The Nevada Gaming Commission has a star-studded lineup scheduled to attend hearings to discuss the proper steps for regulating online gaming.
The hearings, scheduled for July 31 and August 1, marks the start of the regulation process following the Nevada Legislature's passing of a bill allowing the state to license online casinos.
To help it enter uncharted water, the commission is inviting online gaming industry experts from around the world to attend an informative discussion.
The forum is geared to give both the commission and industry insiders an open platform to exchange ideas on the best ways to regulate online gaming.
Separate panels have been set up to tackle issues, which the state could face if online gaming becomes legal in Nevada. Although the legislature passed the bill, and the governor signed, there is still a question about the federal legalities of online gaming. The Nevada bill is written in such a way that no licenses will be granted until the issue is
cleared up on a national level.
The United States currently has no law in the books that specifically bans online gaming; those who have been prosecuted for the activity have been charged with violating the Interstate Wire Act of 1960. The law outlaws transmitting sports betting and sports betting information over phone lines. The bill was written well before the Internet was even in existence and proponents of online gaming feel the Wire Act shouldn't be the legal standard.
The federal courts have ruled in favor of gamblers in one case, which is currently being appealed. If the decision stands it could be the first step in the federal government granting the activity, assuming the anti-gambling bill passes in the legislature in the meantime.
Regardless of what happens on Capitol Hill, the Nevada Gaming Commission wants to ensure the state is ready to go with online gaming if it is given the green light from the federal government.
Brian Sandoval, chairman of the commission, told Reuters that the forum will have multiple panels to discuss a wide range of topics.
"We would have four or five panels (at the forum), one of which would be a legal panel," he said. Sandoval also said he expects the forum to attract a great deal of worldwide media attention.
Sandoval said additional panels would include discussions on:
- ensuring that online gaming does not occur across state borders, which could violate interstate commerce laws;
- making sure minors cannot gamble over the Internet;
- the economic impact of online gaming;
- the security of online gaming systems and preventing their use for illegal functions like money laundering; and
- issues involved with problem gambling.
Among traditional online gaming companies and experts, there will be a land-based presence at the forum as well.
An employee of MGM Mirage will take part on the economic impact panel, Sandoval said. Other panel members will come from as far away as Australia, he added.
The commission is planning on the forum tackling serious issues.
"It will be a public meeting held in Las Vegas," Sandoval said. "I don't want this to be a marketing seminar. . . . We'll have these five panels, but going forward we'll spend time on individual issues."
Once the commission has a good grasp on the main issues, Sandoval hopes they can begin to draft preliminary regulations, but there's no rush to get those set up.
Sandoval is hoping that the first forum will be informative and will lead to others.
"Follow-up forums would be ongoing through the fall," he said. "A lot depends on information we receive at the forum. Certainly we will move forward and dedicate the amount of time necessary to satisfy us with the technology associated with each of the individual issues."