Gambling News by House of Odds

Anti-gambling groups are asking companies to take it easy during March
Madness. Some researchers say companies could make someone who is addicted
to gambling relapse. Let's face it. Very few of us actually do really well
with our NCAA college basketball brackets. David Letterman must have really
taken a pounding this year. "My prediction, in the final it will be Butler
University and Weber State," Letterman said. Of course, Letterman was
kidding. After all, UCLA is a lock this Saturday. But, even if I really
believed that, some people say you should not bet on them to make the final.
In fact, they are saying you should not bet at all. Institute of Change
Operations Director Frank Roberts said, "I don't think there would ever be a
'sure thing.' There's still an element of risk, there." Roberts says just
the act of participating in a tournament bracket won't turn you into a
problem gambler. But, anti-gambling groups are asking companies not to take
that chance. "It's the illusion of control that's operating in the brain,"
Roberts said. A new study by Bensinger, Dupont & Associates says more people
look for help to stop their sports gambling during March and April, at the
height of March Madness. Roberts says he's treated many clients for gambling
addiction, and they all say it started with something small, even by an
office pool. "Yeah, it can be even smaller than that. One's own triggers are
kind of unique to themselves," Roberts told KSL Newsradio. There are other
risks to the companies involved. Researchers say companies can be sued by
employees for any financial losses if the company started the betting pool.
Also, the BDA survey says productivity goes down, and 10 percent of workers
have called in sick to see a sporting event. Plus, they say betters are more
likely to borrow money from their coworkers. Roberts says gamblers think
they'll be able to pay of their debts after they win. "It's not going to
work, but, yet, the person of addiction continues to be in what we call
denial, or uses defense mechanisms to continue to convince themselves that,
'I can make it work,'" Roberts said. In fact, Roberts says one of the worst
things that could happen to a gambling addict is to win. "The winning would
perpetuate the denial and defense mechanisms that one is using," Roberts
said. Roberts says the cases of someone becoming addicted to gambling are
relatively rare, and usually someone is only triggered by March Madness if
they're already at risk. However, the National Council on Problem Gambling
says four million to eight million people could be considered problem
gamblers every year, and two million can be classified as pathological
gamblers.

After a 13-hour filibuster, gambling proponents found the Senate votes they
needed early today to expand casino gaming across the state. Following
speeches that dragged late into Wednesday night, the Senate voted 21-19 -
the minimum needed for passage - just after midnight to allow casinos in
Sedgwick and three other counties and as many as 2,800 slot machines at
horse and dog racetracks, including Wichita Greyhound Park. Key swing votes
were cast by Sens. Jean Schodorf, R-Wichita, and Greta Goodwin, D-Winfield.
Schodorf has voted against gambling for her seven years as a lawmaker, but
said she switched because "I believe strongly, so strongly, in the people's
right to vote." Goodwin, a longtime opponent of gambling, told The Eagle on
Monday that she planned to vote against expanded gambling because of the
potential social costs. She was on the Senate floor and not available for
comment early today. Chamber of commerce interests in Goodwin's district
strongly supported the bill, which offers a chance that a casino could go to
Sumner County if Sedgwick County voters don't want one. Under the bill's
provisions, Sedgwick County voters must decide in a special election before
the end of the year. Sumner County voters have already said yes to a casino.
Regardless of whether the casino ends up in Sedgwick County or Sumner
County, both will share in the revenue. Gambling opponents, who had been
confident of victory early in the day, said they were dismayed. "What we've
done is given away the farm," said Sen. Susan Wagle, R-Wichita, who thinks
the state could get more from casino developers than the $25æmillion license
fee the bill specifies. She also pointed out that the bill had never been
put to a public hearing. "This is a poorly written bill, written behind
closed doors." In a political drama the Statehouse hasn't seen in decades,
gambling proponents tied up the floor for hours in a desperate fight to keep
a House-passed gambling bill alive. Opponents bided their time and waited
for the proponents to run out of things to say. Meanwhile, in the House,
Speaker Melvin Neufeld, a gambling opponent, sequestered himself in his
office, declining to appoint members of a conference committee - an action
that could have brought the extended Senate debate to a close.

That left House members sitting in their seats hour after hour, waiting for
either the senators to stop talking or their speaker to let them appoint
conferees.

Longtime members said it was the longest filibuster they could remember -
exceeding a legendary six-hour speech on taxation that then-Rep. Kerry
Patrick delivered in 1988.

With hundreds of millions of dollars on the line, the issue emerged as the
most controversial bill to cross legislators' desks this session.

It passed the House about 2:30 a.m. Saturday, sending it to the Senate.

Wednesday began with a series of parliamentary maneuvers as gambling
supporters tried to ward off attempts to kill the bill.

First, Sen. John Vratil, R-Leawood and Sen. Pete Brungardt, R-Salina, teamed
up to control the Senate floor and force a vote to appoint a conference
committee -three senators and three House members who could negotiate a
final bill for both houses.

Sen. Phil Journey, R-Haysville, spoke for 25 minutes against sending the
bill to conference. At the time, his fellow legislators thought it was
lengthy.

The motion eventually passed 22-18.

But immediately after that vote, Sens. Jim Barnett, R-Emporia, and Wagle
teamed up to engineer a vote to kill the gambling bill.

That action launched the filibuster.

Across the Capitol rotunda, House members sat in their seats and stewed -
unable to do anything but unable to leave without giving potential advantage
to their opponents if the logjam were to break.

They read and played solitaire or listened to basketball games on their desk
computers.

By 10 p.m., tempers were starting to fray.

"This is dumb," said Rep. Dale Swenson, R-Wichita. "There's no reason for
the House to even be here. There's no strategy to this."

