Online Gambling Sites Abuzz About MasterCard’s ‘Blocking’ - Monday 21st of January 2013

Online poker rooms and other gambling websites were buzzing today with reports that MasterCard was blocking transactions for placing bets – a move which took some by surprise since U.S. officials last year delayed the implementation of a new Internet gambling payment ban until June 1, 2010.

The gambling websites also pointed to a federal appeals court ruling on Monday as a possible impetus for the blocking.

The U.S. Second Circuit Court of Appeals upheld a contempt order for refusing to comply with a grand-jury subpoena against two companies owned by a Canadian man, Douglas Rennick. He is accused of processing more than $350 million in payments for Internet gambling companies and faces conspiracy charges related to bank fraud and money laundering.

Another possible timing factor: The Super Bowl, which is this Sunday, represents one of the busiest online sports gambling weekends of the year.

“The blocking of all deposits made by U.S. citizens linked to poker sites and online casinos will be imposed immediately as MasterCard starts to comply” with the gambling payment ban, wrote online-casinos.com today.

It is unclear whether MasterCard, or Visa – the top electronic payments processor – has taken any uniform action related to the Unlawful Internet Gambling Enforcement Act of 2006. The law has met with confusion and even resulted in the Federal Reserve and the Treasury extending the deadline for creating compliance guidelines until June.

Many members of Congress are seeking to revise the law that makes it a crime for financial institutions to process financial transactions that are used to place bets online.

The law has been criticized for not distinguishing between legal and illegal online gambling sites. Many states allow online betting on horse and dog racing. Some even allow the purchase of lottery tickets from designated websites.

The online casino sites say that both MasterCard and Visa regularly try to block transactions to their sites. But the site operators are able to remove code identifying the transactions before the card payment processor can take action.

Still, alternatives to “credit card deposits” are widely available at gambling sites, online-casinos.com said, including “electronic cheques” and other similar services.

“Instead of changing the codes again, it appears that online poker sites will continue their operations without MasterCard as a deposit option,” said CasinoGamblingWeb.com

Other news from around the same time

James Packer finally gets his male heir - Monday 21st of January 2013

Australias richest baby has come into the world, with the male heir to James Packers $4.5 billion fa....


Russia Casino Opens Under New Gambling Plan - Monday 21st of January 2013

Half a year after Russia closed all of its gambling casinos and slot-machine halls, the first new ca....


Sharing casino jackpot - Monday 21st of January 2013

Let’s not gamble on Niagara’s future.Local officials need to come together and determine the best wa....


Dont fall for blackjack bets with 25-cent fee - Monday 21st of January 2013

Regarding the Jan. 7 story, "Resorts to offer $2 blackjack," about Resorts Atlantic City allowing a ....


The Great Casino Divide - Monday 21st of January 2013

Las Vegas has long been synonymous with gambling and its mega-hotel/casinos have long dominated the....


Four hotels open at Singapores first casino-resort - Monday 21st of January 2013

Singapores first casino-resort partially opened Wednesday, a key part of a government plan to reduce....


William Hill PLC - Sale of Spain joint venture - Monday 21st of January 2013

William Hill PLC (LSE: WMH) (William Hill or the Group) announces completion of Coderes purchase of ....


Macau back in the billions - Monday 21st of January 2013

James Packers Macau joint venture is under pressure to maintain its share of the worlds biggest gamb....


Police say topless dealers and more involved in illicit gambling tournaments - Thursday 21st of January 2010

An undercover sting has broken up an illicit operation in Kent County. The bust took place over the....


Government proposes to bring ban on gambling business until adoption of special law - Thursday 21st of January 2010

The government of Ukraine has proposed to suspend some points of a law on licensing certain kinds of....