The Australian betting group Betcorp became the latest public company
to issue a warning on the consequences of the new US anti-online gambling
measure today (Tuesday)
The company said in a statement to the Australian stock exchange that
new US laws banning gambling in its biggest market are likely to have
"...a material adverse effect" on its business.
"While management will take appropriate measures to mitigate
its impact the Act is likely to have a material adverse effect on
the operation of the company and its profitability," Betcorp
said as its share value halved on sell-offs.
Another Australian operator, Centrebet's chief executive, Con Kafatris
told local media that the new US online gambling restrictions could
breed a new type of cyber Mafia. Kafatris said the US law's impact
on the Australian market place would be zero, though internationally
the effects could be drastic.
"In North America casino and poker gambling online is huge
and although 99 percent of operators are legal, the new law could
make underground operations mushroom," he said. "Internationally
it will effect the bank institutions and customer-to-provider transactions."
"I think the government probably needs to make sure punters
don't go underground, so it doesn't go back to the 40's and 50's of
the Mafia days. This law will create more opportunities for those
types of operations."
The new bill may also be a move by the US to create an increasingly
exclusive American market, he said. "The US government
probably wants to get rid of the foreign operators and open it up
for onshore opportunities."