryptoLogic Inc. (NASDAQ:CRYP
- news; TSE:CRY. - news), a leading software supplier to the Internet gaming and
e-commerce industries, today announced that it has commenced the certification process in
the Isle of Man and Alderney -- major new markets the British government recently opened
up for regulated Internet gaming that have attracted some of the most recognized names in
the gaming industry.

As part of its ongoing commitment to regulatory compliance for safe and secure online
gaming, the company also advised that it has swiftly resolved a recent system intrusion with
minimal impact.

``At CryptoLogic, we`re excited by the growth of responsible and regulated online gaming
around the world,`` said Jean Noelting, CryptoLogic`s president and CEO. ``We`ve made no
secret of our commitment to high standards in security and our belief in regulating the industry
for the benefit of everyone.``

CryptoLogic is in the final stages of certification in Australia -- widely seen as the world`s
strictest regulatory model. The company has now commenced the compliance process in the
Isle of Man and Alderney, which are both highly regulated environments for online gaming.
Given our significant investments in Australia, CryptoLogic believes it is well positioned to
meet the requirements in these two jurisdictions in a shorter timeframe and expects that
software certification in the Isle of Man will be completed by year-end.

Thanks to CryptoLogic`s comprehensive security system and compliance processes, the
company promptly detected and resolved a recent system intrusion that caused higher win
rates in certain games. There was no compromise of player information, no disruption of
service and players were paid out in the normal course. The company`s effective detection
systems and response procedures minimized exposure to the organization and its customers
to a net impact of US$600,000, after an expected insurance claim of US$1.3 million.
CryptoLogic`s solid performance earlier in the quarter and strong current momentum are
expected to offset the impact resulting from this incident. Management anticipates financial
results will remain on target with its guidance for the third quarter -- i.e. projected revenue of
US$9.7-$10.2 million and net income of between US$4.2-$4.6 million well ahead of the
2000 third quarter of US$8.1 million in revenue and US$2.6 million in net income.

CryptoLogic has followed self-regulation practices since its early days including annual IT system reviews as well as ongoing
probity performed through KPMG. The company`s commitment to regulatory compliance raises the bar by subjecting
CryptoLogic to rigorous, external monitoring and audits by government regulators.

``Among our clients, CryptoLogic is one of the most conscientious with regards to probity of its licensees and employees,`` said
Norman Inkster, global managing partner of KPMG`s Forensic and Litigation Unit. ``They have always emphasized the
importance of strong external and internal security practices and take seriously our recommendations that further enhance their
operation and software.``

About CryptoLogic Inc.

CryptoLogic Inc. is the leading software development company serving the Internet gaming market. The company`s proprietary
technologies enable secure, high-speed financial transactions over the Internet. CryptoLogic continues to innovate and develop
state of the art Internet software applications for both the electronic commerce and Internet gaming industries.

CryptoLogic`s common shares trade on the Toronto Stock Exchange under symbol the CRY and on the Nasdaq National
Market under the symbol CRYP. There are currently 13.2 million common shares outstanding (15.8 million shares fully
diluted).




butz

[butzbutz]

Nicht `grad erfreulich für CryptoLogic !



HERE IS THE ARTICLE, ENJOY IT!

Long Odds on Gaming Software Company CryptoLogic

By Herb Greenberg
Senior Columnist
09/28/2001 11:05 AM EDT


Just what kind of company is Toronto-based CryptoLogic (CRYP:Nasdaq - news - commentary
- research)? It holds itself out as an Internet gaming software development and licensing
company with operations in Canada, Antigua and other countries.

But short-sellers and others are asking whether CryptoLogic is really little more than a turnkey
Canadian online gaming company that provides all aspects of online gaming for its "licensees"
-- from keeping records to operating games, to collecting and paying out money to and from
licensees and players.

If it`s the latter, CryptoLogic could face trouble. In its annual report the company itself warns:
"Existing legislation, including state and federal statutes, could be construed to prohibit or
restrict gaming through the use of the Internet, and there is risk governmental authorities may
view the Company`s licensees or the Company as having violated such statutes. There is a risk
that criminal and civil proceedings could be initiated in such jurisdictions against the Company`s
licensees or the Company."

