iMEGA takes on DOJ over sports betting
iMEGA is contesting a motion by the DOJ to dismiss its attempt to have the federal law outlawing state-regulated sports betting ruled unconstitutional.
The Interactive Media Entertaiment and Gaming Association (iMEGA) is contesting a motion by the US Department of Justice (DoJ) to dismiss its attempt to overturn the 1991 federal law prohibiting state-regulated sports betting.
The brief was filed on Friday by iMEGA along with New Jersey State Senator Raymond Lesniak and Senate President Stephen Sweeney with the US Circuit Court.
Their lawsuit, iMEGA, et al v. Eric Holder, Attorney-General of the United States, initially filed by Lesniak and iMEGA last March, is seeking the overturn of the Professional and Amateur Sports Protection Act (PASPA), enacted in 1992.
iMEGA, Lesniak and Sweeney’s lawsuit argues PASPA is unconstitutional, as it discriminates against the people of New Jersey by allowing four states exempted under the law “ Delaware, Montana, Nevada and Oregon “ to reap tax revenue from sports betting while New Jersey cannot.
The law also represents an unconstitutional intrusion by the Federal government into a matter – the regulation of gambling – which is reserved for states to determine, the lawsuit argues.
iMEGA chairman Joe Brennan Jr (pictured) said: “We’re confident the court will refuse the government’s motion. We’ve already settled the question of our standing, which was recognised and confirmed in previous Federal court cases.”
Brennan also pointed out that, ironically, the DOJ actually opposed PASPA when it was making its way through the US Congress in 1991, for exactly the same unconstitutional limits it created for state-regulated gambling. “The DOJ has quite a knot to untie here,” he said. “How can it now uphold a law it said was unconstitutional when it was enacted?”
Lesniak and iMEGA have recently been locked in a war of words with US casino giant Harrah’s, accusing it of obstructing attempts to hold a referendum on legalising sports betting at the state’s racetracks and casinos, a charge it denies, and also to efforts to pass a bill permitting Atlantic City’s casinos to offer their games online. Harrah’s is supportive of a nationwide regulatory solution for egaming.
The US Circuit Court is expected to rule on the DOJ’s motion by the end of this year.