Indianapolis Metropolitan Police raided another alleged gambling house
Tuesday, this time on the city's northeast side. "I'm not robbing, killing
or stealing. I am working to feed my kids that's all I'm doing," said
suspect Rodney Wallace. But metro police say what 49-year-old Wallace was
doing is illegal. Police arrested Wallace and two others, 51-year-old
William Clinkscales and 51-year-old Clarence Michael Johnson. "Come down
here bust in on us the way they did stepping all over people and I think
that's ridiculous, it wasn't called for," said Johnson. "All that wasn't
called for. It's like they were looking for a mass murderer or something.
That's ridiculous." Police say a tip from neighbors led them to what looks
like a run down house in the 3700 block of North Keystone. But they say this
is a gambling house called "The Shack" that is wired with video surveillance
equipment. "I go there every day, every day. Shake, I'm there every time.
It's how I pay my rent when I don't go to work. It's how I pay my rent, it's
how my kids get clothes on their back," said Steve Fields. Police gathered
evidence from inside the house while some admitted patrons of the gambling
house watched from the parking lot. "There people out here that sell drugs
and get misdemeanor charges, but you get caught in there it's a felony for
what? We ain't doing. Nothing. We ain't shoot nobody and we don't hurt nob
ody nothing. It's just an honest living you know what I'm saying," Fields
said. This is the fifth gambling house IMPD officers have raided in the
past couple of months. "We are going to continue to do everything we can to
shut these things down," said IMPD Sgt. Matthew Mount. Clinkscales and
Wallace were arrested on preliminary charges of promoting professional
gambling, a D felony, unlawful gambling, a B misdemeanor and maintaining a
dive, an A misdemeanor. Johnson was arrested on preliminary charges of
promoting professional Gambling, a D felony, and illegal gambling, a B
misdemeanor. "This is a job. This is a job. I've got to work just like
you've got to work," Wallace said.

A former Merrill Lynch & Co. broker was arrested on state gambling charges
in New York, postponing his federal trial for selling access to trading
information broadcast over his firm's office intercom. Sign up for: Globe
Headlines e-mail | Breaking News Alerts Timothy O'Connell, 42, of Carle
Place, N.Y., was one of 17 people charged yesterday in connection with an
alleged $30 million online sports gambling ring, Kevin Ryan, a spokesman for
the Queens district attorney, said. "He was a runner," said Ryan. "He was
responsible for soliciting new bettors to the operation, maintaining the
relationship with bettors, and meeting with bettors to collect gambling
losses and pay out winnings." O'Connell's arrest brought his trial in
Brooklyn, N.Y., federal court to a halt this morning. U S District Judge I.
Leo Glasser later adjourned the case for the day. The trial will resume
today. O'Connell is one of seven defendants charged with conspiring to trade
on information broadcast over internal "squawk boxes" at top Wall Street
firms. He and brokers at Citigroup Inc. and Lehman Brothers Holdings Inc.
allowed day traders at A.B. Watley Group Inc., an online brokerage, to
eavesdrop on large institutional orders, according to prosecutors.

Senate President Pro Tem David Long said Wednesday that he plans to expand
his proposal to crack down on illegal gambling, suggesting that the state
should add a special prosecutor just to handle those cases. Long, R-Fort
Wayne, said too many county prosecutors view illegal gambling --
particularly by bars, clubs and other retailers using video machines with
names such as Cherry Master -- as not worth pursuing. A state prosecutor
based at the Indiana Gaming Commission could solve that problem, he said.
"The number of these machines in the state has exploded," Long said. "I
think we need to do something about it. We need to draw a line in the sand."
The Senate Rules Committee, which Long chairs, already is considering his
proposal to provide nearly $2 million to fund 25 excise police officers
dedicated to investigating illegal gambling and increase the criminal
penalties for people charged a second time with promoting professional
gambling.
It also would authorize the state to revoke lottery contracts, retail
merchant permits and state licenses for the sale of tobacco and alcohol for
any companies or organizations found with illegal gambling machines. The
proposal will be considered as an amendment to House Bill 1510, which makes
changes to the state's charity gambling legislation, when the Rules
Committee reconvenes Monday. Long, one of two senators pushing the plan,
said that he has enough votes in the committee and perhaps the Senate to
approve the proposal. In the House, however, support is unclear. House
Speaker Pat Bauer, D-South Bend, said he is uncomfortable creating a state
prosecutor and prefers to leave illegal gambling investigations to local law
enforcement. But he said that Gov. Mitch Daniels has made the problem a
state issue by sending excise police officers who regulate alcohol
establishments in search of video gambling machines. "We may have to take a
look at some of these ideas," Bauer said. Long said he's still working on
details, but the state prosecutor would take cases from excise officers and
other law enforcement from across the state. The cases likely would be filed
in Marion County. Sen. Vi Simpson, who serves on the Senate Rules Committee,
said that she's unsure how to vote on Long's overall proposal. She supports
legalizing and regulating video gambling machines for bars and fraternal
clubs but said if lawmakers don't do that, the state should enforce the law
it has. "I plan to spend my weekend at VFWs and American Legion posts to see
how they feel about this," Simpson said. "Cherry Masters in certain areas of
the state support the charitable causes of these service clubs. I want to
make sure the bill does enough to help them so they can continue those
activities."

