Caputo NJ bill demands casino licences for online operators



Online gambling operators in New Jersey could soon be required to apply for their own licence under proposals by one of the US state's most prominent opponents of the sector.

Online gambling operators in New Jersey could soon be required to apply for their own licence under proposals by one of the US state's most prominent opponents of the sector.

Assemblyman Ralph Caputo, chairman of the Assembly Tourism, Gaming and Arts Committee, sponsored a bill that his committee emphatically backed 7-0, but must now be passed by the state's Assembly.

The bill would require internet gambling companies to have their own casino licence and also prohibits the waiver of any licensing requirements.

Since legalisation of online gambling last year, internet operators have been required to have a casino service industry licence approved by the New Jersey Division of Gaming Enforcement (NJDGE).

This type of licence is commonly issued for casino vendors and allows the internet companies to partner with brick-and-mortar casino hotels to offer web betting.

Caputo, speaking to newspaper The Press of Atlantic City, said: "I was never a fan of internet gaming, to be honest with you, but if we're going to do it, we should do it right.

"You're not selling linens, you're not selling cups, you're operating an internet casino and the integrity of those games has to be on the same level as casino gaming."

Caputo has been an overt critic of online gambling, and has been particularly vocal in his opposition to the possibility of PokerStars – which paid $731 million (€591.9 million) to settle a US Department of Justice lawsuit in 2012 - entering the New Jersey market following its takeover by Amaya Gaming.

Internet gambling began in New Jersey in November 2013 amid high hopes, but taken just $111 million in revenue in its first year - just a fraction of the $1 billion that was forecast.

A full-blown casino license would intensify the regulatory scrutiny by having two agencies involved in the process.

The NJDGE would continue to conduct a background investigation of the internet company and its principals, but the New Jersey Casino Control Commission would ultimately decide whether to approve the licence.

There would be a public hearing, testimony and evidence as part of the commission's licensing process.

This is a reprint from pokersoftware.com. to view the original, click here.


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