Poker News Daily has learned that the Minnesota Department of Public Safety’s Alcohol and Gambling Enforcement Division has sent letters to 11 of the world’s largest internet service providers (ISPs) rescinding its notice to block 200 internet gambling websites. The news comes four days after the Poker Players Alliance (PPA) declared victory in the state.
In April, John Willems, Director of the Alcohol and Gambling Enforcement Division, served notice to 11 ISPs, including Charter, Comcast, Qwest, Sprint, and Verizon, calling for the blockage of 200 sites by Minnesota residents. The list, which was initially kept under wraps, included a bevy of online poker, sports book, casino, and Bingo sites and was pulled at random from a larger sample. In addition to USA-friendly online poker rooms like Players Only, Bodog, and Full Tilt Poker, the list also included a handful that do not accept action from the United States. Headlining this group was Everest Poker, which is the official on-felt sponsor of the 2009 World Series of Poker (WSOP). Also appearing was Titan Poker, one of the largest sites on the iPoker Network.
Shortly after the list of 200 sites was made public, the Interactive Media Entertainment and Gaming Association (iMEGA) filed a lawsuit against Willems. The organization charged that Minnesota did not have jurisdiction to act, that the First Amendment was trampled on, and that the State’s actions represented a breach of the Commerce Clause of the United States Constitution. iMEGA also authored a letter to the 11 ISPs in question urging non-compliance. The State contended that the Wire Act of 1961 applied to internet gambling, while the law has traditionally applied to online sports betting and “common carriers,” a term used to describe companies that provide home telephone service.
iMEGA and the Minnesota Attorney General’s office then began working towards a conclusion, culminating in today’s proclamation that the censorship order had been rescinded. The letter sent to ISPs, authored by Willems and obtained by Poker News Daily, reads, “I believe it may be more appropriate to resolve this problem by working to create clear and effective governmental policies concerning regulation of gambling.” In addition, iMEGA has agreed to withdraw its civil court case against Willems in his capacity as Director of the Alcohol and Gambling Enforcement Division.
The letter sent from iMEGA to the ISPs explained, “Because website operators are not subscribers of yours, have no contracts with you, and are not provided facilities by you, you should be aware that the Minnesota Department of Public Safety is attempting to mislead you into believing you are bound by federal law.” The casino arm of Party Gaming, the parent company of PartyPoker, was also targeted. However, its parent company recently inked a non-prosecution agreement with the U.S. Government in a New York courtroom and agreed to shell out $105 million over a three and a half year period. In addition, one of its co-founders, Anurag Dikshit, admitted to violations of the Wire Act in December and faces up to two years behind bars.
Whether the Minnesota legislature elects to develop internet gambling legislation remains to be seen. iMEGA is also a central party in the case that pits the organization and the Interactive Gaming Council (IGC) against the Kentucky Justice and Public Safety Cabinet. In October, Judge Thomas Wingate upheld an order by Kentucky Governor Steve Beshear calling for the seizure and potential forfeiture of 141 domain names belonging to some of the world’s largest online poker sites and internet gambling outfits including Full Tilt Poker, Ultimate Bet, PokerStars, Cake Poker, and Doyle’s Room. Several sites have since blocked new Kentucky sign-ups.
In January, the Kentucky Court of Appeals in Louisville overturned Wingate’s decision by a two to one margin, causing the State to appeal to its own Supreme Court. iMEGA filed its brief to Kentucky’s highest court two weeks ago and the State’s attorneys are in the process of filing a response brief. No date has been set for a possible Supreme Court hearing. The organization is also suing to declare both the Unlawful Internet Gambling Enforcement Act (UIGEA) and Professional and Amateur Sports Protection Act (PASPA) unconstitutional.
