RELEASE: TPA Opposes Federal Ban on Internet Gambling

April 28, 2014

TPA Opposes Federal Ban on Internet Gambling

Joins Conservative Groups in Sending a Letter of Opposition to the House and Senate Judiciary Committees

Washington, D.C. – The Taxpayers Protection Alliance (TPA) joined other leading conservative and free market organizations in sending a letter to the chairmen and ranking members of the House and Senate Judiciary Committees opposing the Restoration of America’s Wire Act (H.R. 4301).  The legislation would ban Internet Gambling, a decision that should be left to the states.

According to the letter:

The legislation is a broad overreach by the federal government over matters traditionally reserved for the states. H.R. 4301 will reverse current law in many states and drastically increase the federal government’s regulatory power. As we have seen in the past, a ban will not stop online gambling. Prohibiting states from legalizing and regulating the practice only ensures that it will be pushed back into the shadows where crime can flourish with little oversight. In this black market, where virtually all sites are operated from abroad, consumers have little to no protection from predatory behavior.

Perhaps even more concerning is the fact that this bill allows the federal government to take a heavy hand in regulating the Internet, opening the door for increased Internet regulation in the future. By banning a select form of Internet commerce, the federal government is setting a troubling precedent and providing fodder to those who would like to see increased Internet regulation in the future. We fear that H.R. 4301 will begin a dangerous process of internet censorship that will simultaneously be circumvented by calculated international infringers while constraining the actions of private individuals and companies in the United States.

“TPA has many concerns with the Restoration of America’s Wire Act, which would essentially ban Internet gaming across the country,” said TPA President David Williams. “This legislation goes too far by interjecting the federal government in what has traditionally been a state issue. Additionally, the legislation would not stop online gambling and would instead embolden criminals to prey on consumers in a black market that is typically operated abroad with little oversight. I encourage the chairmen and ranking members of the House and Senate Judiciary Committees to stand strong against this gross overreach by the federal government.”  Williams concluded, “this legislation is also a backdoor attempt to regulate the Internet.

Read the full letter below:

April 28, 2014

The Honorable Bob Goodlatte
Chairman, Committee on the Judiciary
United States House of Representatives
2138 Rayburn House Office Building
Washington, D.C. 20515

The Honorable John Conyers, Jr.
Ranking Member, Committee on the Judiciary
United States House of Representatives
B-351 Rayburn House Office Building
Washington, D.C. 20515

The Honorable Patrick Leahy
Chairman, Committee on the Judiciary
United States Senate
224 Dirksen Senate Office Building
Washington, D.C. 20510

The Honorable Chuck Grassley
Ranking Member, Committee on the Judiciary
United States Senate
224 Dirksen Senate Office Building
Washington, D.C. 20510

Dear Chairmen Goodlatte and Leahy, and Ranking Members Conyers and Grassley,

We, the undersigned individuals and organizations, are writing to express our deep concerns about
the Restoration of America’s Wire Act (H.R. 4301), which would institute a de facto ban on internet gaming in all 50 states. The legislation is a broad overreach by the federal government over matters traditionally reserved for the states. H.R. 4301 will reverse current law in many states and drastically increase the federal government’s regulatory power. As we have seen in the past, a ban will not stop online gambling. Prohibiting states from legalizing and regulating the practice only ensures that it will be pushed back into the shadows where crime can flourish with little oversight. In this black market, where virtually all sites are operated from abroad, consumers have little to no protection from predatory behavior.

Perhaps even more concerning is the fact that this bill allows the federal government to take a heavy hand in regulating the Internet, opening the door for increased Internet regulation in the future. By banning a select form of Internet commerce, the federal government is setting a troubling precedent and providing fodder to those who would like to see increased Internet regulation in the future. We fear that H.R. 4301 will begin a dangerous process of internet censorship that will simultaneously be circumvented by calculated international infringers while constraining the actions of private individuals and companies in the United States.

H.R. 4301 also creates carve-outs that exempt certain special interests from the federal government’s reach. This amounts to the federal government picking winners and losers – choosing select industries or private-sector businesses to succeed at the expense of others, which is at odds with free-market competition.

In total, H.R. 4301 is an inappropriate and unnecessary use of federal powers that infringes on the rights of individuals and states. We applaud you for standing against this government overreach and preserving the principles of federalism and free-market competition that underscore American democracy.

Sincerely,

Joe Jansen, Alliance for Freedom
Steve Pociask, President, American Consumer Institute
Michelle Minton, Fellow, Competitive Enterprise Institute
Matt Kibbe, President, FreedomWorks
Coley Jackson, President, Freedom Action
Carrie Lukas, Managing Director, Independent Women’s Forum
Andrew Langer, President, Institute for Liberty
Tom Giovanetti, President, Institute for Policy Innovation
Eli Lehrer, President, R Street Institute
David Williams, President, Taxpayer Protection Alliance