The Kansas House of Representatives passed a bill this week allowing casinos
and slot machines. Lawmakers are betting that gaming will be a cash cow for
the state. If you listen to supporters, "destination" casinos will attract
people from around the region, and their money will boost the state and
local economies. That's enough to sway many legislators. What they're not
looking enough at, though, is how much the increased revenue will cost their
constituents. According to a 2004 study by GVA Marquette Advisors for the
Wichita Downtown Development Corp. and the Greater Wichita Convention and
Visitors Bureau, most participants of a casino in Sedgwick County would live
within a 50-mile radius of Wichita and would provide 75 percent of the
revenue. That money would likely come at the expense of other local
businesses. A study of gambling in Iowa by Loretta Fairchild and Amy
Stickney of Nebraska Wesleyan University and Jonathan Krutz of the Nebraska
Hospice Association showed that gambling has adverse effects on local
economies. Midsize Iowa cities that had casinos had an average growth of 0.7
percent, while cities that didn't have casinos grew 3.4 percent. Another
troubling aspect of casinos is ownership. Even though private entities would
run them, Kansas would be the only state to own casinos. What place does the
state have owning a business that offers so much collateral social damage?
The bill would allot 2 percent of an estimated $200 million in revenue for
addiction treatment. That's $4 million for the Sedgwick County area, and the
money would go first to Topeka, not the local area. That's a skimpy budget
considering the projected social cost. The 2004 local study estimated that
between 1 percent and 1.5 percent of adults "are susceptible to becoming a
pathological gambler." Projected on the metropolitan Wichita area, that
means that 5,000 to 8,000 people may become addicted.

The study estimated the social cost at $13,586 for each person, with an
annual burden on the community ranging from $71 million to $106 million. In
spite of these estimates, the study concluded that "while this community
social burden could be significant, its quantified estimate is still
surpassed by the positive economic impacts measured in this study."

That is a hard sell to families of the addicted.

A study in 2004 by Christiansen Capital Advisors for Harrah's found that 26
percent of players were contributing 82 percent of the profit. A similar
study commissioned by the state of Connecticut in 1997 found that nearly
one-third of gamblers interviewed at casinos were problem gamblers.

In other words, the industry feeds on addiction.

During the House debate, a tearful Rep. Anthony Brown, R-Eudora, recounted
the toll a gambling addiction took on a close relative. He convinced casino
supporters to add an amendment to ban the use of credit cards or ATMs within
the casinos and impose a weekly loss limit of $500.

But when the same legislators realized the restrictions might jeopardize
efforts to attract casino operators, they regrouped and removed the
amendment.

The Senate is now preparing to debate the bill, which Gov. Kathleen Sebelius
supports. But let's hope the appeal of fast cash from casinos won't blind
legislators and Kansans to their negative effects.

Three of four West Virginia racetracks aim to have voters decide June 9
whether to allow table games in their slots-only casinos, but executives say
the timing of votes in Hancock, Ohio and Kanawha counties is more about
urgency than strategy. "I don't think it was really organized. It's just the
first available day we could get,'' Bob Marshall, president of Wheeling
Island Racetrack & Gaming Center, said Tuesday. There will, however, likely
be some advertising coordination between Marshall's Ohio County operation
and the nearby Mountaineer Racetrack & Gaming Resort in Chester. "We would
certainly not want to confuse the media market,'' Marshall said, predicting
the launch of what both tracks call a public education campaign by the end
of April. But a conservative Christian activist group hoping to stop the
referenda says the simultaneous votes are more than coincidence; they are an
effort to divide and conquer the opposition. "I didn't ride in on a turnip
truck, I can assure you,'' said Kevin McCoy, executive director of the West
Virginia Family Foundation. "They know what they're doing. They know our
resources are limited, both in personnel and financial,'' he said. "I see
this as a way to get us off balance, to keep us from being able to organize
effectively in those counties.'' Opponents of gambling would have stood a
better chance of defeating table games if a vote had been held statewide,
McCoy said. But the bill Gov. Joe Manchin signed last week gave only voters
in Hancock, Ohio, Kanawha and Jefferson counties the right to decide whether
their racetracks should become full-blown casinos. After pushing for years
to get blackjack, poker and other games legalized, the owners of West
Virginia's tracks are eager to confront growing competition from
Pennsylvania's new slot parlors by offering something fresh. Wheeling
Island, a subsidiary of Delaware North Companies of Buffalo, N.Y., and
Mountaineer, owned by MTR Gaming Group Inc., face the most immediate
pressure. But two other tracks also stand to benefit -- Tri-State Racetrack
and Gaming Center in Nitro, owned by Michigan-based Hartman & Tyner Inc.,
and the Charles Town Races & Slots, owned by Penn National Gaming Inc. of
Wyomissing, Pa. Track owners can either have the question placed on a 2008
primary or general election ballot or seek a special election this year at
their own expense. Election costs range from $30,000 to $250,000, according
to clerks in the host counties.

Only Charles Town, which has a healthier economy, a booming population and
no immediate threat of competition, has yet to set a date for a vote. John
Finamore, vice president of regional operations for Penn National, could not
immediately be reached for comment Tuesday.

But Daniel Adkins, vice president of Tri-State's parent company, said the
three tracks that are moving quickly all "just want to go sooner rather than
later.''

Though there have been no formal discussions yet, he said it's likely the
tracks will find some way to pool their resources for the months ahead.

"We're right now putting the pieces together,'' Adkins said, so it will be
several more weeks before Tri-State starts to call press conferences and
advertise.

Though Mountaineer has requested and will likely get a June 9 election date,
Mountaineer spokeswoman Tamara Cronin said the Hancock County Commission
won't vote on the request until April 5.

"Each county is unique as far as how they handle their elections and voters,
so I think it's an individual decision,'' she said of the simultaneous
dates.

"When it comes right down to it, this is something we're going to handle as
we do all elections here,'' she said. "All politics is local, and this is
going to be about getting to each and every voter.''

Turnout on election day will be key, and that's where the track's 1,500
employees come in.

"I believe the people who will get this passed are our employees,'' Cronin
said, "because they're the ones who are impacted.''

But the West Virginia Family Foundation is determined to stop the votes by
seeking a court-ordered injunction in one or more counties.

McCoy said he believes table games as part of the state's lottery system are
unconstitutional. The lawsuit he intends to file may also challenge gambling
on moral grounds.

