Full Tilt debacle has online and live poker game laws in the spotlight; Busted by Scott Tucker

By Cassandra E. Wheaton


Online poker website Full Tilt Poker's continuing trouble with the law has focused the public on the benefits and disadvantages of gambling through poker games online. Once, playing poker on the Internet was a method of escape from the laws surrounding live poker games in homes or social settings. But now that Full Tilt's money troubles have come to light, gamers who once bet by the click of a mouse are forced to consider whether risking the state laws on gambling at home might be worth it.

Most states have laws to regulate home gambling. However, because of the popularity of televised, professional poker competitions and the accessibility of the Internet, poker in recent years has come to be seen as a game of skill rather than simply a method of gambling. As a result, many states aren't as strict about home poker games, and in most cases, a home poker game won't cause any problems with the law at all, much less be prosecuted to the full extent of the law. Still, most state laws dictate that in order to fall under the "social game" allowance, poker games can't involve much money, must be unraked and cannot involve minors.

However, home gambling still creates a potential for illegal activity that could result in fines or jail time. In Pelham, Ala., last year, Pelham Police Department detective Lt. Scott Tucker busted a large poker tournament for operating under potentially illegal circumstances. The tournament involved thousands of dollars bet by more than six dozen players, and many of the players came to the Pelham area from other counties. Tucker said the tournament was investigated and a warrant was served because of the exceptional circumstances; Tucker made it clear that the amount of money involved and the number of counties represented by players were the real cause for concern.

Chances are, a casual poker game with some of the neighbors won't result in any kind of legal issues. Online, however, the distinction between legal and illegal has been blurry, even more so now that Full Tilt is facing prosecution. Lawmakers have been pushing to legalize online gambling, but critics say online gambling could encourage underage gambling and fuel gambling addictions. One of the arguments for legalizing online poker is that betting is based on skill of the players, not on chance. At this time, a U.S. law exists that bans companies from knowingly accepting payments that relate to illegal online gambling.

Full Tilt fell into trouble when it came up short some $330 million, with players who had accrued six-digit winnings still yet to receive a cent. Prosecution is calling the Full Tilt situation a Ponzi scheme, though Full Tilt representatives have said otherwise, instead admitting that funds might have been mismanaged, but only to the point of comparison to an irresponsible bank, not a fraudulent investment scheme.

The future of online gambling law is uncertain, though it will certainly be affected by the final outcome of the Full Tilt debacle. Although online gambling provides a much larger, sometimes international, competitor base, some players will undoubtedly default back to smaller social games until discussion has petered out. As long as they stay away from exceptional situations, like the one in Pelham, Ala., poker players should have no problem finding opportunities to exercise their playing skills.




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