NJ Attorney General sues DOJ over secrecy surrounding Wire Act revision

New Jersey Attorney General (AG) Gurbir Grewal yesterday filed a lawsuit against the Department of Justice (DOJ) for violating the Freedom of Information Act in relation to the revised Wire Act interpretation.

Grewal said the DOJ refused to answer questions on the link between casino investor Sheldon Adelson’s lobbying efforts against online gambling in New Jersey.

Grewal said: “It’s especially important that we figure out whether this federal crackdown is the result of a lobbying campaign by a single individual seeking to protect his personal business interests.”

According to the case, the DOJ has yet to respond to New Jersey’s FOIA request for information on whether Adelson’s lobbying against online gaming had impacted the DOJ’s decision to revise its opinion of the Wire Act.

“Online gaming is an important part of New Jersey’s economy and the residents of New Jersey deserve to know why the Justice Department is threatening to come after an industry we legalized years ago,” Grewal said.

FOIA requests should be fulfilled within 20 days under the US District Court.

Adelson is a well-known advocate for greater restrictions on online operators in the US and is widely believed to be behind Republican Party-led legislation, the “Restoration of America’s Wire Act”, which aims to ban most forms of online gambling.

The revised opinion dictates the Act applies to all forms of online gambling and not just sports betting, suggesting the DOJ could bring criminal charges against operators and suppliers, even in states where it is legal.

Several states and entities have filed their own lawsuits against the DOJ, in relation to the revised Wire Act interpretation since February, including industry trade body iDEA Growth.

The New Hampshire Lottery Association’s case is currently being heard in the state’s District Court, with over 14 states providing their support for a reversal of this latest opinion.