The Nevada State Gaming Control Board has made its position on Internet gambling clear to Nevada-licensed operators of Net betting services based in Australia: Involvement in Net betting won't be tolerated. Sportsbook operator American Wagering Inc. (AWI) was on the receiving end of the first punch thrown by the Board which came in the form of a complaint filed with the Gaming Commission. The latest company to come under fire is International Game Technology (IGT).
The complaint against AWI stems from an investigation in which a Board agent in Nevada was able to temporarily circumvent controls at MegaSports, AWI's Australia-based Internet sportsbook, and wager on Major League Baseball games. The agent used a Canadian IP address and even supplied a phony birth certificate. Now the board alleges that AWI violated Nevada regulations because it abandoned a policy requiring an ID check before an account can be activated. AWI plans to fight the Board's complaint.
IGT, on the other hand, decided to shed its involvement in the Internet gaming industry after being confronted by the board regarding its involvement with Access Systems, a Sydney online gaming software designer. When IGT invested in Access Systems, they somehow overlooked an earlier deal between Access and Lasseters Online, an Australian online casino that accepts American bettors.
Company officials decided they should withdraw their involvement with cyberbetting, according to a MSNBC News story. Vice President for Marketing Ed Rogich told MSNBC that the company's only option was "changing the investment into a debt situation." The company can now only hope that the abrupt separation will help it avoid repercussions from the Nevada Gaming Board, including the potential revocation of its Nevada gaming license.
With the writing on the wall for AWI and IGT, all eyes now turn to Park Place, which has ties with Northern Territory-based CentreBet sportsbook through its minority ownership in Jupiter's casino.
When Jupiter's purchased the sportsbook in 1998, CentreBet closed all U.S. accounts. "We don't have any clients in the U.S. and we don't accept wagers from anyone in the U.S.," confirmed CentreBet Business Development Manager Mike Miller.
CentreBet requires all clients to provide two proofs of identification, including a photo ID. They must also sign a warranty that they won't place any bets while traveling in the U.S. Additionally, the company tracks IP addresses to prevent wagers from U.S. citizens. Miller acknowledged, however, that even though they have taken so many precautions, it's possible that some Americans have been able to trick their way into the system like the Gaming Board agent(s) did.
"That's why we disagree with the American approach. We believe that a good, strong regulatory system, such as in Australia, is the best way," Miller said. He added that CentreBet has probably 20,000 hits a month from Americans looking to wager, despite the numerous prohibitory caveats throughout the site.
Officials with Park Place Entertainment declined an opportunity to comment on the situation.