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Ex-Regulators Working for Internet Gambling

"Now Frank Catania and Keith Furlong are fighting for a far less esteemed segment of the gambling industry. As consultants for the Interactive Gaming Council, they are pushing a highly skeptical Congress to give up its attempts to ban Internet gambling.

"At a hearing last month, members of the Senate Banking Committee joined witnesses representing college athletics and state and federal government in condemning Internet casinos as prone to fraud, alluring to minors, a temptation for compulsive gamblers and a potential tool for money laundering.

"…Only Catania, formerly the head of New Jersey's Division of Gaming Enforcement, spoke in support of the $6 billion industry. He urged Congress to appoint a panel to study legalizing, regulating and taxing it.

"…Catania and Furlong, through their New Jersey-based consulting firm, now find themselves opposing one-time colleagues in state law enforcement. The nation's attorneys general have been among the strongest supporters of a federal ban on Internet gambling.

"But Catania and Furlong say their work on behalf of the industry is consistent with their prior roles as regulators.

"…Furlong said he hopes lawmakers learn from their frustrating attempts at prohibition.

"…Catania says evolving technology has made it possible for an online casino to determine who is placing a bet, and whether that person is in a state where Internet gambling is allowed. State laws governing what types of games are legal, and the minimum age to gamble, can thus be enforced, he said.

"Critics disagree. Connecticut Attorney General Richard Blumenthal said attempting to regulate online casinos `will make a mockery of enforcement.'

"The pro-regulation forces have made minor progress. Last month, a small group of House members proposed creating a commission to study letting states legalize, regulate and tax Internet gambling.

"…The nonprofit Interactive Gaming Council, based in Vancouver, represents virtual casino operators, online sports books, game developers and electronic commerce companies, most of them based in countries other than the United States…"

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