"We're not going to allow a vote,'' he vowed. "We will take whatever action
is necessary to stop it.''

An odd combination of gambling opponents and supporters stalled legislation
early today that would repeal Missouri's unique gamblers' loss limit in an
attempt to generate tax revenues for college scholarships. Missouri law
currently prohibits casino patrons from buying more than $500 in
slot-machine tokens or table-game chips every two hours - the nation's only
such betting cap. Senate legislation would remove the loss limit - resulting
in a projected 17 percent revenue increase for casinos - while imposing an
additional 1 percent state tax on the top tier of casino revenues. The bill
also would cap the number of casinos in Missouri. A legislative financial
analysis predicts the bill could generate as much as $113 million annually
in additional state casino taxes, which would fund new college scholarships
for Missouri high school graduates. Senators remained in session until
almost 4 a.m. this morning, finally setting the bill aside after attacks
both from gambling foes opposed to the loss limit repeal and from casino
supporters objecting to a limit on the number of casinos. Disagreement also
emerged over the size of the proposed tax increase on casino income. Senate
Majority Leader Charlie Shields, the bill's sponsor, said he wouldn't bring
the bill back for debate until at least some of the differences could be
resolved through private negotiations. Missourians approved casino gambling
in 1992 for boats along the Mississippi and Missouri rivers. That ballot
measure included the $500 loss limit. But casinos - and the Missouri Gaming
Commission that oversees them - have lobbied for years to repeal the loss
limit on grounds it puts Missouri at a competitive disadvantage, especially
with neighboring casino states such as Illinois. Supporters of the repeal
also argue the loss limits have done little to deter problem gamblers.
Adding to the pressure to repeal Missouri's loss limits is a potential
increase in competition from Kansas, where the House recently passed
legislation to expand casino gambling - most notably, in the Kansas City
area. That bill still must make it through the Kansas Senate. Shields, St.
Joseph Republican, is touting the Missouri bill more for its educational
opportunities than its economic competition with out-of-state casinos. The
new Smart Start Scholarships could be used at both public or private
colleges. Their amount would be set by the Department of Higher Education
based on the number of applicants and the total amount of money available.
Shields estimates that each high school graduate could get $2,000 spread
over two years of college.

But others argue that it's not worth reversing the will of voters.

Sen. Chuck Purgason, of Caulfield, said fellow Republicans - many of whom
fought the repeal of loss limits in the past - were following a "path of
stupidity" in now supporting the limits' repeal. He claimed colleagues were
bowing to potential campaign contributions from the casino industry.

"What we're doing here is just reneging on the deal," Purgason said. "What
this is about is raising money for the next election by listening to the
outside interests rather than the people who voted on this at home."

Senators defeated, 23-10, Purgason's amendment that would have referred the
legislation to statewide voters. They also voted down, 21-12, an amendment
that would have raised the 1 percent casino tax increase to 2 percent - on
top of current 20 percent tax on casinos' adjusted gross receipts.

The bill would limit Missouri to 13 casinos, essentially preventing a
further expansion of gambling boats beyond those already in place or being
developed. It also stipulates that any future casino licenses could only be
awarded in the same city or county as where an existing casino closes.

Senators defeated by a 17-11 vote an amendment by Sen. Tim Green, St. Louis
Democrat, that would have set the casino cap at 18 facilities.

Betting is drawing attention in the wake of Bob Woolmer's murder. Even as
speculation is rife that the betting biggies could have been behind the
crime, www.cricketworldcuplatest.com informs that the Jamaica sleuths are
yet to find any evidence regarding match-fixing and betting in Woolmer's
laptop. How big is the betting industry? A Las Vegas-datelined report on
http://abcnews.go.com cites PricewaterhouseCoopers' forecast - that global
revenue from gambling is expected to climb 8.8 percent annually 'to $125
billion by 2010'. However, according to estimates of Global Betting & Gaming
Consultants (GBGC) posted in a dated story on www.out-law.com, gross
turnover for the global gambling industry should be well over $1,000 billion
annually, with a gross profit rate of about 20 per cent. GBGC is of the view
that the UK could become the centre of global gambling; because "the UK has
long been a role model for integrity and regulation in the gambling sector."
To know about the UK laws that apply to betting, Business Line contacted
Jeff Rodwell, Partner in Reed Smith Richards Butler LLP, an international
law firm based in London. Here's Jeff, taking on a few questions on betting.
What is law on betting in the UK? The current legislation governing the
licensing of bookmaking in the UK is the Betting, Gaming & Lotteries Act
1963 as amended by the Gaming Act 1968. They provide for the licensing of
bookmakers and premises used for bookmaking. The Gambling Act 2005 is
partially in effect and is being phased in over time. The licensing
provisions of the Gambling Act 2005 come into effect on September 1, 2007.
Who can apply for a licence? The criteria under both the existing and new
licensing regimes are similar with bookmakers being required to show good
character, financial viability and industry knowledge. Both regimes also
control the use of advertising for any licensed bookmaker and prohibit
advertising for any person not so licensed. Bookmakers with a licence under
the current statute still have to apply for a licence under the new regime.
The period for application for a licence to be granted from September 1,
2007 has already closed but new licences can be applied for and granted
after the current applications (mostly existing bookmakers) have been
reviewed. On online gambling. Traditionally of course, bookmaking has been
done with a physical presence at the race track or a betting office situated
off-track. Over the last 2 years the volume and value of remote gambling
through the Internet or mobile phones has increased substantially. Both the
existing and the new statute provide for licensing in the UK of remote
gambling operations, although this is addressed more directly in the new
statute. Are these operations commercially successful? In the past there has
been little commercial interest in UK registration of remote gambling sites
because of the significant tax imposed on the turnover or profits of the
remote sites. Most of the gambling websites used by UK residents are based
in various offshore jurisdictions such as Gibraltar, Antigua, Curacao, Malta
and Alderney. Can a local person gamble on a foreign site? It is perfectly
legal for a licensed offshore gaming operation to permit UK residents to
gamble on a foreign based website. This is in contrast to the US prohibition
under the Unlawful Internet Gambling Enforcement Act 2006 on offshore
operators from providing gambling services through the web to US residents.
However in the UK advertising of gambling services not licensed in the UK is
prohibited and such prohibition will be enforced. This applies to
advertisements with a physical nexus to the UK
How then are gambling sites advertised? Obviously much advertising of
gambling websites are made via the Internet, which is legal provided that
the server is based overseas. However in the UK, there is no prohibition on
advertising websites per se, as long as they don't refer to the gambling
activities. Therefore it is quite common to see advertisements on the tube
and in magazines for the Party Poker website, but not the Party Poker gaming
operation. Has the recent UK Budget made any difference to gambling? Prior
to the 2007 Budget speech, there had been considerable speculation that in
order to promote the relocation of many of the offshore gambling operations
to the UK, the government might reduce the relevant tax to 2% or 3%. However
in the Budget speech last week, the UK Chancellor, Gordon Brown, announced
that the tax for remote gaming would be 15%. As a result it is now unlikely
that there will be any major shift of jurisdiction to the UK for those
gambling sites.

