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Tuesday, July 7, 2009

IMEGA v United States Oral Arguements Today On UIGEA


In the long long awaited hearing between IMEGA (Interactive Media Entertainment & Gaming Association), and the Department of Justice, today is the day set for oral arguments to commence in the US 3rd Circuit Court Of Appeals in Philadelphia, PA. at 10 am.
IMEGA brought a suit against the DOJ that sought to void the UIGEA (Unlawful Internet Gambling Enforcement Act) which was jammed through the Senate in the last day of Congress in 2006, attached to an unrelated must pass Safe Port Security Act bill. Then Senator, Bill Frist added the bill in the final hour of session and gave no option for discussion, dissension, and many that voted were not aware of its inclusion.
IMEGA has more than a fair chance at succeeding in this case as the UIGEA as written is vague, does not define illegal gambling, excludes only companies that are based outside of the US, allows domestic companies that have been offering these services to continue, exempts, Horse racing, State Lotteries, and Fantasy Sports, but does not allow foreign publicly traded companies to do the same, which violate trade agreements in the WTO (World Trade Organization) in which over 180 other countries have signed fair trade agreements.
It also deputizes Banks and Credit Card companies to do the enforcement by blocking transactions to any offshore company.
When hearings were held, testimony by government officials could not define 'illegal online gambling', citing that there is no way to determine what is or is not illegal due to varying laws in each State, causing a delay of many months for rules to be put in place.
As a result of having banks be responsible, some State lotteries had purchasing transactions blocked because of the vagueness of the law.
IMEGA is represented by two very capable, extremely respected attorneys, Eric M. Bernstein and Stephen A. Saltzburg.
The defendants - the US Department of Justice, the Federal Trade Commission and the Federal Reserve - will be represented by Nicholas J. Bagley and Jacqueline E. Coleman of the US DOJ’s civil division in Washington, DC.
The three-judge panel that will decide the case are Judge Dolores Korman Sloviter, a Carter appointee; Judge Thomas L. Ambro, a Clinton appointee; and Judge Kent A. Jordan, a George W. Bush appointee.
IMEGA Chairman Joe Brennan Jr said, “This law will finally have to stand on it’s own two feet in court, free from politics and all other outside influences, we feel very confident that when the judges take a look at the law, they will see just how defective it is, and they will overturn it.”

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