April 9, 2007
Thank you for your continued correspondence about legislation related to Internet gambling that passed in the 109th Congress. I appreciate the opportunity to respond.
As you know, H.R. 4411, the Unlawful Internet Gambling Enforcement Act signed into law as part of a larger bill package on October 13, 2006. The internet gambling provisions will prevent the use of credit cards and fund transfers for unlawful internet gambling and block financial transactions associated with illegal gambling.
While many Americans have the misimpression that internet gambling is legal because of the easy access to online casinos based offshore, it is not. The new provisions do not change the law, but rather provide new enforcement tools to help law enforcement and financial services companies crack down on this already illegal activity, This legislation received endorsements from the religious community, family groups, financial services groups and all the major professional sports organizations.
American dollars account for half of the $12 billion bet worldwide on the internet. FBI and Justice Department experts have warned that internet gambling websites are vulnerable to being used for money, laundering, drug trafficking and terrorist financing, As a member of the House Financial Services Subcommittee on Oversight and the House Armed Services Subcommittee on Terrorism, Unconventional Threats and Capabilities, my colleagues and I have taken a particular interest in this issue. I have serious concerns about terrorist financing and the possibility of terrorists laundering money through unregulated, offshore online casinos.
House Financial services Chairman Barney Frank [MA-04] has expressed an interest in reprieving this issue. As a member of the Committee, I will take your support for a repeal of the Unlawful Internet Gambling Enforcement Act into consideration should the issue come up again.
Thanks again for sharing your thoughts on internet gambling. Also, you can sign up for the _____ District’s E-Mail Newsletter by visiting my website at
http://__________.house.gov/emailsignup.aspx.
Sincerely,
Rep. Geoff Davis