GPWA Times Magazine - Issue 28 - April 2014

few? Abboud never addresses that ques- tiondirectly, but the answer is clear. Adelson – and, by extension, Abboud – donot trust the states toget it right. They think companies like PokerStars will slip into themarket at the state level.And his prime evidence is that PokerStars is ne- gotiating adealwith theMorongo Indian tribe, The Commerce Casino, The Bicycle Casino and Hawaiian Garden Casino to supply software and possibly help oper- ate their onlinepoker rooms. Distrusting states is anunusual argument to be pushing to Republicans. One of the core principles of the Republican Party is states’ rights – the idea that states are much closer to the people, and therefore muchbetter at governing than the federal government. Yet this argument flies in the face of that basic principle. Yes, when it comes to moral issues, the Republicans are generally willing to sublimate their states’-rights instincts. And that's why they'repainting their opposition toonline gaming as amoral cause. But they aren't making a moral argument here. They're making the argument that the federal government knows better. And that's an odd argument forAbboud – andAdelson – tobemaking. Additionally, Abboud's PokerStars argu- ment is disingenuous. PokerStars isn't going to get back into theAmericanmar- ket. States are either going to ensure that via legislation – like Nevada did with a bad actor's provision – or through a stiff regulatory process like New Jersey im- plemented. In California, there's no way legislation that allows PokerStars into the market will ever pass. It's a political impossibility with several key tribes op- posing the inclusion of PokerStars in the marketplace. Regardless of method, PokerStars isn't coming back to the U.S. So if Abboud is fine with Caesars and MGMgettingonlinegaming licenses, and if bad actors are already being excluded from the marketplace, why are Abboud andAdelsonpursuingprohibition instead of regulation? Fear. Abboud knows operators are afraid of PokerStars, and he's playing to those fears. “ The ironyof using thesame arguments that wereusedagainst land-basedcasinos to try tostoponline gamingappeared to be lost onAbboud.” SheldonAdelson, chairmanof LasVegasSands (photobyVinNarayanan) 35 DeconstructingAbboud