Boilerplate? Sure, but it`s boilerplate with new meaning in light of what happened to Starnet
Communications International, now called World Gaming Plc (WGMGY:news
commentary - research), a fellow Canadian "developer and provider of Internet gaming
systems" that, like CryptoLogic, had operations in both Canada and Antigua. On Aug. 16,
Starnet pleaded guilty to "keep(ing) a device for gambling or betting" at or near "Vancouver ...
Antigua, Barbuda, and elsewhere" that included "computer services and computer applications
operating on a computer system, or systems, which systems, when accessed via the Internet,
enabled persons to engage in gambling or betting, contrary to section 202(1)(b) of the Criminal
Code of Canada."

How is CryptoLogic different? According to a CryptoLogic spokeswoman, "the hub" of Starnet`s
operations was in Canada. By contrast, she says, CryptoLogic`s operations are spread around
the world and aren`t operated directly by CryptoLogic. "That`s all done through licensing
arrangements of software and services," she says. She adds that CryptoLogic`s only
operations in Toronto are for research and development, system monitoring, and to serve as a
backup for the company`s Ecash operation, which facilitates secure credit card transactions
over the Internet.

Still, after taking a closer look, it`s unclear where the real hub of CryptoLogic is. That`s a critical
point in Canada, where prosecutors say no court cases have tested online gaming laws, and
where CryptoLogic houses roughly 90 of its 125 employees. As Patricia Donald, the prosecutor
in the Starnet case, told my associate, Brian Harris, the burden of proof is "whether a significant
portion of the activities that constitute the offense took place in Canada." The "significant
portion" test, she says, means whether an activity couldn`t take place anywhere else without
passing through Canada. CryptoLogic claims it merely monitors its gaming systems from its
offices Toronto, and that the gaming servers themselves are owned and operated by the
licensees in jurisdictions like Antigua and Curacao, where online gaming is legal.

However, a trace of all CryptoLogic`s licenses via Visualware.com, which pinpoints the
geographic location of servers that control Web sites, shows that at least one server for
CryptoLogic`s largest licensee, InterCasino, is in Germany, where the legality of online gaming
is uncertain. Another trace, this time of licensee, Casino Monte Carlo, shows that its server is in
Vancouver. Canada, in fact, even Toronto, appears to be the server base for several other
licensees as well. Another server showed up in Hoboken, N.J.; online gambling in the U.S. is
illegal.

Why are servers located in countries where online gambling is illegal? CEO Jean Noelting says
they aren`t -- at least not the servers that handle the actual gaming. Instead, he says, the
servers we found are the so-called "Web servers," which support the home Web site for a
licensee. That`s not where the gambling is actually done. By clicking through the Web site, a
gambler is taken to a "download" site (which is another server, often in another location) and
then to the gambling server, which might be somewhere else.

"In fact, it came completely as a surprise to me that one [Web server] was in Canada," Noelting
told Brian. What about the one in Germany? "That`s a redundant site," CFO Harvey Solursh
says. Redundant? "It`s the backup site that`s there, in case something happens to the server."
Noelting, however, says: "There`s actually no backup servers in Germany. It turns out to be the
Web server for InterCasino to the best of our -- what we have seen. There`s absolutely no
gaming being played there. You can have our assurances of that."

Maybe, but CryptoLogic licensee Claude Levy, who runs Casino Monte Carlo, says that to
download gaming software, users on his Web site need to click through to a server called
Adwarehouse.com. Guess what? A trace on Adwarehouse.com shows that it`s located in
Toronto. (Stay with me here; remember, we`re trying to figure out where the hub of all of these
operations is.) Adwarehouse, in turn, lists its administrative and billing contact on Verisign`s
Internet registry as a company called Intertainet Overseas Licensing, which is based in Cyprus.
(Cyprus?!) It just so happens that Intertainet shares the same address and phone number as
CryptoLogic`s wholly owned licensing subsidiary, WagerLogic. WagerLogic, it turns out, owns
the name for licensee InterCasino, which generates 75% of CryptoLogic`s revenue. And who is
the technical contact for InterCasino? It`s none other than Alex Specogna, a technical support
employee of CryptoLogic. Specogna is also the technical contact for Adwarehouse.com, and
Intertainet is also the billing and administrative contact for InterCasino. (Head spinning yet?)