A telephone helpline for problem gamblers set up a year ago by North
Carolina lottery officials has received plenty of calls, but not from its
targeted audience. Up to 85 percent of the calls haven't been from people
with gambling problems, officials said. Instead, callers want to know the
winning Powerball numbers or have questions about their scratch-off tickets.
In February alone, about 300 people called the helpline, but 250 of the
calls came from people who didn't have a gambling problem. The 24-hour
toll-free helpline number is printed on every lottery ticket and scratch
card, along with another telephone number people can call with questions
about the games. The same confusion happens in other states, said Smith
Worth, director of the North Carolina Problem Gambling Program.

Cary Police say they have broken up an illegal poker gambling hall that was
housed in a nondescript warehouse and have arrested over 40 people on
various charges. Acting on an anonymous Crime Stoppers tip, the Cary Police
Department served a search warrant at 233 "M" East Johnson St. on Friday,
March 23rd shortly after midnight. The bland looking warehouse where police
say the gambling operation was located is in the Adams Industrial Park
around the corner from Woody's Tavern in downtown Cary next to Happy Jap's
Auto Repair. The auto repair shop was not involved in the poker operation,
say police. In a report on WRAL-TV, the owner of the Japanese car repair
shop said he often saw a 100 people or more go into the building. In
Friday's bust, Cary Police cited more than 40 people with various charges
related to drugs, alcohol and gambling. No one was hurt during the raid,
say police. Upon entering the unit, Police say that the lessee of the
warehouse space Matthew McCoy, 25, of Bulon Dr., Cary was found to be
"running an illegal poker gaming operation." In a phone interview with the
Raleigh Chronicle on Tuesday, Cary Police Captain Dave Wulff said that the
operation had been going on for at least a month and that the warehouse had
been hosting large poker games up to five times a week. "This was not just a
friendly game of poker, this was a high stakes game for profit," said
Captain Wulff to the Chronicle. According to Captain Wulff, the operation
took a cut of the games to make a profit and also sold liquor to players
without a liquor license for additional revenue. Wulff said there were six
tables present with 10 to 12 seats at each table where the players played
hands of poker. But there were no other gaming tables and regular casino
items such as slot machines or roulette tables were not present, Wulff said.
According to a report on WRAL-TV, over $20,000 in cash was siezed from the
operation. Although many folks play poker for fun, the operator crossed the
line when it was turned into a for profit business, said the police.

"While we realize and appreciate that many friends and neighbors enjoy
playing cards and other games in good fun as part of their recreational
activities, doing so for money simply isn't legal in our state," Wulff said
in a statement to the media.

Police cited NC General Statute 14-292 which says, "any person or
organization that operates any game of chance or any person who plays at or
bets on any game of chance at which any money, property or other thing of
value is bet, whether the same be in stake or not, shall be guilty of a
class 2 misdemeanor."

The warehouse lessee Matthew McCoy was charged with several misdemeanor
charges including one count of gambling, one count of possession for sale of
any alcoholic beverage without permits and one count of unauthorized
possession of liquor.

The Cary Police also say that one of the players present was arrested on
drug charges. William Tillman, 45, of Valley Ct., Raleigh, was charged with
one count each of possession of drug paraphernalia, possession of marijuana,
and gambling.

Thirty-nine other men and women from around the Triangle and state were
charged with a single gambling charge (listed below).

"We were prepared for anything, given that the tip we received suggested
that we might encounter weapons, drugs, and large amounts of cash," said
Captain Dave Wulff in a media statement about the bust. "Thanks to the
assistance of our partnering agencies Alcohol Law Enforcement, the Bureau
of Alcohol, Tobacco and Firearms, the Wake County District Attorney's Office
and the National Guard RAID unit, we were able to halt the illegal activity
without incident."

The Cary Police also said that heroin was found at the scene, but could not
be linked
to any of the arrestees, so no one was charged with possession of it.

The Cary Police said that the gambling violations, alcohol violations,
possession of drug paraphernalia, and possession of marijuana charges are
all class 2 misdemeanors. A class 2 misdemeanor carries a maximum of 1 to
60 days in jail, a fine and court costs.

