Washington, D.C. - U.S. Congressman Kevin Brady voted today to curb illegal internet gambling and protect children and families from off shore gambling schemes.   H.R. 2143, The Unlawful Internet Gambling Funding Prohibition Act, passed the House today, 319 to 104. 

 

Gambling on the Internet has exploded into a lucrative business diverting billions of dollars out of the U. S. economy each year and costs tens of thousands of jobs. There are over 2,000 illegal, off-shore gambling websites which are unlicensed, untaxed, and unregulated.    According to investment firm Bear, Stearns and Co., offshore gambling sites are expected to generate more than $4 billion in revenue this year.  It is estimated that more than 60 percent of that revenue comes from Americans.

 

"The Unlawful Internet Gambling Funding Prohibition Act will protect Americans from exploitation  by off-shore internet gambling rackets.  These operations siphon billions of dollars out of our economy every year and prey on the most vulnerable members of our society.  This legislation takes important strides in curbing illegal activity that weakens our nation's economy, mocks our nation's financial services laws, and traumatizes families.  Internet gambling is a lose lose proposition,"  said Brady.  

 

This legislation makes it a crime to accept financial instruments, such as credit cards or electronic fund transfers, for debts incurred in illegal Internet gambling.  Visa, MasterCard and PayPal all recognize the danger with on-line gambling and now refuse to process betting transactions by their members.  

 

The spread of gambling brings with it the onslaught of a host of social ills.  More than 15 million Americans are classified as problem or pathological gamblers.  The Internet is a particularly dangerous medium for individuals struggling with an addiction to gambling, because it guarantees that they can access any number of web-based casinos without ever having to leave the comfort of their home.