So, CryptoLogic claims not to own any of its licensees, yet its subsidiary owns the name of its
largest licensee, one of its employees is the technical contact for its largest licensee, and the
administrative and billing contact for its largest licensee is a company that shares the address
and phone number of its wholly owned subsidiary, WagerLogic? Noelting says it`s simply part of
the "full turn-key" services that CryptoLogic offers.

That gets back to the question of where the hub is and who is operating what.

That`s not all: InterCasino used to be run by Bill Scott, a former Toledo bookie who, according to
articles in The Wall Street Journal, served time in federal prison on racketeering charges.
CryptoLogic says about a year ago that Scott sold InterCasino at CryptoLogic`s urging. "He`s
not a bad person," the spokeswoman says, "but certainly with the legislation in the United
States being certainly not favorable to sports book ... his track record certainly would not meet
with our standards."

Who did Scott sell to? A company run by none other than Chad Zwayer, his former son-in-law.
And while Scott no longer owns InterCasino, he isn`t that far removed from it. InterCasino`s
Antigua office is at the same address as World Wide Tele Sports, which was founded by Scott.
CryptoLogic`s spokeswoman says that`s because Antigua is a small island with a lot of gaming
organizations and few office buildings. An official with World Wide Tele Sports didn`t return
Brian`s call. If they`re separate, why does World Wide Tele Sport`s Web site direct questions
about accounts, technical issues and marketing inquiries to an email address at InterCasino?
Does that mean World Wide Tele Sports still operates the accounting, support and marketing
functions for InterCasino -- or vice versa? "Not at all," the spokeswoman says. "Not at all. It is
completely independent."

Independence, of course, is in the eye of the beholder.


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Saturday, September 29, 2001
Copyright © Las Vegas Review-Journal

INTERNET GAMING: Analyst
criticizes Web casino delay

Billions at stake, expert claims

By JEFF SIMPSON
lasvegas.com GAMING WIRE

Nevada and its casino operators stand to lose billions in casino and tax
revenue if implementation of rules allowing the firms to operate Web
casinos are delayed, a gaming industry analyst said this week.

"I respect the concerns of Park Place and Harrah`s about bringing
gambling into the home," said Sebastian Sinclair, vice president and
Internet gambling industry analyst for Christiansen Capital Advisors.

"I differ because I recognize the inevitability of Internet gambling," Sinclair
said. "I would be selling shares in these companies because they`re not
representing the interest of their shareholders."

Park Place Chief Executive Officer Tom Gallagher declined to respond to
Sinclair`s remark.

But Harrah`s spokesman Gary Thompson said the company always keeps
the interests of its shareholders in mind.

"We`re not going to make decisions rashly, because we have some
specific concerns about Internet gaming," Thompson said, mentioning
questions about the reliability of technology Internet casinos would use to
keep children from gambling and worries that cybercasinos would violate
states` rights to prohibit their citizens from betting. "Until those issues are
resolved, we`re not going to just jump in."

Sinclair`s comments came as about 500 Internet casino operators,
software developers and industry analysts attended the first Interactive
Gaming Expo on Thursday and Friday at Bellagio.

Nevada Gaming Control Board member Scott Scherer said he thinks Park
Place and Harrah`s executives are being responsible, not wanting to risk
their dozens of land-based casinos.

"They have billions in investments in bricks and mortar casinos," Scherer
said. "Am I glad (MGM Mirage plans on operating a Web casino from the
Isle of Man)? No. We`d prefer they stay in the state. But they`re free to go,
as long as they (comply with all applicable laws)."

Las Vegas gaming lawyer Tony Cabot said that because major Nevada
casino operators have different interests he expects the firms to support
different strategies for the state`s move toward regulating Web casinos.

State lawmakers passed a bill in June allowing the Nevada Gaming
Commission to craft rules allowing state casino operators to operate
Internet casinos, providing key conditions were met. The commission must
decide that Nevada-based Web casinos comply with all applicable federal
and state laws.

Cabot said he expects Las Vegas locals-casino operators to lobby in favor
of "a go-slow approach."

The locals operators will advocate that the state only allow intrastate Web
casino betting, bets from within Nevada`s borders, Cabot predicted.

Cabot anticipates that operators with a broad domestic market with no
interest in expanding internationally will come out against Web gambling.

A third group, domestic operators with an interest in international
expansion, will support Internet gambling on the fullest basis possible, he
said.

