PartyGaming in talks with US over anti online gambling laws
Monday 4th June 2007
Online gambling giant PartyGaming is in consultation with the US Attorney's Office to try to establish its position on Internet gambling after the country effectively disabled the industry’s biggest market with the introduction of the Unlawful Internet Gambling Enforcement Act last year (UIGEA).
PartyGaming Chief Executive Mitch Garber, stated that the company had instigated talks and was 'voluntarily responding to a request for information' from the New York Attorney's Office. It said: 'It is too early to assess the likelihood of any particular outcome of these discussions.'
The UIGEA prohibits the transfer of funds from a financial institution to an Internet gambling site, with the notable exceptions of 'fantasy' sports, online lotteries, and horse/harness racing.
PartyGaming ceased it US operations and slashed its workforce down by 40 percent, resulting in a $250 million exceptional charge.
The company announced in a statement today that it 'believes that online gaming should be offered by regulated, reputable operators and that this remains the right approach to this industry sector.'
