Europe Examines US Gambling Policy

In its anxiety to impose a nationwide ban on online gambling, the US has soured relations with the European Union. The issue at stake: removing European online casinos from operating in the US. EU officials have slammed the move as discriminatory practice against EU-based companies.

The US is desperate to withdraw from its free trade commitments to permit foreign competition from taking a slice of domestic gambling revenues. A European Union delegation is leaving for Washington, DC to question legal and trade representatives about the Justice Department's stance on Internet gambling. Even as European online operations are leaving the US market, the Remote Gaming Association - which represents EU online casinos - submitted written inquiries into the matter.

US fails to respond
The Europeans have been snubbed by the Americans and whatever the outcome, the damage has already been done. Effectively this means the US is no longer bound as a signatory of the World Trade Organization - which is in direct violation of protocol. Rocky times lie ahead for the US what with the domestic credit crisis and the worldwide stock market crashes of late. America can hardly expect to benefit by shutting out European online gambling trade - the knife cuts both ways.

Reform is needed
Several leading congressmen have broken from the party line and are urging for regulations that would not only make the Internet safer for children, but also regulate online gambling activity. Among them is representative Peter King (R.-NY). The US has taken the position that online gambling is illegal, although it is allowed in other countries.