Eugene Christiansen, chief executive officer of Christiansen Capital
Advisors, said the different positions taken by casino executives on
Internet gambling illustrates the murkiness of the issue.

"On almost any other issue, two casino executives given the same choices
would make the same decision," Christiansen said. "Here you have chief
executives who`ve come to different conclusions about how shareholders
are served. It`s pretty clear that Terry Lanni has called it differently than
(Harrah`s Chairman) Phil Satre. But I think both men have their
shareholders` interests at heart."

But Christiansen`s subordinate Sinclair was blunter.

"Terry Lanni`s going to eat everybody else`s lunch," Sinclair said.

Advised of Sinclair`s forecast, Park Place`s Gallagher cited an anecdote
from his time working for Merv Griffin at Resorts International in Atlantic
City.

"Whenever I hear someone make a foolish comment it reminds me of a
story a few years back in the middle of a dispute between Merv Griffin and
Donald Trump," Gallagher said.

"Trump wrote a nasty letter to Griffin, and Griffin wrote a letter back. `It`s
obvious some idiot`s gotten hold of your stationery,` Griffin wrote. Trump
had the class to respond by writing: `You`re right, some idiot did get hold
of my stationery.` "



This story is located at:
http://www.lvrj.com/lvrj_home/2001/Sep-29-Sat-2001/business/…


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OT: (BSNS WIRE) Boss Media Sells License to UK`s Leading Independent Bookmaker
Boss Media Sells License to UK`s Leading Independent Bookmaker


Business Editors

VAXJO, Sweden--(BUSINESS WIRE)--Oct. 4, 2001--Boss Media is
pleased to announce that it has sold an online casino license to The
Victor Chandler Group. Victor Chandler has been established as a
bookmaker for over 50 years with operations throughout Asia, as well
as the UK.
"We chose Boss Media because of the quality of their
market-leading product," says Victor Chandler, who currently chairs
the Group and is the grandson of the founder by the same name. "Boss
Media will help us to achieve our strategy of continued growth and
build upon our established online business. We will now be able to
offer multilingual and multicurrency versions of the online casino,
thus enabling us to move into new markets."
"This is an important order for Boss Media," says Peter
Bertilsson, Chief Executive Officer at Boss Media. "Entering into a
contract with a company with such vast experience in the gaming arena
is also of great importance to us. It gives us the opportunity to
refine our product even further in order to meet the needs of our
customers." Bertilsson also refers to the fantastic opportunities
which combining a casino and a sportsbook entail.
The first version of the online casino will be launched later this
year.

Victor Chandler is UK`s leading independent bookmaker. It was
established in London in 1946. The group`s operations office is in
Gibraltar, and it employs 350 members of staff. The Group currently
covers all major sports worldwide including, soccer, golf, horse
racing, rugby, NFL, NHL, NB, and baseball, and it operates across
Europe, Asia. More information can be found on
http://www.victorchandler.com

The Boss Media Group is a leading provider of solutions for casino
operations on the Internet. Potential licensees are offered a
selection of customized client-server system, an integrated payment
system, and the maintenance and administration services necessary for
the successful operation of an Internet casino. Boss Media AB (publ)
is a publicly traded company listed on the OM Stockholm Exchange`s
O-list (Attract 40). More information about Boss Media is found on the
company`s web site: http://www.bossmedia.se

Note to Editors: This press release is also accessible online at
www.Waymaker.net.

--30--nm/na*

CONTACT: Boss Media
Ulrika Persson, [phone] or [phone]
(fax) [phone]
[e-mail]

KEYWORD: UNITED KINGDOM SWEDEN INTERNATIONAL EUROPE
INDUSTRY KEYWORD: E-COMMERCE GAMING INTERNET
MARKETING AGREEMENTS

Today`s News On The Net - Business Wire`s full file on the Internet
with Hyperlinks to your home page.
URL: http://www.businesswire.com


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OT: The Eyes Of Wall Street Will Focus on Gaming at the 15th Annual World Gaming
Congress and Expo
Seminar Series to Address Current Financial State of Industry
LAS VEGAS, Oct. 4 /PRNewswire/ -- Responding to the very latest economic conditions, the
World Gaming Congress and Expo (WGCE), the world`s largest and most established
international trade show for the gaming industry, has redesigned one of the seminars
scheduled for its upcoming trade show.

