A.G.A. SPENT $368 000 ON LOBBYING IN Q.4

Deal with DM plc will provide Internet bingo and casino white label facilities

Quarter 4, 2008 expenditure on political lobbying by the American Gaming Association totalled $368 000 and was again mainly devoted to matters involving online gambling, Associated Press reports.

The Association, a trade body for major US land gambling corporate groups, released details of its quarterly lobbying investment as part of a mandatory disclosure requirement for lobbying companies.

The latest report shows that expenditure was again primarily on Internet gambling issues, including several pieces of legislation that would legalise and regulate Internet gambling in the U.S. by clarifying rules concerning financial crimes - undoubtedly a reference to the controversial and notoriously imprecise Unlawful Internet Gambling Enforcement Act, which is targeted for repeal by Congressman Barney Frank this year.

The association also lobbied on a bill "...to provide for a study by the National Academy of Sciences to identify the proper response of the United States to the growth of Internet gambling." This is another confirmation of the AGA's current position on Internet gambling, which is that a thorough study of the pros and cons of regulation is desirable before anything further in a legislative sense is undertaken.

The Association's members are reportedly split on the right approach to Internet gambling, with some fearing the consequences of regulation and acceptance, and others strongly in favour of the move as an alternative revenue stream - especially in the current tough economic conditions.

Prominent Nevada politicians have been pressing for such a study for the last two years.

In the October-December period, the AGA lobbied the White House, the Department of Interior and the US Congress, according to a disclosure report filed January 14 2009 with the House clerk's office.

With a competitor list of 64 of the top poker players in the world, a buy-in of $20 000 generating a prize pool of $1.28 million and a first prize of $500 000, the 2009 NBC National Heads Up Poker Championship lived up to expectations this week, delivering an exciting tournament of champions which culminated a tough grand finale heads up between Vanessa Rousso and Huck Seed.

In a best-of-three contest, Seed took the first two games, making a third clash unnecessary; Rousso collected a $250 000 check for her second placing.

The fifth edition of the poker epic took place at Caesars Palace in Las Vegas. Along with several online and live qualifiers and a star studded list of pros, all four previous winners of the tournament entered for the 2009 edition, with last year's champion Chris Ferguson leading the way. Unfortunately he was eliminated on Day 1, whilst the other former champs Phil Hellmuth, Paul Wasicka and Ted Forrest all won their opening matches but failed to make the final heads up.

Also in the field were poker legends Johnny Chan, Daniel Negreanu and Doyle Brunson, World Series of Poker champions Jamie Gold, Chris Moneymaker, Joe Hachem, Jerry Yang, Greg Raymer, and a host of other top names.

The field was structured into four 16 player flights, each named after suits of cards. Players competed within their flights on Day 1, as the first 32 single-elimination matches cut the field in half. The Hearts section proved to be the most dynamic, with all eight matches over and done with in ninety minutes!

The win brings Seed's career winnings to well over $4 million. The 40-year-old Caltech-educated poker pro includes a 1996 WSOP Main Event victory and a 1999 WSOP final table cash in his cv, along with many other key competition wins.

Alabama state Senator Hank Erwin Jnr. is not only intent on putting a stop to gambling in the southern state - he wants to remove the state legislature's right to authorise any gambling activity, too.

Erwin's Senate Bill 470 is currently on its way to the Tourism and Marketing Sub-committee for debate, where at least one of its provisions will attract plenty of opposition, reading as it does:

"The legislature shall have no power to authorize any gambling activity, including, but not limited to, lotteries, or gift enterprises, or any other games of chance, including, but not limited to, pari-mutuel wagering for any purposes, and such activity shall be illegal." And the senator is looking ahead in seeking to short circuit any gambling law approvals by adding a proviso insists on a statewide vote for any future constitutional amendments cocerned with the authorisation any form of gambling.

Probably taking hints from the extensive poker legal argument on the definition of the phrase "game of chance", Erwin has included this definition in his proposal:

"(a) It is played or engaged in for consideration or by staking or risking money or some other thing of value. (b) It is played or engaged in for the purpose of obtaining money or other thing of value or results in the distribution of money or other thing of value. (c) The outcome, measured by a single play or over multiple plays, is determined in material degree by chance, notwithstanding that the outcome is also determined in equal or greater degree by other factors."

Careful not to antagonise too many voters, supporters or fellow politicians, Alabama Senate Bill 470 specifically excludes business transactions, stock and commodity sales, and insurance from its jurisdiction, and seeks to restrict bingo to non-commercial operators such as religious, charitable, educational, fraternal, or benevolent nonprofit organizations.

Erwin has a long row to hoe if he wants to bring his proposal into Alabama law. Because it is a constitutional amendment, it must be approved by three-fifths of the members of the House of Representatives and Senate before being referred for a public vote where it must achieve a clear majority.

Online gambling group Party Gaming plc has signed an exclusive white label agreement with the London-listed direct marketing company DM plc to provide online bingo and casino facilities. DM specialises in customer recruitment and database management in the UK.

The gaming service will be custom-branded for DM and is PartyGaming's second �white label' agreement this year. A leader in gamecards and direct mail in the UK market with a database of several million customers, DM will promote the service through its own marketing channels.

Commenting on today's announcement, Jim Ryan, Chief Executive Officer of PartyGaming, said: "We are pleased to announce that DM has joined our �white label' portfolio just a few weeks after we signed an agreement with CIRSA to explore and develop online gaming opportunities in Spanish speaking countries [see previous InfPowa report - ed.].

"We look forward to the development and launch of the DM-branded casino and bingo gaming service, which conforms to our strategy to build a strong business-to-business operation by leveraging our assets and those owned by other companies."

Adrian Williams, DM Chairman, said: "As the UK market leader in our sector, DM welcomes this exciting opportunity to make our assets work harder by offering customers exciting and entertaining online bingo and casino games. We are delighted to be working with PartyGaming and look forward with confidence to developing a highly successful business-to-business relationship."

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