Betcorp, the Melbourne-based online gambling company is the latest group to suspend its operations in the United States in the wake of the new Unlawful Internet Gambling Enforcement Act signed by US president George Bush.

Although the company continues to trade with the customers of 87 other countries, a spokesman announced it had suspended the accounts of US residents with immediate effect in response to the enactment of the new law. Following the arrest of two high profile gaming executives, Betcorp had already labored through the fall of share prices in anticipation of the incoming measure. The company last traded on Friday at 45 cents, a drop-off of 75 percent since the Oct 2 announcement by US Congress.

The company which is set to de-list from the Australian Stock Exchange, has announced that it plans to concentrate its interests with its British operations. Despite the law excluding wagering on lotteries and horse racing, Betcorp announced it has cut its scale of operations by ceasing US marketing and slashing its workforce by approximately 33 percent.

The new US law prohibits credit card companies and financial institutions from making or taking payments from online gambling sites.

-Danny Davis

The new law restricting internet gambling in the United States continues to send shock-waves throughout the industry.

London-based Leisure and Gaming and Fairground Gaming have joined the ranks of companies that have or are on the brink of suspending operations in the US due to Congress’s decision to ban financial institutions from processing gambling transactions. A third company, FireOne also announced yesterday that it will cease operations effective on the day the new law takes effect. FireOne trades shares on the Alternative Investment Market. With the majority of the industry’s revenues racked up from its US customer base, the ban has hit the industry with brute force.

World Gaming announced Monday that it has ceased share trading in light of the ban, citing a loss of 95 percent of its revenue. While admitting it may be in breach of loan conditions, the company asked for trading to be suspended due to its “fundamental uncertainty over its ability to continue trading.� While Fairground fell from 8.5p to 14.5p, it plans to carry on operations despite the fact that the US fallout has wiped out 70 percent of its regular clientele. Other figures yesterday saw Leisure and Gaming rise from 0.75p to 8.75p, while FireOne lost 17.5p to 50p. Although Leisure and gaming is gearing its focus toward its domestic and Italian interests a decision on whether to sell or suspend its US operations are imminent.

The Unlawful Internet Gambling Enforcement Act is slated to be signed off on in a matter of weeks by US President George Bush.

-Danny Davis

With as many as six percent of Nova Scotia teen-agers between the ages of 15 and 17 admitting that they’ve tried their hand at online gambling, the provinces gaming commission is looking to test a new computer program aimed at blocking internet gambling sites.

Labeled Betstopper, the new software is said to be capable of blocking up to 94 percent of online gambling sites. The Province is hoping to lineup 500 volunteer families to help test the new program in their homes. The CEO of the Nova Scotia Gaming Commission, Marie Mullally claims its way too easy for today’s youth to gain access to online gambling sites. With many of the sites unsupervised, unregulated, and with no age restriction or security checks, Mullally thinks it’s all too easy for teen-agers to get on line and take their pick out of thousands of online gambling options.

A rough estimate by the gaming commission revealed that there are more than 2,300 casino-style internet gambling sites in the world. If families involved in the program’s testing like the product, the provincial agency has said they will then make it widely available to the rest of the province.

-Danny Davis

 Less than a week after the US government announced new legislation effectively banning online gambling, Trinidad is moving forward with a similar agenda.

In a move that comes on the heels of a recent ban on casino slot machines, conservative Prime Minister Patrick Manning alleges that gambling in any form strains family relations and encourages the proliferation of vices. Manning would also like ax the country’s national lottery as well. While commanding majority support in the twin island country that also includes oil rich Tobago, passage of an online gambling ban is assured.

Saying that gambling activities are of great concern to his government, Manning has yet to set a timetable or manner of enforcing the impending anti-gambling measure. In crushing the multi-billion dollar online gambling trade in their country, the US will halt banks from accepting internet gambling transactions including the use of credit cards, electronic fund transfers and checks. The shunning of the online gambling trade by Trinidad is seen as ironic considering many of the industry’s largest companies operate in the Caribbean.

-Danny Davis

The refusal of New York Governor George Pataki to sign an extradition warrant has made former SportingBet chairman Peter Dicks a free man.

A Pataki spokesman said that extradition can only take place if the accused person is present in the place where the law is broken. Although Pataki does support the fight being waged against online gambling, he doesn’t have the authority to legally extradite Dicks, the spokesman added. With 58 other warrants issued against internet gambling executives by the state of Louisiana, the decision rendered in a Queens courtroom on Friday is sure to come as a relief.

While Dicks was declared a free man by Judge Gene Lopez, the Louisiana warrants are still in effect for the other states according to Assistant District Attorney Kimberly Affronti. In telling reporters he is very grateful for his freedom, Dicks said he has no plans for a return to SportingBet following his resignation from the company to focus on his legal defense. His lawyer Barry Slotnik plans to get in touch with Louisiana authorities about the charges in an attempt to “put this matter to rest.� In the meantime Dicks said he plans on returning to the UK shortly.

As SportingBets chairman, Dicks was second high profile British gaming executive to be detained following the July arrest of former BetonSports CEO David Carruthers. Fired shortly after landing in the US, Carruthers remains under house arrest in St Louis, Missouri.

-Danny Davis