The ``Wall Street Eyes Gaming Panel`` has been restructured to specifically address the
current financial state of the industry and present possible solutions as to what can be done to
pull through these tough times.

WGCE runs October 17-19 at the Sands Expo & Convention Center in Las Vegas. The new,
timelier ``Wall Street`` seminar is presented October 17 at 10:15-11:15 a.m. Moderating the
panel is Joe Weinert, casino business reporter with The Press of Atlantic City.


Panelists include:

* Jason Ader, Senior Managing Director, Bear Stearns
* Larry Klatzkin, Senior VP, Jeffries & Co.
* Andrew Zarnett, Deustche Banc
* Raymond Cheesman, Senior VP, Jeffries & Co.
* Dennis Forst, Managing Director, McDonald Investment (Los Angeles)
* John Kempf, Vice President, Goldman Sachs (New York)
* John Leupp, Director, Credit Suisse First Boston of New York


``We always have the needs of the industry at the forefront of our minds, and in light of the
current financial situation, it was very appropriate to redesign this seminar to address the tough,
timely issues facing the industry,`` said Brian Vargas, Senior Vice President Trade Shows for
GEM Communications, producer of WGCE.

WGCE, the world`s largest international gaming trade show, will be held October 17-19 at the
Sands Expo Center in Las Vegas. For registration and information, visit
http://www.worldgamingcongress.com or call [phone], ext. 6319.

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No More U.K. Betting Tax
- October 05, 2001
link: http://www.rgtonline.com/root_index.asp?BodyLoc=/headl…

UNITED KINGDOM –Oct. 5, 2001 – As reported by This is London: “It is impossible to
overestimate the importance of the historic event that will take place tomorrow, Saturday 6
October - known to some of us as Abolition Day. Chancellor Gordon Brown`s wise and
benevolent scheme to end betting duty, unveiled in his spring Budget, comes into effect.

”For millions of gamblers throughout the country this is an act of liberation of more
importance than the arrival of the contraceptive pill in 1961 or the fall of the Berlin Wall.
Some of the more enlightened punters might concede that the abolition of the slave trade
was of greater moment, but hardened gamblers would dispute this.

”Betting tax was imposed by Winston Churchill in 1926, the year of the General

”Churchill`s decision reflected the prevailing attitude of the public that enjoyment was
wrong..

”Attitudes have changed.

”…But until this week`s momentous announcement, gambling has been penalised.

”Governments of all colours have until now failed to recognise that Britain has become a
nation of gamblers.

”…Gordon Brown can list many achievements as Chancellor. But it is a pleasing irony that
the greatest of them all has been to lift the tax on gambling. Tomorrow, gamblers
everywhere will lift their glasses and drink a heartfelt toast to dour, granite-faced Gordon,
the man who gave them their freedom.”

What readers said about this story...

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OT: (BSNS WIRE) Chartwell Reaches Profitability in Third Quarter
Chartwell Reaches Profitability in Third Quarter


Business Editors/High-Tech Writers

CALGARY, Alberta--(BUSINESS WIRE)--Oct. 9, 2001--Chartwell
Technology Inc. (CDNX: CWH) a leading provider of interactive media
and information systems for companies engaged in the Internet gaming
industry, announces results for the three and nine month periods ended
July 31, 2001.
The third quarter ended July 31, 2001 represents a significant
milestone in Chartwell`s development as our first profitable or
break-even quarter. While we do not expect to show a profit for the
fiscal year, our break-even quarter represents a validation of both
our business plan and our unique business model. For any start-up
technology company, the first break-even quarter marks a transitional
point from a development focus to more of a product based business
from which sustained growth and profitability can be achieved. Our
business model precludes participation in the online gaming business
of our clients.
Our development focus during the quarter centered on the expanded
functionality of our administrative software to provide operators with
more promotional and reporting tools. We also released the beta
version of our new Flash casino games and Bingo product. Our Flash
product is the next step in our plan to deliver the broadest selection
of Internet platforms and access options which will be rounded out
with the release of our Java download Casino product later this year.
Revenues for the third quarter were $928,663, an increase of 255%
over the corresponding period of the previous year and a 54% increase
over the preceding quarter. The majority of revenues were generated by
our subsidiary company, Chartwell Games Corp. through software
licensing and development fees. Expenses for the quarter were
$926,911, an increase of 11% over the prior year and an increase of 7%
from the preceding quarter. The majority of these expenses related to
software development.
Chartwell posted a profit of $1,752 for the third quarter compared
with a loss of $574,133 in the corresponding period of the prior year
and a loss of $961,098 in the preceding quarter. Expenses related to
software development are not capitalized. Working capital at the end
of the period was $7,283,128.
Our objectives for the fourth quarter will be to release the
commercial version of our Flash casino and bingo products and to
continue the expansion of our customer base on which we expect to
achieve a profitable fiscal 2002. We are confident that we will meet
these objectives during the fourth quarter.
Our continued dedication to development, evidenced by our Flash
and Java v3.0 Online Gaming software releases have reaffirmed our
position as the leading supplier of in-browser software to the
Internet gaming and entertainment industries.

