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Will California Offer Intrastate Poker Before Nevada?

In the race to become the first state to legalize US online poker, California is once again in the running. California State Senator Lou Correa introduced Senate Bill 678 last week, formally the Authorization and Regulation of Internet Poker and Consumer Protection Act of 2013. SB 678 attempts to change California’s current gambling laws to allow online poker sites to operate from within the state. If passed, the bill would also give the California Gambling Control Commission the authority to set up a regulatory system to provide licensing to online poker sites to serve California residents.

What’s different about this bill is that it is very simple. At only two pages long, it doesn’t outline the regulatory systems, but merely allows the CGCC to establish them. On the other hand, Senator Roderick Wright’s SB 51, the Internet Gambling Consumer Protection and Public-Private Partnership Act of 2013, which was introduced last December, is 51 pages long and goes over every facet of the process, from regulation to legalization and everything in between. In this bill, the CGCC would be able to approve sites for licensure for five years with a one-time fee of $30 million that would pay into California’s General Fund.

Marked as an “urgency statute,” SB51 would immediately become law with just two-thirds votes. It has been waiting since January 10 of this year for further action in the Senate Governmental Organization Committee.

As the most populated state in the US with an estimated 35 million residents, California stands to contribute a fairly large populace to the intrastate online poker market should multiple states regulate and work out a network agreement so that residents of one intrastate Internet poker regulated state can play at those online poker sites of other intrastate regulated states. This will help saturate a market that may otherwise not have enough players within one state to sustain an intrastate poker economy. Other states looking to legalize and regulate intrastate online poker are Nevada, the 35th largest state with a population of 2.8 million and Delaware, the 45th largest population in the US with not even one million residents, so California would add a considerable amount of players to the mix, making it a completely different market.

Washington’s Decriminalization of Online Poker Will Have to Wait

A Washington State proposal that would decriminalize Internet poker, downgrading it to a mere civil infraction, has been delayed. Earlier this month, State Representative Paul Harris introduced the legislation, but no says fellow lawmakers have concerns.

Poker Players Alliance VP Rich Muny wrote on 2+2 online poker forum that Harris said that it won’t be until 2014’s short session that this law amendment gets passed.

The terms of the new bill would reduce online poker participation from a felony to a “class 3 civil infraction.” Under Washington law, this charge would only hold a max fine of $50 and statutory assessments instead of prison time of up to five years and a maximum fine of $10K. Internet gambling was outlawed in 2006 in Washington, when lawmakers classified it as a Class C felony.

Harris’ statement suggests that a broader bill would be introduced in the next legislative session and has been assured that the bill will be taken much more seriously in the next session and be given more consideration. In a statement he made last week to the Washington House Government Accountability & Oversight Committee, Harris said online poker could generate revenue as high as $400 million.

He states, “I will not give up on this bill, this will be a priority for me. Do not be discouraged, it was an important step to even have this bill heard. We WILL get online poker legal again in Washington State.”

Muny reaffirms that the PPA strongly supports this step towards “complete repeal of the egregious penalty.”

New Jersey Moves Forward in Online Poker Regulation

It was great news for the online poker community of New Jersey on the 7^th of February, when Governor Chris Christie gave strong indications that he was going to pass a bill for online gambling in the state.

The governor stated that he had concluded it was time for the state to pave the way for the rest of the nation and embrace Internet gambling through regulation and legalization. Christie says all systems are a go to start the process as long as a few minor conditions are met and a renewal period of 10 years for the legislation.

Governor Christie proposes a suggested tax hike for operators, from the current 10% to an increased 15%.

The newly amended gambling bill will now be revisited by the legislators of the state for approval, after which it is expected to pass in the Assembly and in the State Senate. Thereafter, it will be presented to Governor Christie, so that he can sign it into law. Many are hoping he actually signs it this time, as the last time an online poker bill made it all the way to his desk, he vetoed it.

Poker Stars, which is the world’s largest online poker site, also received great news with much excitement, as they just recently bought the Atlantic Club Casino in anticipation of the safe passage of the bill. This acquisition on the Boardwalk is expected to protect up to 2000 people from losing their jobs.

The news of the bill came in good time for some of the largest gambling brands to witness an increase in the prices of their stocks. MGM, Caesars, and Boyd enjoyed a good boost. The share prices of many other online companies, such as Betfair, William Hill, bwin, Zynga, 888, and Playtech, also went up.

Following the announcement by the Governor, a spokesperson for PokerStars said they had constantly stated that a bill of this sort would steer development in the economy and ensure that more jobs are created in New Jersey. He also emphasized the company’s commitment to playing their part in the same process.

Poker Content Agreement between Bally and Amaya

On February 11, Bally Technologies, Inc. signed a memorandum with Amaya Gaming Group, marking the integration of the Ongame platform into Bally’s iGaming platform. Ongame will now become the preferred network for Bally’s favorite poker provider, as well as for the upcoming online gaming market in the US.

