Florida Crosses the Line into Online Gambling

Submitted by Beth on Fri, 2010-02-26 at 19:39

Several internet cafes in Florida are being accused of disguising internet gambling through sweepstakes. A nearby sports betting operation is trying to get the rights to the internet removed from the cafes because it impedes his business.

Local law enforcement is keeping an eye on the cafes calling the practice “thinly veiled online gambling”. The cafes claim that they are merely offering a service to their customers and rewarding them for their patronage. When customers purchase internet usage, they are given sweepstakes entries which must be used online.

Local gambling businesses claim the cafes are actually running illegal online gambling operations. They are asking for them to be charged and ordered to be shut down. The judge on the case has dismissed any existing charges on the illegal operations; however, he has allowed the charge of public nuisance to remain.

Because the cafes continue to sell food, beverages, copying and printing services, it will be difficult to prosecute them for the online gambling. Florida officials will continue to watch the businesses to either pressure them to stop the sweepstakes or to catch them doing something illegal.

Many officials believe that online gambling will be legalized in the US very soon. Any businesses interested in the industry will have to wait until June 2010 to find out if the Unlawful Internet Gambling Enforcement Act (UIGEA) will stand or if it will be overturned. Going through the hassle of being investigated is likely not worth the risk.