UK gambling interests pour lobbying money into Washington

19 August, 2009

UK-based newspaper The Guardian this week revealed that at least three companies may be equaling the high-profile Poker Players Alliance in terms of lobbying the US Congress on gambling law – what’s wacky is that said triad of firms are British.

The three British online gambling companies of 10 named in a survey undertaken by The Sunday Telegraph were Sporting Bet, Party Gaming and Poker Stars; all have hired big-bucks professional American lobbying firms. Since British law requires no public disclosure as to the amount of money spent on lobbying, the number of dollars (pounds?), UK gambling interests are blowing in Washington, D.C., may run into the millions.

US law states that lobbying interests must be reported by a representative, but The Guardian points out that “experts say the amount companies spend on shaping legislation in the US is far higher than the lobbying fees suggest because of other ancillary costs which do not have to be accounted for.” It is known Party Gaming has poured nearly £930,000 ($1.525 million / €1.08 million) into its US lobbying effort in the last eleven months alone.

While Sporting Bet representatives recently confirmed that the company paid out $60,000 in legal settlements due to the vagueness of the US online gaming law in force and uses this as a primary argument in lobbying, nothing compares to the eye-popping $300 million settlement paid by a Party Gaming founder to the US government in April.

Despite the difficulties, however, most folks at the three companies named remain optimistic that the days of the Unlawful Internet Gambling Enforcement Act are numbered.