US CHAMBER OF COMMERCE WARNS NET GAMBLING BILL WILL HURT FNANCIAL GROUPS
01 August 2006
Tuesday August 1st, 2006 / 15h52
By Lilly Vitorovich Of DOW JONES NEWSWIRES LONDON -(Dow Jones)- The U.S. Chamber of Commerce wants the Senate to amend the controversial Internet gambling legislation, saying it would impose a “substantial regulatory burden” on financial institutions.
The world’s largest business federation, which represents more than three million companies and organizations, has joined a growing list of trade associations that oppose parts of the Internet Gambling Prohibition and Enforcement Act.
The bill, which recently passed the U.S. House of Representatives and will be reviewed by the Senate, would basically prohibit credit card companies and financial institutions from sending payment to online gaming sites.
In a July 28 letter reviewed by Dow Jones Newswires, the U.S. Chamber says it isn’t taking a position on Internet gambling. However, the Chamber warns that obliging companies to investigate whether paper checks, and other non-coded financial transactions are related to Internet gambling, could “require substantial changes to the system by which such instruments are processed.”
“Clearly, the costs of these changes would be significant,” the Chamber said. “We are writing to strong urge the Senate to amend this legislation to clarify with certainty that the bill will not require financial institutions to block non-coded transactions.”