GPWA Times Magazine - Issue 24 - April 2013

they will have to defend themselves in front of the regulators. And they’ll ask about the miscoding of transactions. And they’ll ask why PokerStars took New Jersey bets when doing so likely violated the state constitution. So no, there’s no conviction on the record. But PokerStars still has a lot to answer for. The miscoding of transactions might seem minor. But it’s a big deal for regulators charged with enforcing anti-money laundering statutes. They’ll want to know why PokerStars accepts Australian players when online poker isn’t legal in Australia. And if Nevada was worried about William Hill’s operations in Australia, you can just imagine what New Jersey’s uber tough regulators will think. And they’ll want to know why PokerStars should be rewarded for being able to build up the cash reserves needed to buy the Atlantic Club from markets like New Jersey when their competitors were not able to. So this isn’t about PokerStars’ position in the industry, its relationships with other regulators or how it treats its clients. It’s about much bigger issues than that. I agree with you that AGA didn’t help its cause by trying to get involved with the licensing procedure. The gambit, if true, illustrates the blatant hypocrisy of the commercial casinos’ push for “bad actor” clauses while trying to sell casinos to those same “bad actors.” And the move, if true, shows how much the regulators are in the pocket of the casino industry in Nevada. That’s what makes New Jersey more interesting. Its regulators are sup- posed to be tougher and more independent. And it’s entirely possible that New Jersey will decide that none of this matters. It needs Poker- Stars to rescue the Atlantic Club and help Atlantic City. And that might be all that counts. Part of me hopes you’re right. Atlantic City needs the boost. And I’d like to see the casino industry forced to compete with everyone, not just people they let into the club. Business models shouldn’t be enshrined into law. But another part of me hopes you’re wrong. If PokerStars isn’t suitable for licensing, they shouldn’t be licensed. I know people who have gone through the licensing process in New Jersey, and onerous doesn’t even begin to de- scribe it. So I’m torn. I don’t think PokerStars will get licensed. But it’s a brave new world. Who knows what will happen next? AARON . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Vin, PokerStars may have violated New Jersey law by accepting bets from people in the state in the past, but it hasn’t done so for the last two years. The actions of the company in the last two years – including the purchase of Full Tilt Poker – have shown that it is a responsible, viable company that can be trusted. Lord knows I’ve been wrong before, and I may be wrong on this. But I’m willing to place a friendly $5 wager on it. And if I’m right, you can pay up with the $5 you found in the parking lot. 48 We have a “situation” here