The following people were each charged with just one class 2 misdemeanor
charge of gambling:

In advance of Wednesday's votes in Parliament on the geographical
distribution of casino premises licences, The Salvation Army and the
Methodist Church have re-stated their general concerns relating to increased
gambling opportunities, particularly the potentially devastating effects on
the vulnerable. 'Evidence suggests that the new casinos, the increasing
popularity of online gambling and the general drift towards the
"normalisation" of gambling within British culture, could result in many
more people developing a serious gambling addiction over an extended period.
We are not convinced that increasing gambling opportunities is a good thing
for our nation and all of us who live here,' said Alison Jackson, Secretary
for Parliamentary and Political Affairs for the Methodist Church. The 'super
casino' will house up to 1,250 highly addictive unlimited jackpot machines.
The other 16 new casinos will be larger than anything currently operating in
the UK. While the Methodist Church and The Salvation Army have welcomed the
Government's recognition of the need for protection under the Act for
vulnerable people and children, they believe there are still some
fundamental issues to be addressed in this debate. 'The Salvation Army and
the Methodist Church would have preferred to see no new casinos allowed
under the Gambling Act 2005. We therefore welcome any debate which allows
space for a further consideration of the overall impact of increased
gambling opportunities,' said Captain Matt Spencer, of The Salvation Army.
It is estimated that there are already around 400,000 problem gamblers in
the UK and the super casino will house some of the most addictive forms of
gambling. Problem gambling can result in relationship breakdown, financial
ruin, homelessness and in extreme cases, suicide. Its effects are
far-reaching, impacting not only the individual gambler, but also their
family, friends, and the wider community. The Salvation Army and the
Methodist Church campaigned during the passage of the Gambling Bill,
requesting greater measures to protect children and vulnerable people The
Gambling Act includes provision for the proper monitoring of the effects of
these increased gambling opportunities and the two Churches have recently
reminded the government of the need to keep to its commitments to properly
evaluate the effects of the new casinos, wherever they may be sited.

The minimum casino evaluation period of three years must be measured from
the opening of the new casinos, rather than from the awarding of the
licences, as there could be a considerable amount of time between the
license being awarded and the casino actually opening.

The Salvation Army is an international Christian church and registered
charity working in 111 countries worldwide and is one of the largest, most
diverse providers of social welfare in the world.

The Methodist Church is the third-largest Christian church in Great Britain,
with over 300,000 members and regular contact with 1 million more people. It
has over 6,000 churches in Great Britain, and also maintains links with
other Methodist churches totalling a worldwide membership of 70 million.

The Kansas House has approved a measure that would allow casinos and slot
machines at dog and horse tracks. The 64-58 vote this mornign gives
supporters of expanded gambling the hope that they could end 15 years of
legislative failures. The measure now heads to the Senate. Backers of the
measure say the state eventually could realize 200 million dollars a year
from the hotel-and-casino complexes and tracks with slots. The bill would
permit large tourist-attracting casinos in Ford County, Wyandotte County,
either Sedgwick or Sumner county, and either Crawford or Cherokee counties.
It also would allow 22-hundred slot machines initially, at Wichita Greyhound
Park; the Woodlands in Kansas City, Kansas, and the now-closed Camptown
Greyhound Park, in Frontenac. The Senate will either okay the measure or
send it to a committee before sending the bill to Governor Sebelius to sign.
One Wichita lawmaker thinks the gambling bill has a good shot at becoming
law. "(The Senate) is within a few votes of being able to approve this,"
says Representative Jason Watkins, a Wichita Republican, "and I think you'll
just have to see how the negotiations go with the senators. We may have a
bill to send to the governor." If the bill is approved, Sedgwick County
would have 180 days to have voters approve or reject a destination casino.
If Sedgwick County gets a casino, 22% of profits would go to the state. The
county would get two percent, while neighboring Sumner County would get one
percent. The bill also requires two percent to be put towards gambling
addiction treatment programs.

RALEIGH, N.C. It's a lottery helpline set up to counsel those with gambling
problems. But most callers have different needs. Like what are the winning
Powerball numbers? And can you help me with this scratch-off ticket? The
24-hour phone number -- 877-718-5543 -- is printed on every North Carolina
Education Lottery ticket and scratch card. The Problem Gambling Helpline is
also repeated on T-V and radio ads. Even so, up to 85 percent of callers
during the lottery's first year didn't ask for help for problem gambling. Of
some 300 calls to the helpline last month, more than 250 were screened out
as not having a gambling problem. Smith Worth is director of the state's
Problem Gambling Program. He's not worried about the misuse, noting that
other state lotteries report the same confusion.

Citing a proliferation of illegal video gambling machines, members of a key
Senate committee are considering a crackdown on bars, truck stops, clubs and
other retailers caught with the devices. The plan developed by Senate
Republican leaders would be the legislature's first significant step toward
rooting out the tens of thousands of machines that operate under names like
Cherry Master and Pot O' Gold. "They're everywhere, and they're growing in
numbers," said Senate President Pro Tem David Long, R-Fort Wayne, one of the
plan's authors. But the proposal comes as bar owners and some other
lawmakers are pushing to legalize the machines, regulate them and tax their
earnings. Long postponed a vote on the proposal yesterday in the Rules
Committee he chairs, saying members needed more time to learn about the
issue and consider their options. "I wanted to start a discussion and see if
there is something we can do about this," he said. The committee is
considering an amendment to House Bill 1510, a charity gambling regulation
measure. The amendment would provide nearly $2 million for 25 police
officers who would be dedicated to investigating illegal gambling. The
measure also would increase the criminal penalties for people charged a
second time with promoting professional gambling. It also would authorize
the state to revoke lottery contracts, retail merchant permits and state
licenses that allow the sale of tobacco and alcohol held by any company or
organization found with illegal gambling machines. There also would be
administrative and regulatory penalties for illegal gambling, which would
take the issue out of the hands of county prosecutors, who are often
reluctant to take on illegal gambling cases. Currently, the Indiana State
Excise Police raid bars, clubs and restaurants to shut down illegal
machines, which puts the establishments' alcoholic beverage permits in
jeopardy. Last year, excise police cited 435 gambling-related violations and
seized computer chips from about 1,600 illegal video gambling machines. But
excise police Superintendent Alex Huskey told the committee yesterday that
the effort has driven many of the machines into truck stops and other
retailers that don't have alcohol permits. That makes it more difficult for
law enforcement to act without cooperation from a prosecutor. Huskey said
hiring more excise police officers and giving the Alcohol and Tobacco
Commission the authority to take away a retailer's ability to sell
cigarettes would be significant changes. "This is a different approach,"
said Sen. Jim Merritt, R-Indianapolis.

