Congressman calls for details of WTO internet gambling settlement

March 12th, 2008
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In a move that could affect internet gambling, Congressman Peter DeFazio (D-OR) asked the U.S. Trade Representative to disclose trade concessions made to foreign trading partners without Congressional approval, according to a press release issued by the Safe and Secure Internet Gambling Initiative.

The move means Congressional intervention may be on the horizon regarding internet gambling, perhaps voiding commitments the USTR gave to the European Union, among others. Previously, the U.S. had policies to keep European and other foreign internet gambling ventures out of the United States.

According to the release:

In a letter circulated to all members of Congress last week, DeFazio encouraged his colleagues to join him in calling for the USTR to provide a copy of the concession agreement between the United States and the European Union. The USTR had recently rejected a Freedom of Information Act request for the same document, claiming the agreement was classified for national security reasons. “There is a concern that the USTR may have been ambitious in its use of a ‘national security’ classification to avoid any publicity of which new business sectors are to be subject to the GATS (General Agreement on Trade in Services) treaty,” said DeFazio’s March 6 letter.

And later:

Congressman DeFazio’s request is an indication that the Administration’s unilateral action to attempt to resolve the WTO Internet gambling dispute is in jeopardy. “Congress should have been consulted before the US agreed to these trade concessions,” said Jeffrey Sandman, spokesperson for the Safe and Secure Internet Gambling Initiative. “We hope that Mr. DeFazio’s colleagues will join him in demanding more transparency, communication, and consultation from the Administration on Internet gambling. A non-discriminatory market for Internet gambling in the United States will restore integrity to the international trading system.”

The request is the latest in a series of actions regarding U.S. policy toward foreign gambling interests.

According to the release, last year, Antigua successfully challenged the regulation of Internet gambling in the United States with the World Trade Organization. The European Union announced earlier this week that it will open an investigation into a possible international trade violation by the US on this issue.

Legislation introduced by Representative Barney Frank (D-MA), the Internet Gambling Regulation and Enforcement Act (H.R. 2046), if passed would change U.S. policy on Internet gambling — allowing regulation — and it would resolve the international trade dispute.


Article Credit: Dustin

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