The Ongame online poker network consists of 25 of the strongest brands in the US gaming industry. It is presently used by more than 20 million clients. Ongame also manages networks in France, Italy, and Spain.

Amaya Gaming Group Business Development VP Darcy Krogh says, “We are delighted to add Bally as a partner in the US Market. They are an established global brand with great customer reach in the land based gaming industry. The combination of Bally and Amaya should provide casino operators and their players many benefits of a strong strategic alliance, bringing state of the art poker and casino content to the market.”

Bally Technologies’ VP of Business Development, John Connelly, is also thrilled with the incorporation of Ongame into the Bally iGaming platform, pointing out that “Ongame is a world leader in the online poker space and we are excited to incorporate their best-in-class offering into the Bally iGaming platform. This relationship further validates the current transformation within the online gaming sector, which integrates traditional and online casino systems, allowing casino operators to protect their data, while offering their customers Best in Class content.”

A considerable number of the world’s biggest gaming operators use the Amaya platform. It provides an extensive range of gaming products for land-based, online and mobile gaming rooms. This gaming suite includes products like slot machines, sportsbook, lotteries, casino, and poker.

Bally technologies boast a rich history that dates back to 1932. They design, manufacture, operate, and distribute sophisticated devices and technology solutions for gaming. Their product lines include video slots, interactive and mobile applications, reel-spinning slot machines, and wide area progressives, among others. They also offer a wide variety of slot management, accounting cashless and table management solutions and bonuses.

Pennsylvania Moves Toward Online Poker

Pennsylvania is currently the second state with the biggest lucrative gaming market in the United States, but could get even bigger still if a recent bill to legalize online poker and other potential online casino games is passed into law.

The Pennsylvania gaming operators are expected to oversee the online gaming industry under Representative Tine Davis. According to this bill, the online gaming license would cost casino operators $16.7 million, and a reasonable tax rate will also be imposed. All license fees and taxes collected will go to State Lottery Fund and Property Tax Relief Fund.

Rep. Davis says, “Considering the nationwide efforts to legalize Internet gaming, it is imperative that we maintain the integrity of our gaming industry amid inevitable federal preemption and competing states, as well as possible expansion of Internet games through the privatization of our own State Lottery.”

The need to regulate and establishment of a reliable Internet gaming system to protect Pennsylvanians from online casinos exploitation is important to lawmakers, so the revenue and taxes is just icing on the cake. Another perk is potential jobs creation for Pennsylvanians.

After Pennsylvania casinos stole much of the business from neighboring New Jersey’s Atlantic City, the move forward for Pennsylvania online poker may or may not encourage New Jersey governor Chris Christie to take the plunge into online poker as well.

Other states considering legalizing online poker and other potential online gaming include Iowa Mississippi, and California. Delaware and Nevada, however, have already legalized online gambling. 2013 is the year that many states are anticipated to take massive steps towards legalizing online gaming as a reaction to the federal government’s failure to act in 2012.

New GPI Facebook Poker App to Launch

The Global Poker Index is initiating a free social game on Facebook—Fantasy Poker Manager—in the likeness of the popular Fantasy Football League. The free game is a product of GPI Zokay Entertainment Company, and the company permits poker fans to organize themselves into teams of 10 players (max) with a virtual budget of $1,000,000. All the team players are given fantasy values founded on the GPI that ranks the players according to their results in the most recent poker tournaments and the players’ popularity in the fantasy poker game. This fantasy game also allows for the various teams to establish private leagues or to compete one-on-one against each other.

Fantasy Poker Manager CEO Alex Dreyfus explains that game is a great achievement in the online poker community. It acts as a bridge between social poker, online poker, and live tournament poker.

It is, in addition, expected to promote poker and bring poker professionals and fans together.

According to a recent report, the launching of the mobile version of the Fantasy Poker Manager application is planned to take place in the next few moths, maybe sooner!

WPT Borgata Winter Poker Open Title Goes to Andy Hwang

Beating out a field of 1,041 other players, Texan poker pro Andy Hwang was victorious at the World Poker Tour Borgata Winter Poker Open, earning himself a hefty payout totaling $730,053. Twenty-seven-year-old Hwang was already leading by the time the game reached the $3,500 re-entry table of six. It was only six hours remaining for Andy to conquer his opponent and his most prestigious score to date. The first poker player to exit the arena was Matt Salsberg, champion of the 2012 WPT Grand Prix de Paris, who finished Borgata in 6th place ($147,671). Salsberg defeated James Anderson with his pocket sixes against Anderson’s A/9.

Anderson’s K/K followed Salsberg, defeating Jeremy Druckman’s A/10, who finished in 5th ($182,514), just before Anderson was dealt a K/Q, calling Matt Haugen’s Q/J all-in shove. The River showed 8-5-2-2-8 declaring Anderson the winner and eliminating Haugen in 4th ($222,336). Anderson continued with his roll and defeated Mike Gogliarmella, 3rd ($265,475), leaving him to go heads up against Hwang.

