PokerStars Announces California Online Poker Plan

After unsuccessful attempts to get back into the U.S. market via Nevada and New Jersey, PokerStars, the world’s most visited poker site, is looking at California as the gateway.

The firm, which also owns Full Tilt Poker, was kicked out of the American market in April 2011. PokerStars settled its case with the federal government without admitting to any wrongdoing.

The Morongo Band of Mission Indians, California’s three largest card clubs—the Commerce Club, the Hawaiian Gardens Casino and the Bicycle Casino—and Rational Group, which owns and operates PokerStars, announced that once California enacts legislation authorizing intrastate online poker, PokerStars will serve as the subcontractor for the Tribe and the card rooms.

In other words, PokerStars would be providing the online poker platform and related services for a real-money online poker website to be licensed, owned and operated by an entity owned by the Tribe and the card clubs. It’s a classic service provider setup.

According to the announcement, the organizations will work together to advocate for legislation that authorizes online poker, with language that is best for their partnership.

“We’re pleased to announce our agreement with these established and proven organizations that represent millions of California poker players,” Morongo Band of Mission Indians Tribal Chairman Robert Martin said. “We’re confident that, together, we can offer a safe, secure, high-quality online poker experience that brings financial benefits to California while providing the highest level of accountability, choice, service and protection for consumers.”

Right now, there are two bills in the California legislature that aim to authorize online poker. On Wednesday, the state held an informational hearing on Internet poker.

While PokerStars has the endorsement from some groups in California, others want it to be blocked from entering the Golden State market.

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