Online Casinos Illegal Even If No Law Says So, Claim State AGs

The prediction by a gaming law expert that a court ruling leaving the legality of online casinos to the states would not stop law enforcers in states without laws against Internet gambling from prosecuting was upheld immediately.

A leading gaming law expert says attorney generals of many states may ignore the laws as written in their states and act as if online casinos are illegal. Massachusetts Attorney General Martha Coakley proved him right by declaring Internet gaming illegal in her state, even though the legislature has not passed such a law.

Professor Joe Kelly of Buffalo College in New York, a noted expert on online gambling laws, told Gambling Compliance that he didn't think a US Court of Appeals ruling that the UIGEA only applies to states with existing laws against Internet casinos would stop some states' top legal authorities from acting as if online gaming is illegal.

“A lot of attorneys general would say internet gambling is illegal even though there is nothing on their state’s statute about it,” said Kelly. “If I was in internet gambling I would think twice before I set up my headquarters in one of the states which has not outlawed internet gaming."

The concept that the person sworn in each state to diligently safeguard the law would invent law rather than stick to enforcing the laws presented to him by the legislature seems fantastic. But that's exactly what Massachusetts Attorney General Martha Coakley has done.

The website for Coakley's office informs visitors, "Gambling can take many forms – some legal and some against the law but internet gambling is always illegal!”

However, Massachusetts is not one of the six states having outlawed online casinos. Kelly suggests officials like Coakley, who is entering a high-profile political race to succeed Edward Kennedy as US Senator, may move against online gambling, even without state laws banning it, disappointing and outraging Internet gaming patrons encouraged by the UIGEA decision.