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Congressman Barney Frank’s promise to introduce legislation this month that will regulate online casinos may be the only thing that can save the United States from being devoured by the World Trade Organization.

After the European Commission completed an investigation into United States policy toward online casinos, the United States was found in violation of international trade agreements.  This, of course, is a direct result of Unlawful Internet Gambling Enforcement Act.

When the Unlawful Internet Gambling Enforcement Act was passed in October of 2006 it caused quite a stir in the United States and over seas.  Although it did not outlaw online casinos it made it nearly impossible for operators to continue offering service to players in the United States.  Several legally licensed operators were forced to withdraw from the United States market.  At the time the United States was the leading market for online casinos.

It is not that the United States government has sought to ban online casinos from their country that puts them in violation of trade agreements.  Countries that do not permit gambling in their boarders do not have to allow gambling service from other countries. 

The United States was found in the wrong because it has continually attempted to persecute international online gambling companies while still allowing domestic gambling companies to conduct business as usual.  Even more shameful, the United States even allows some forms of Internet gambling, but it is no coincidence that the companies permitted to do such business are American based companies.

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