Online Gambling or e-gambling is a form of gaming that takes place on the Internet. It includes casinos, sports betting, and virtual poker. Many countries allow online gambling. However, a number of nations have banned it. In some cases, online gambling can lead to serious consequences, such as financial problems.
In December 2002, the Government Accountability Office published an overview of the issues surrounding the legality of online gambling. The report identified a number of questions, including whether the Commerce Clause allows the government to regulate commercial activity. This prompted some state officials to voice concerns about the internet’s potential to be used to bring illegal gambling into their jurisdictions.
A criminal case brought against an Internet poker operator and his business, K23 Group Financial Services, charges that the company is violating the Unlawful Internet Gambling Enforcement Act (UIGEA). The U.S. Attorney General has prohibited the firm from accepting financial instruments from illegal Internet bets.
The law also prohibits players from using interstate facilities for unlawful activities, which could include the use of the internet. These laws may be enforced through the use of the Travel Act.
Another issue related to UIGEA is the scope of the First Amendment. While the statute is largely aimed at protecting people from commercial activities that facilitate the speech of others, it is unclear whether the Commerce Clause is applicable. Attempts to defend the First Amendment through attacks based on the principle of due process have been relatively unsuccessful.