New Jersey

New Jersey – Still PokerStars’ Best Chance for Getting into the US

Last year, PokerStars were disappointed to learn that review of their New Jersey online gaming application would be suspended for two years. The prevailing thought was that the Garden State used PokerStars’ checkered past to keep them out while giving struggling Atlantic City casinos a chance to succeed online.

Already shut out of Delaware and Nevada too, Stars’ parent company, the Rational Group, began working on entering other states. They even sent lobbyists to meet with New York Governor Andrew Cuomo in hopes of gaining favor in America’s third largest state. But these hopes may be dashed after New York State Senator John J. Bonacic introduced an online poker bill that includes a “bad actor” clause.

As many people who follow online gaming news know, this clause bars individuals and companies who operated in the US after Dec. 31st, 2006, when the Unlawful Internet Gambling Enforcement Act (UIGEA) went into effect.

Unfortunately, it looks like the bad actor clause could prevent PokerStars from getting into California as well. The two proposed bills, written by State Senator Lou Correa (SB 1366) and Assembly Member Reginald Jones-Sawyer (AB 2291), both may include such clauses. Stars have been working to keep this from happening, however, they face fierce opposition from 12 of the state’s Indian tribes. The Rational Group are banking on the California Gambling Control Commission preventing the bad actor clauses, but there are no guarantees.

Given everything that’s going on in New York and California, perhaps the two closest states to legalizing online poker, Stars may have to lay their hopes back on New Jersey. This is especially the case when you consider the encouraging comments that New Jersey State Senator Ray Lesniak recently made. “We believe in competition,” Lesniak said, adding that PokerStars have “paid their penalty” and are “not excluded” from participating in New Jersey’s internet gaming market.

Lesniak has been a big proponent of Stars being in his state from the beginning. He once told PokerNews, “There are strong forces trying to prohibit them or at least keep them out of doing business for 3-to-5 years. I don’t think that’s in New Jersey’s best interests.”

Ultimately, it’s going to be up to the NJ Division of Gaming Enforcement to decide if the Rational Group have made the necessary changes to be accepted when their application goes up for review again. But at least some powerful gaming figures like Lesniak seem receptive to Stars, unlike several other states.

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