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Casino Lobby Group Supports Internet Gambling Ban

15 May 2002

WASHINGTON, DC – As reported by the Las Vegas Review-Journal: The casino industry's chief lobbying group abruptly switched course Tuesday and endorsed a Virginia congressman's bill to prohibit Internet gambling.

"Frank Fahrenkopf, president of the American Gaming Association, said the group will support an Internet gambling ban proposed by Rep. Bob Goodlatte, R-Va., because of two changes the congressman made at the casinos' request.

"For months, the group had leaned toward alternative legislation.

"…The most significant change addresses the casinos' concern that Goodlatte's bill would infringe on state regulation of gambling.

"Under the revised version, if a state ever legalizes Internet gambling, it would be allowed to take bets over the Web from residents in other states that also permit online wagering.

"…The other change would allow Nevada sports books to continue taking bets on horse races in other states. Nevada sports books place the horse racing wagers in a common pool, which serves as the source to pay off winners.

"Without this revision, Fahrenkopf said, casinos would be at a competitive disadvantage to the horse racing industry, which is exempt from Goodlatte's ban by the Interstate Horse Racing Act…"

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