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Online Casino Conditions >>> Betting News >>> May News


Canada Gaming Association Criticizes Online Casinos


Online Casino Conditions Staff
May 2, 2006

Canada is much like the U.S. in their response to online casino gambling, which is basically one that lies in a middle grey area between saying one thing and doing something else.  Internet gambling is deemed illegal in Canada, as it is in the U.S. (at least according to the ambiguous Wire Act).  However, over $500 million a year is contributed to the online gambling business from Canadian gamblers.  And take into consideration that some of the most well known online casinos and poker rooms are licensed through the Kahnawake Gaming Commission (located in the Mohawk Territory of Canada), and you have what appears to be a sticky dilemma for lawmakers.

Bill Rutsey, who heads the Canadian Gaming Association, is fed up with the current state of affairs, and recently vocalized his feelings at the Association's national conference, which has always served as a platform for introducing new gaming devices and the latest casino technology.  But now that the online gambling industry is taking away business from the land-based gambling industry, Rutsey is proclaiming that the Canadian authorities should do something about enforcing its illegal use.

As reported by the Vancouver Province newspaper, Rutsey told attendees of the convention that online gambling is "sucking" millions out of the Canadian economy, and that it alone is the biggest threat to the existence of the land-based casino gambling industry.  He drew attention to the fact that online gambling is now generating $14 billion per year, and that the Canadian government has not received a single penny in tax revenue.  Yet, Rutsey failed to mention that the Canadian government has not attempted to regulate the industry either.

After correlating online casino operators with organized crime rings, Rutsey urged brick 'n mortar casino operators to try and give gamblers more incentive of playing at non-virtual casinos by stepping up their live entertainment and vending options. His theory is that if gamblers have more compelling reason to get out of the house to gamble, they will do so.  And with nearly 50,000 people employed in the Canadian gambling industry, it is evident that people do indeed get out to gamble.  Casinos are responsible for bringing in the most gamblers, followed by lotteries and bingo halls, which have been especially losing numbers.  In response to this, rather than trying to demean the online casino industry, lottery officials developed community gaming centers which offer both live bingo and slot machines.

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