Chartwell Technology Inc. specializes in the development of
leading edge gaming applications and entertainment content for the
Internet. Chartwell`s Java and Flash based software products and games
are designed for deployment in gaming, entertainment, advertising and
promotional applications. Chartwell does not participate in the online
gaming business of its clients. Chartwell`s team of highly trained
professionals is committed to delivering the highest quality software
and maintaining its leading edge through continuous development and
unparalleled customer support.

Chartwell invites you to preview and play our games at:
www.chartwelltechnology.com

The Canadian Venture Exchange has neither approved nor disapproved
the information contained herein.

Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995: The statements contained herein which are not
historical fact are forward-looking statements that are subject to
risks and uncertainties that could cause actual results to differ
materially from those expressed in the forward-looking statements,
including, but not limited to, certain delays in testing and
evaluation of products, regulation of the online gaming industry, and
other risks detailed from time to time in Chartwell`s filings with the
Securities & Exchange Commission. We assume no responsibility for the
accuracy and completeness of these statements and are under no duty to
update any of the forward-looking statements contained herein to
conform these statements to actual results. This is not an offer to
sell or a solicitation of an offer to purchase any securities.

--30--as/cgo*

CONTACT: Chartwell Technology Inc.
David Bajwa, 877/669-4180 or 604/669-4180
[e-mail]
URL: www.chartwelltechnology.com

KEYWORD: INTERNATIONAL CANADA
INDUSTRY KEYWORD: ELECTRONIC GAMES/MULTIMEDIA INTERNET SOFTWARE
EARNINGS
SOURCE: Chartwell Technology Inc.

Today`s News On The Net - Business Wire`s full file on the Internet
with Hyperlinks to your home page.
URL: http://www.businesswire.com




*** end of story ***

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Anti-Terrorism Bill Is Approved
Bush Cheers House`s Quick Action, but Civil Liberties Advocates Are Alarmed

By John Lancaster
Washington Post Staff Writer
Saturday, October 13, 2001; Page A01

Bottom line: The anti-internet gambling language is opposed by Dick Armey and the banks/cc
companies, and civil liberties advocates. The bill would place a burden on the banking industry
to comply. Legislators are reluctant to oppose the bill since it is linked to anti-terrorism. We will
know early next week what changes were made in committee. Fingers crossed.


The House yesterday approved a far-reaching anti-terrorism bill that in most respects mimics
legislation that cleared the Senate late Thursday, conferring broad new powers on law
enforcement and intelligence agencies to conduct domestic surveillance and share information
with each other.

In contrast to the Senate version, several of the more controversial aspects of the House bill --
relating to wiretapping and other forms of electronic surveillance -- would expire after five years,
at which time they would have to be renewed.

The Senate bill also includes a comprehensive set of money-laundering provisions that House
leaders have elected to consider as separate legislation. Those and other, smaller differences
will have to be reconciled in a conference committee before President Bush can sign the
measure, although that could happen as early as next week.

The blistering pace of the legislation through Congress shows just how much the Sept. 11
attacks on the World Trade Center and the Pentagon have altered the political landscape in
Washington. Many of the provisions contained in the House and Senate bills have been sought
for years by prosecutors, but were rejected by Congress as overly intrusive and possibly
unconstitutional. Now lawmakers are eager to accommodate the wishes of the FBI and CIA --
alarming civil liberties advocates who warn that Congress is being stampeded into decisions it
will later regret.

