The United States Department of Justice (DOJ) encounters a fresh obstacle in its endeavor to suppress internet wagering. A bill under consideration in the legislature seeks to obstruct funding for the DOJ’s attempts to implement its latest understanding of the Wire Act.
Central to the issue is the DOJ’s November legal interpretation, which asserted that the Wire Act, a 1960s statute initially intended to curtail illicit sports betting, actually encompasses all types of online gambling. This contradicts a 2011 interpretation that had allowed states to authorize online lotteries and other forms of internet wagering.
This recent interpretation was ephemeral. In December, a federal magistrate in New Hampshire ruled against the DOJ’s viewpoint. While the DOJ could challenge this judgment, Congress is now intervening. The proposed legislation, if enacted, would effectively defund any endeavors by the DOJ to enforce its new understanding of the Wire Act. This constitutes a substantial blow to the DOJ’s attempts to broaden its regulatory authority over online gambling.
