Rep. James Leach reintroduced legislation on Monday that
would declare illegal the use of checks, debit and credit
cards to pay debts for or to receive profits from Internet
gambling.
The bill, H.R. 556, is essentially the same bill that was
passed last year by the House Banking Committee, which Leach
chaired at the time. The panel has since been renamed to the
Financial Services Committee.
This bill would "surgically remove" the means
by which anyone gambling on the Net could either receive
profits of winnings or pay off their debt to an Internet
gambling operation, said Leach aide Dave Runkel.
"People just wouldn't do this unless they could get
their profits back when they win, and what company would
want to continue its activities if there were no means by
which they could collect from people who lose money?"
Leach's bill, H.R. 556, is elegantly simple compared to
the intricacies and carve-outs included in a bill to ban
most forms of online gambling introduced last year by Rep.
Bob Goodlatte, R-Va.
While Goodlatte's bill, "Internet Gambling
Prohibition Act, would have outlawed most forms of Internet
gambling, the measure also contained some notable carve-outs
for closed-loop, so-called "parimutuel" gambling
businesses - some of which left a sour taste in Democrats'
mouths, who noted that the bill devoted more wiggle room to
exceptions to the rule than not.
In July the House voted 245-159 in favor of the measure,
but the bill fell a few dozen votes shy of the two-thirds
majority needed for passage under the suspension calendar.
That effort failed largely because it ran into opposition
from Rules Committee Chairman David Dreier, R-Calif., who
expressed objections to an apparent lack of liability
protection for Internet service providers (ISP) that could
be implicated for breaking the law even if they are not
aware of illegal activity taking place over their networks.
Goodlatte has said he plans to reintroduce legislation to
ban most forms of Internet gambling, but added that the new
bill likely will differ in some ways from its predecessor. A
spokesman for the congressman said the specific changes and
an introduction date for the bill remain uncertain.
A similar bill was introduced by Sen. Jon Kyl, R-Ariz.,
which passed the Senate, but was axed from the
appropriations process after it had been tentatively
attached to a larger spending bill.