Louisiana Governor Vows To Fight Regulated Online Gambling

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Friday, February 21st, 2014 | Written by Shane Larson

Six years ago, Piyush “Bobby” Jindal ran for State Governor promising to campaign against the expansion of gambling in Louisiana. The Republican governor then reiterated his determination to stop its spread in Louisiana, last week, after penning a guest op-ed for the Greater Baton Rouge Business Report, in which he attacked the whole premise of regulated internet gambling.

Internet gambling in Louisiana a step too far

Back in 1993, Louisiana opened its first casino in order to lessen the state’s dependence on oil and gas revenues. By 2012, the ‘Pelican State’ had expanded its operation to become a $2.4 billion a year industry, with $579.5 million of that total going towards state taxes. In addition, land-based casinos provided employment to more than 15,000 people and furnished them with $631 million in wages.

In December, 2013, Louisiana subsequently generated $202.2 million in revenues from casino gamblers, but a state expansion of gambling to include internet wagering is seen as a stretch too far by Bobby Jindal, who has now vowed to prevent Louisiana from joining the ranks of the other US states offering online gambling, namely Nevada, Delaware and New Jersey.

The Louisiana Governor has framed his argument by saying that the biggest losers in case of regulation would be America’s middle classes, who would subsequently become the victims of the USA’s growing income disparity. Furthermore, Jindal has expressed his steadfast opinion that gambling online is bad for society in general, and that it could be used by criminals for fraud and money laundering purposes.

“Those who want to bring casinos into America’s living rooms say ‘trust us, it’s safe for kids,’ and that the ‘technology can thwart criminals and money launderers. I don’t trust them, and neither should the people of Louisiana,” stated Gov. Jindal.

Gov. Jindal joins Sheldon Adelson camp

Interestingly, the State Governor hadn’t been too vocal on the subject recently until a study by global gaming research company Gambling Compliance named Louisiana as one of ten US states seriously considering introducing online gaming legislation this year. Other states mentioned include California, Colorado, Hawaii, Illinois, Iowa, Louisiana, Massachusetts, Mississippi, and Pennsylvania.

Coincidentally, Governor Jindal’s latest sudden re-engagement with the topic also came the very same week billionaire casino owner Sheldon Adelson launched his ‘Coalition Against Internet Gambling’ funded ad campaign, warning that regulated igaming would enable criminals and terrorists to gain a foothold in households all across America. The Las Vegas Sands Ceo happens to be America’s top anti-online gambling campaign donor, and has vowed to spend “whatever it takes” in order to halt its advance Stateside.

Recently, Adelson and his supporters have been busy posting anti-internet gaming opinion pieces in the editorial sections of U.S. newspapers, and Jindal’s article in the Greater Baton Rouge Business Report reflects many of the views already expressed by Adelson and his minions. Attempting to distinguish the differences between gambling in land-based casinos and their online counterparts, Jindal had the following to say:

“There is a big difference between having to go to a casino and having a casino come to you. Americans know that betting on an iPhone or a computer or on an iPad is fundamentally different, and much more dangerous than going to a casino where trained staff can prevent kids from playing. It is impossible to implement a responsible gambling protocol in an Internet gambling environment.”

Louisiana igaming needs Jindal’s blessing

In 2011, the Obama administration cleared the way for legalized state-by-state Internet gambling, after the 1961 Interstate Wire Act was reinterpreted to refer only to a “sporting event or contest.” Since then, Nevada, Delaware and New Jersey have become regulated markets, while numerous other states have commissioned feasibility studies before possibly joining the industry.

Last year, too, the Louisiana House voted 62-22 in favour of an online gambling feasibility study introduced by Representative Rep. Mike Huval, only to die later in committee. Any further moves to advance online gambling interests in Louisiana without Jindal’s blessing are likely to face similar challenges in the future.

“It is a bad idea at a bad time, and putting a stop to it should be supported by both Republicans and Democrats. That is why I urge our leaders in Washington DC to restore the original interpretation of the Wire Act and ban internet gambling. Internet gambling is a bad bet that we cannot afford to make,” said the governor.

Amongst the other political causes Jindal has opposed in the past are abortion and same-sex marriages, whilst he has lent his support to other controversial issues such as gun rights, and constructing a border fence.