A court in Kentucky has ruled that the state can seize the URLs of 141
internet gambling sites to "protect its citizens from harm".
The court ruled that the state had the right to seize the URLs because state
laws forbid internet gambling. Sites affected include Caribbeangold.com and
Sportsbook.com.
"Unlicensed, unregulated, illegal internet gambling poses a tremendous threat
to the citizens of the Commonwealth because of its ease, availability and
anonymity," said Kentucky governor Steve Beshear.
"The owners and operators of these illegal sites prey on Kentucky citizens,
including our youth, and deprive the Commonwealth of millions of dollars in
revenue. It is an underworld wrought with scams and schemes."
The domain name registrars of the affected sites will now be asked formally
for control of the URLs to be handed over at a separate hearing on Thursday.
"Governor Beshear has once again demonstrated that he is willing to take bold
and innovative steps to protect Kentuckians and Kentucky's legitimate
businesses," said justice and public safety secretary J. Michael Brown.
"Illegal internet gambling poses a unique threat to our Commonwealth. For
individuals, particularly our youth, it is tantamount to a virtual home
invasion.
"For some of our vital and most venerable legitimate enterprises, it
undermines their exemplary regulatory compliance and siphons away their
constituents."
Brown acknowledged that some of the sites had blocked Kentucky internet users
from accessing the sites, and that the loss of the URLS would shut down
operations worldwide, but said his first duty was to the citizens of his state.
The ruling could have a major impact on internet commerce if individual
states pass laws against specific activities that are not banned in other parts
of the world.
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