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Report: Reid Might Help Adelson Ban Online Poker

High-Level Lawmaker And Casino Boss Might Be Allies

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According to the Huffington Post, Nevada Sen. Harry Reid might be so worried about losing his Senate seat in 2016 to current Nevada Gov. Brian Sandoval that he’s willing to flip-flop and help billionaire Sheldon Adelson ban online poker nationwide.

Reid’s state is one of three with fledgling Internet gaming industries. Ironically, Adelson’s casinos in Las Vegas offer mobile sports betting, which is basically online gaming.

The owner of Las Vegas Sands Corp. wants a federal bill to pass that would prohibit, in one broad stroke, the Internet gaming businesses of competitors. Adelson thinks that traditional online gambling will harm the brick-and-mortar casino industry in the United States, which, again ironically, is more successful than ever. He also claims that games being widely available on the web is immoral because minors could access them. Irony for a third time: Back in July, Sands’ casino in Bethlehem was fined $85,000 for six alleged instances of permitting individuals under 21 to access the casino. Since that casino opened in 2009, there reportedly have been 20 such incidents.

According to the Huffington Post report, since a stand-alone bill banning online gambling has been vigorously opposed and time is running out, Adelson’s best chances are putting an online gambling ban in an omnibus spending bill. “This is where Reid comes in,” the report put it.

In order to avoid a government shutdown, Congress needs to pass an omnibus spending bill, bundling many separate appropriations measures, before Dec. 11. Given the size and complexity of omnibus bills, they are typically crafted behind closed doors by congressional leaders, who often engage in horse-trading over pet projects until the very last minute. This kind of process is perfect for moving Adelson’s online gaming ban.

Now, Reid is a Democrat and Adelson is a notorious Republican mega-donor, so Reid helping put an online gambling ban into the spending bill likely wouldn’t result in Adelson campaign donations to Reid. The report speculated that Adelson might do Reid a favor by not financially backing Sandoval, which Adelson has done so hugely in past political races.

A member of Adelson’s camp recently told a Nevada journalist that Reid and Adelson have “a very genuine friendship” and that an online gambling ban is a lock.

Reid has pushed pro-online gaming efforts in the past, but his work to legalize online poker nationwide never amounted to anything. So far, online gaming in the U.S. where it’s legal has disappointed hugely in terms of revenues. Nevada has just two online poker sites after Ultimate Poker closed its doors last month. The market couldn’t support three.

It is worth noting that banning online gaming nationwide would require discontinuing New Jersey’s online gaming industry. Though revenues have been much lower than anticipated, online gaming there is still seen as a way to help prevent the complete collapse of Atlantic City. It’s hard to imagine New Jersey politicians letting that happen. Adelson’s money most likely will still only amount to slowing real-money online gaming’s spread in the U.S. and not an outright ban.