Bush commended the House`s quick action. "I urge the Congress to quickly get the bill to my
desk," Bush said. "We must strengthen the hand of law enforcement to help safeguard America
and prevent future attacks -- and we must do it now."

Despite the lopsided nature of yesterday`s 337 to 79 vote, many lawmakers were less than
thrilled with the process that led up to it. Democrats and some Republicans considered the
Senate bill`s safeguards on civil liberties inferior to those in a homegrown compromise version
passed 36 to 0 last week by the House Judiciary Committee. But the Bush administration
strongly preferred the Senate bill, which grew out of intensive negotiations led by Attorney
General John D. Ashcroft and Senate Judiciary Committee Chairman Patrick J. Leahy (D-Vt.).

On Thursday, House Speaker J. Dennis Hastert (R-Ill.) yielded to White House requests to
substitute the Senate text for the House version, prompting Democrats to accuse Republican
leaders of betraying the cooperative spirit that both say they want to preserve in the aftermath of
the Sept. 11 attacks.

Rep. Barney Frank (D-Mass.), a member of the judiciary panel, denounced the maneuvering
that led up to yesterday`s vote as "the least democratic process for debating questions
fundamental to democracy I have ever seen."

"What we decided to do in committee, correctly, was to give the law enforcement officials all
the expanded powers they asked for," he added. "But we simultaneously tried to put into effect a
full set of safeguards to minimize the chance that human beings . . . would abuse that power.
The problem is that the bill before us today preserves the fullness of the powers but
substantially weakens the safeguards."

House Judiciary Committee Chairman F. James Sensenbrenner Jr. (R-Wis.) defended the
decision to jettison the bill. The Senate bill, he noted, was a bipartisan measure that passed 96
to 1 and had been circulating in draft form for more than a week. "We`re really not dealing with
new ideas here," he said.

The Senate initially had gone considerably further than the House in accommodating the
proposals outlined in draft legislation that Ashcroft delivered to Congress last month. Now, the
differences have mostly been eliminated in negotiations -- among Sensenbrenner, Hastert and
White House officials -- that did not conclude until 1 a.m. yesterday.

Both bills, for example, would allow "roving wiretaps" in intelligence investigations covering
multiple telephones, as opposed to a single line; make it easier for investigators to track phone,
e-mail and Internet traffic; and -- perhaps most important -- permit prosecutors to share grand
jury and wiretap transcripts with intelligence agencies.

Both also include a number of relatively uncontroversial changes, such as more stringent
criminal penalties for terrorism and beefed-up security along the U.S.-Canadian border. But
both chambers drew the line at an administration proposal that would have, under some
circumstances, permitted the indefinite jailing without trial of noncitizens suspected of
involvement in terrorism. Instead, they limited the detention time to seven days, after which
suspects would have to be charged or released.

Unlike the Senate legislation, the House bill passed yesterday preserves the so-called sunset
clause under which electronic surveillance provisions would expire after three years. The
president could renew them for two more -- in effect, a five-year option.

In any event, the point does not seem insurmountable. Leahy has said he would be open to
adding a sunset clause in conference negotiations.

Potentially more troublesome is the different approach taken by each chamber to
money-laundering. The Senate bill includes a number of measures -- some of which have been
blocked by banking industry lobbyists in recent years -- aimed at disrupting the ability of
terrorists to move money across borders. The House Committee on Financial Services this
week passed a money-laundering bill that included essentially the same provisions; many
lawmakers had argued for folding them into the anti-terrorism legislation as the Senate has
done.

"You can`t deal with counterterrorism if you don`t deal with money-laundering, and so to divorce
the two is preposterous," Senate Majority Leader Thomas A. Daschle (D-S.D.) said yesterday.

But House Majority Leader Richard K. Armey (R-Tex.) has resisted that approach in part,
congressional sources say, because he is troubled by a provision in the House
money-laundering bill that would restrict Internet gambling, Credit card banks oppose the
provision. Armey previously objected to some money-laundering proposals as posing potential
threats to privacy. At the same time, these sources say, neither Armey nor any other lawmaker
wants to be seen as protecting the banking industry at the expense of national security.

Staff writer Kathleen Day contributed to this report.



© 2001 The Washington Post Company

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