Californian PokerStars coalition has publicly responded to Assemblyman Mike Gatto’s legislation that was introduced last week. It seems that the coalition, which unites three local card clubs as well as San Manuel and the Morongo Indian Tribes, is not particularly keen on Gatto’s ideas.
What is more, another coalition, formed between California’s other Indian tribes, is bent on preventing PokerStars from being allowed to operate within the state.
Practically, Gatto’s legislation, known as AB 9, is an adapted version of what this other coalition proposed a few months ago.
According to AB 9, the so-called “bad actors” should be penalized for continuing to accept US-based players even after the Unlawful Internet Gaming Enforcement Act was enacted on December 31, 2006. It is quite clear that Gatto’s legislation aims at preventing PokerStars from being available to Californian players. Some experts claim that this has to do less with law than with other operators being afraid of PokerStars’ competition.
On Friday, the PokerStars coalition issued a statement on the topic. It called Gatto’s legislation “a rehash of previously unsuccessful proposals.” The coalition also stated that the new law denies California-based poker players the opportunity to enjoy unique online experiences and this is why it will be strongly opposed.
The PokerStars coalition shared that it is determined to help local legislators pass a poker-related bill that will create a “vibrant, competitive marketplace.”
AB 9 criticizes not only the so-called “bad actors” but also the assets, which they cover, such as brands, software, etc. Amaya Gaming, PokerStars’ new owner, claims that the poker platform should no longer be treated as a bad actor. AB 9, however, denies its access on the Californian market even now when it has changed its owner.
Gatto’s legislation contains a clause which suggests that any applicant for an online poker license needs to prove that it will by no means influence local market in a negative manner, i.e. to put its integrity into danger or to undermine players’ confidence.
Some industry experts believe that this is all the room for negotiations that Amaya needs so as to be able to announce its terms. The company’s statement does not make it clear whether it supports the new legislation or not. In other words, the gaming provider does not want to openly welcome AB 9 when there is a possibility for its product not to be allowed access to local market.
The Poker Players Alliance (PPA) also rejected Gatto’s bill. John Pappas, its executive director, stated that the legislation has way too many imperfections. He also said that the state of California should allow access to its market to all poker operators, for this creates an opportunity for residents to be offered the best online experience.
