Possible Intrastate Online Casinos for New Jersey

March 09, 2009 | News Category: Gaming Law

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Frank Catania, currently on the board of directors of eCOGRA (e-Commerce Online Gambling Regulation and Assurance), has proposed that the state of New Jersey should legalize and regulate online casinos. The proposal suggests that the online casinos would be operated within the state's boundaries.

Mr. Catania said that in order to keep the New Jersey gambling revenues coming in, the state will need to allow some online gambling. In order to keep funds inside New Jersey, Mr. Catania has suggested that New Jersey allow intrastate online gambling to take place.

In NorthJersey.com, Mr. Catania wrote that the state of New Jersey is going through a period in which they are experiencing big declines in the amount of revenue which is being brought in by casinos in Atlantic City. There has recently been a rise in competition from nearby states as these other states have now introduced slot games. In order to keep revenues raised from gaming at the level that it previously was, the state needs to move in a new direction when it comes to regulating gambling.

The UIGEA has brought about much confusion as to what is legally allowed and what is not allowed regarding online gambling. Legal experts say that, as with state lotteries, there is no problem for a state to legalize online gambling inside their own jurisdiction. In order to fit in the withe the UIGEA laws, this would mean that all players would be in New Jersey, and the online casino sites would also be based and licensed in New Jersey.

While it is expected that the UIGEA laws will be changed, or even repealed, with the Obama administration in power, it is possible that a number of states may move forward without the rest of the United States, and beat the government to the finish line as far as online gambling regulation is concerned. California, for example, are fairly far along the path to legalizing online poker within their boundaries.

It is possible that intrastate registration for online casinos may require players to appear in person as a way to ensure that they are of legal gambling age.

Frank Catania was the former state assistant attorney general and has also been the director of the New Jersey Division of Gaming Enforcement. eCOGRA, the company on whose board of directors he serves is a non-profit, regulatory body, that was established in 2002. eCOGRA certifies Internet casino sites, as well as some Internet poker sites. The approved sites are subject to the company's player dispute mediation service. All the approved sites show eCOGRA's Safe and Fair seal.