At the beginning of the heads-up action, Anderson had an upper hand, but Hwang took him over twenty hands later and bullied him out of his chip lead before playing the defining hand. Anderson, in frustration, moved in pre-flop with 10/8. Hwang called with As/6s.

The River showed Kh/Js/6c/5s/4s to declare Hwang the winner and grant him the WPT Borgata Winter Poker Open title.

The WPT moves on to the Seminole Hard Rock Hotel in Florida, as the WPT Lucky Hearts Poker Open prepares for a February 8th start date, just in time for Valentine’s Day.

Cash Machine Pays Out $100 Bills Instead of $1 Bills

A Mississippi Casino cash machine was found to be spitting out $100 bills instead of $1 bills over the weekend, and some Magnolia Bluffs Casino patrons took advantage of the accidental jackpot. The error was later found to be that the machine was wrongly loaded by a casino employee, who had inadvertently put the $100 bills into the $1 bill slot.

Before the problem was realized, a man put $5 into the machine and received $500 back. Others tried the same tactic and were delivered the same fate, until the money machine was empty of $100 bills.

But later, other casino patrons, who were trying to cash out legitimate tickets, were being given $1 bills for $100 payouts. Once the casino was notified of the problem, the local Natchez Police Department took over. Public Relations Officer Jerry Ford explains, “Instead of giving out change like $1 for change for a five [dollar bill], it would give you $100 bills. For people who were cashing a ticket in [to get] $100, they were getting a dollar.”

After watching the video surveillance footage from casino security cameras, six people were found to be involved in the incident. The casino was very fair and gave the people a timeframe to return the money, which was declared stolen. If they didn’t return the money, they would face grand larceny charges. Five people returned the money and were cleared of all charges. The sixth suspect is yet to be identified.

Ford says, “If a machine malfunctions and the money that it gives out is incorrect, that [doesn’t] give you the right to take it.”

Nevada Approves More Gaming Licenses

The Nevada Gaming Commission issued two more interactive gaming licenses this week. Out of Rome, Italy, Lottomatica, and a subsidiary of Golden Gaming, Sartini Synergy, have both received approval to operate out of Nevada’s intrastate online poker agenda.

Golden Gaming owns Golden Route Operations, which happens to be Nevada’s biggest slot route operator. Golden Gaming also owns PT’s Entertainment Group and three casinos in Pahrump, Nevada.

Lottomatica owns subsidiaries across the globe as well, including Spielo slot machine maker, whose headquarters are located in Vegas, as well as GTECH, based out of Rhode Island.

Progress is being made in the cause for US online poker, as Nevada lawmakers have introduced new legislation that will allow an intrastate online poker compact between all states that are regulating intrastate online poker, so that players can play among state-licensed online poker sites. Right now, the only other state that has passed this type of legislature is Delaware, buy other states have similar bills on the floor including Mississippi and California. More states are expected to jump on the intrastate online poker bandwagon.

While the Nevada online poker program was expected to be up and running last fall, and then again by the beginning of the year, has yet to kick off. But once it does, many are hopeful that other states will follow suit.

NBC National Heads-Up Championship Returns

NBC’s Heads-Up Poker Championship will return after a yearlong hiatus. The NBC HHUPC is an invitation only live tournament that amasses 64 of the biggest players in professional poker.

2013 NBC NHUPC producer Mori Eskandani believes that the return of this event is a good sign for US poker and shows progress for the industry.

The $25K buy-in makes the event prestigious, as the made-for-tv format, will hopefully stir up online poker interest again in the mainstream poker community.

Eskandani says, “When [NBC is] bringing poker back, it’s good news.”

And even more good news is that for the first time since the inaugural National Heads-Up Poker Championship in 2005, Caesars Interactive Entertainment Inc. will market WSOP.com banners, as the Caesars brand just recently received licensing privileges to operate intrastate online poker in the state of Nevada.

The first round of the tournament will begin today at 2:00 p.m. at the Caesars Palace poker room. One of the thrilling matchups includes Antonio Esfandiari against Jennifer Tilly. Esfandiari is the best friend of Tilly’s boyfriend, Phil Laak.

Tilly says of her opponent, “He’s the only one I can’t read.”
Laak will face off against Phil Ivey, while Justin Bonomo will go up against Ike Haxton. Mike Matusow goes up against Michael Mizrachi and Gaelle Baumann will play Liv Boeree.
2009’s Phil Hellmuth vs. Mike Sexton, in which Hellmuth was the victor, will return for a re-match. Daniel Negreanu has declined his invite due to a prior engagement.

In order to cash, players must win at least two matches. To win the $750K first place prize, the champion will have to win six matches. The event will culminate on Saturday

Six consecutive two-hour episodes will air weekly beginning in March on NBC.

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