Pennsylvania regulator warns licensees over Wire Act changes
Operators must finalize plans to deal with revised interpretation within 30 days
Pennsylvania regulators have warned licensees they must fully comply with the US Department of Justice’s (DOJ) revised interpretation of the Wire Act.
In a memorandum issued on Friday, the Pennsylvania Gaming Control Board (PGCB) reiterated an “obligation to comply with the federal law in all respects” including ensuring all gaming operations are “entirely intrastate”.
Earlier this month the DOJ reversed its earlier 2011 opinion that the 1961 Wire Act only applied to sports betting, placing the expansion of egaming operations in doubt.
At the time, several analysts downplayed the significance of the new interpretation saying it could delay the further roll-out of egaming in Pennsylvania, but not completely derail it.
Providing its own interpretation of the DOJ opinion, the PGCB said it does not “negate the premise that ‘intrastate’ activity as provided by state law is permitted.”
The US deputy Attorney General has confirmed that any enforcement of the DOJ interpretation will not occur for a 90-day discretionary period, meaning that operators who are not currently compliant have until 15 April to do so.
However, PGCB director Kevin O’Toole asks licensed firms to confirm their plans for how they would comply with the new interpretation within 30 days.
The change will likely halt any future plans to pool poker liquidity between states as well as interstate progressive slot jackpot games and racing pools.