James Maida, president of Gaming Laboratories International, told the
committee that illegal gambling machines can be manipulated to make maximum
profits for owners and pay out little in prizes to players.

"These games are methodically taking players' money in a way that isn't
fair," said Maida, whose company tests legal slot machines and other gaming
devices for Indiana and other states, and in nations around the world.

Maida's staff accompanied the excise police on visits to several bars and
clubs to teach the officers how to recognize an illegal machine and disarm
it. He said the staff found that most of the machines pay out 50 percent to
70 percent of the money that is gambled in winnings to players. That
contrasts with legal slot machines at casinos, which are required by law to
pay out at least 80 percent of their take and typically pay more than 90
percent.

Maida told the committee that Indiana's struggle to deal with the machines
is not unique and that dozens of states are considering similar questions.
Some opt to crack down on the illegal machines to eliminate them, he said,
while others legalize and regulate video gambling.

For years, Indiana lawmakers have been debating the legalization issue. Last
week, Don Marquardt, president of the Indiana Licensed Beverage Association,
urged a Senate committee considering a bill that would put slot machines at
racetracks to remember that bar owners need help as well.

"Please consider an amendment to address our problems," he told the
committee.

Sen. Bob Meeks, R-LaGrange, said then that he appreciated the plight of
local bar owners and fraternal clubs and told the Tax and Fiscal Policy
Committee that lawmakers need to make up their minds about the machines.

"We've got to make them legal or make them illegal," he said.

A gambling-watchdog agency, always worried that adults are falling into
dependence on wagering, is seeing unmistakable signs that adolescents are in
even worse peril. The New York State Council on Problem Gambling is about to
publish results of a study that says that, whereas in 1998, 4 percent of
teenagers were at risk to become addicted to gambling, in 2007, 20 percent
are. That astonishing leap is attributable to a number of factors, Assistant
Executive Director Mariangela Millea told the Press-Republican last week.
First of all, what is a "problem gambler?" To the council, it is anyone for
whom gambling adversely affects his or her life. With adolescents, it might
be manifest in spending their lunch money to gamble or missing school, for
example. Eventually, their behavior would get out of control to feed their
habit. Some of the factors that compound gambling problems are: Gambling
isn't stigmatized, the way drinking and drugs are. Says Millea, "Go into a
classroom and ask how many kids have had a drink or taken a drug in the past
month, and no hands will go up. Ask how many have bought a lottery ticket,
and lots of hands will go up." Society imposes little shame on gambling.
Opportunities to gamble have proliferated over the past decade. The state
lottery and Mega-Millions are widely advertised. Video gaming machines are
growing in popularity and are now in sites all over the state. Texas Hold
'Em has gained a foothold. And Internet gambling is available, with
participants merely having to state that they are of age to gain access.
Lottery tickets are now available from vending machines, which have no
oversight for the age of the purchaser. In effect, anyone is welcome to play
the games. Millea says scratch-off tickets are by far the most popular forms
of gambling for kids. "Parents will buy their kids a scratch-off, and when
they win, everybody will be excited for them - hooray! You won!" No stigma
there. The council is trying to get the consequences of gambling entered
into the curriculum of public schools so the dangers will be widely known,
as the dangers of drugs, drinking and sex are now known. The council has
asked newspapers across the state to publish its problem-gambling hotline
daily with the winning lottery numbers. The Press-Republican has been doing
that for several weeks and will continue to do it. Millea is right: Gambling
is broadly accepted, in its moderate forms. The lottery, church bingo and
office pools are seen as harmless - even beneficial - pastimes, in most
circles. But even people who see gambling that way would have to admit that
when kids are targeted, it's time for action. If adolescent gambling has
grown so explosively - multiplied five times in nine years - we need to
respect the danger of this not-so-harmless diversion.

A telephone helpline for problem gamblers set up a year ago by North
Carolina lottery officials has received plenty of calls, but not from its
targeted audience. Up to 85 percent of the calls haven't been from people
with gambling problems, officials said. Instead, callers want to know the
winning Powerball numbers or have questions about their scratch-off tickets.
In February alone, about 300 people called the helpline but 250 of the calls
came from people who didn't have a gambling problem. The 24-hour toll-free
helpline number is printed on every lottery ticket and scratch card, along
with another telephone number people can call with questions about the
games. The same confusion happens in other states, said Smith Worth,
director of the North Carolina Problem Gambling Program.

