PokerStars hits back at California tribes
Online operator believes in "highest standards of suitability" " says legislature and licensing should be left to the state's regulator
PokerStars has hit back at the California tribes which last week said it should not be granted an internet poker licence in the state if and when the product is legalised, claiming the licensing decision should be down to the state regulator.
The California Tribal Business Alliance and a coalition of 12 tribes last week urged the state legislature to prevent post-Unlawful Internet Gaming Enforcement Act (UIGEA) operators such as PokerStars from obtaining an online poker licence.
PokerStars, along with Full Tilt and Absolute Poker, was one of the operators which continued to operate in the US post-UIGEA. However in 2012 it paid a US$731m settlement fee with the US Department of Justice in 2012 and admitted to no wrongdoing.
It responded to the tribes by saying it agreed that a future licensing framework should be based upon the “highest standards of suitability” and that it “met those standards in jurisdictions around the world”, where it holds 11 licenses in territories including Italy, France and Spain.
The Isle of Man-based firm claimed the group is trying to use the legislature to gain a competitive market advantage and to limit competition in the state, rather than seeking to create a fair market offering consumer choice and protection.
“PokerStars has not, will not and need not request any changed to the California gaming regulations. Most regulatory frameworks around the world leave the assessment of suitability to qualified expert regulators,” the statement said.
“The California Gambling Control Commission has a 15-year history of successful consumer protection and is more than qualified to continue to determine suitability. PokerStars looks forward to demonstrating our suitability to the regulator just like any other company seeking to operate in California and investing in a fair and well-regulated market,” it continued.
“These groups are misrepresenting the UIGEA and PokerStars’ past US operations serving only to exclude PokerStars from the market in order to avoid what should be fair competition. Their efforts are not in the best interest of consumer choice or consumer protection.”
The operator had its licence application in New Jersey suspended for two years with the regulator raising concerns over founder Isai Scheinberg’s unresolved federal indictment. It had provisionally partnered with the Resorts Casino in the Garden State after its bid to purchase the Atlantic Casino Club fell through last year.