The International Association of Athletics Federations (IAAF) has moved
swiftly to reduce the likelihood of gambling scandals besetting their sport
after allegations that the death of Pakistan Cricket coach Bob Woolmer was
related to the gambling underworld. Speaking at the World Cross-Country
Championships in Mombasa, Kenya, the association voted to "forbid officials,
athletes, their representatives, managers, coaches, meeting organisers and
trainers from taking part, either directly or indirectly in betting,
gambling and similar events or transactions connected with athlete
competitions under the rules of the IAAF or its members"
In addition, it will also prohibit those in the sport from "having active
stakes in companies, concerns, partnerships, joint ventures or other
organisations that promote, broker, arrange or conduct such events or
transactions". The move comes soon after the launch of athleticbet.com, a
gambling website launched in January specialising in betting for Athletics.
The website is owned by the Austrian agent Robert Wagner, who can count
former Olympic champion Colin Jackson as a former client. Wagner set up the
website in order to make the sport more exciting and donates a quarter of
the website's profits to the IAAF's charitable foundation. It will be
interesting to see how the IAAF deals with Wagner's side-business, as some
of his clients include IAAF members. Though there doesn't seem to be much
more of a future in the website, especially as Wagner took bets on races
involving his own clients, he remains defiant. "I have been expecting this
and I understand the IAAF's position. I will just not be an agent any more.
I will sit down with the IAAF and find a solution. They cannot stop me from
running a betting website," Wagner declared.

The online gambling industry woke up this morning to learn that online money
transfer Giant NETeller has decided to withdraw "no pun intended" from the
Canadian and Turkish markets. Here is a statement the company's board
released to the London Stock Exchange: The NETELLER Plc Group ("NETELLER" or
the "Group") (LSE: NLR), the leading global independent online money
transfer business, today announced several significant changes to its
services in a number of markets. The Group continually assesses the risk
profile and status of the markets its serves. Recent actions by regulators,
payment processors, and online gaming operators have increased the
uncertainty around certain activities related to online gambling in some
jurisdictions. The Board of Directors of the Company reached a decision, on
25 March 2007, that the risk to the Group's ongoing business in Canada and
Turkey has increased in the light of such developments. The Board has
therefore concluded that the Group will no longer process transfers related
to online gambling sites on behalf of Canada or Turkey resident customers.

Tourist-attracting casinos and slot machines at race tracks were a step
closer to reality when the House gave first-round approval to the idea after
more than a dozen hours of sometimes contentious and emotional debate. The
65-50 vote before dawn Saturday advanced the bill to final action, scheduled
for Monday. House Speaker Melvin Neufeld, R-Ingalls, a gambling opponent,
said he thinks the votes will hold to send the measure to the Senate. A
bipartisan coalition proposal called for state-owned casinos in Wyandotte
County, Sedgwick County and either Crawford or Cherokee county, plus 2,200
slot machines distributed among three race tracks with wagering, the
Woodlands in Kansas City, Wichita Greyhound Park and the now-closed Camptown
Greyhound Park in Frontenac.
After the coalition plan emerged, lawmakers lined up to offer some 50
amendments, with all but a few voted down. Successful amendments permitted
Dodge City to have a casino and allowed the casino in south-central Kansas
to be in either Sedgwick or Sumner county. A third extended a moratorium on
additional casinos or slots at the tracks from 15 years to 25 years. All
casino locations would have to be approved by voters in the county in which
they're located. Supporters said the state eventually could realize $200
million a year from the casinos and tracks, though it would be about three
years before the casinos would be running. Slots at the tracks could be a
reality within a year. 12-hour debate House Majority Leader Ray Merrick
wasn't
surprised by a debate on the bill, which started at 2 p.m. Friday and ended
about 2:30 a.m. Saturday. "You can't tell people they can't run amendments,"
said Merrick, R-Stilwell. "It shows people had strong feelings."
Many amendments were seen as efforts to weigh the bill down and the flurry
of proposals irritated some lawmakers as the night grew late. "As good as
these amendments are, this is about gaming," said Rep. Tim Owens, R-Overland
Park. "We don't need to sit here all night and listen to everybody's
favorite topics."
The coalition offered its 98-page plan as an amendment to a Senate-passed
bill extending the Kansas Lottery, which is due for renewal this year.
Attaching a gambling measure to a Senate bill means the chamber could
quickly accept it or resolve the issue in a House-Senate negotiating
committee. Supporters noted that Kansans already are gambling. Besides the
lottery and wagering at race tracks, there are casinos in Kansas City, Mo.,
and tribal casinos in Oklahoma near the state line. Also, there are four
American Indian casinos in northeast Kansas.

"It provides a revenue stream for things the state needs. It provides a
leisure activity for a lot of our folks and it keeps money in Kansas," said
Rep. Charles Roth, R-Salina, one of the backers of the coalition plan.

But other House members questioned whether the bill is constitutional,
because the Kansas Constitution requires such gambling to be state-owned and
operated and private developers would be involved under the plan.

They also said casinos and slots at the tracks would create more gambling
addicts - and more broken and bankrupt families.

The European Commission has warned German regions to think about revising
plans to ban online gambling or face possible legal action, an official at
the EU's executive arm said last week. This current action is the latest in
string of heated clashes between Brussels and European Union countries over
the gambling industry, which is limited to state-controlled monopolies in
several EU countries. EU Industry Commissioner Guenter Verheugen wrote to
German regional state governments on Friday, giving them a month to amend a
draft agreement on the issue, the EU official stated, verifying earlier
reports by Reuters. 'We asked Germany to reconsider the total ban on lottery
and sports betting on the Internet. We think a proposed total ban is
disproportionate and there are less restrictive measures, such as mandatory
prior registration and strict guarantees on identification,' the Commission
official said. Britain and Austria, two countries with thriving online
gaming industries, have already contested the ban.

The extent to which the 2007 Budget took the UK gambling industry and
investors by surprise cannot be underestimated. Only a week before Budget
day the Daily Telegraph had proudly trumpeted; "In a surprise move, the
Chancellor will use the Budget to announce that in return for a small amount
of tax - possibly as low as 2pc or 3pc - companies can obtain a UK licence
and still remain based overseas. The new tax will be called Remote Gaming
Duty. This compromise would allow gambling companies to avoid British VAT."
John O'Reilly, the head of online gambing at Ladbrokes was quoted as saying
that he was pleased with the deal, which he described as "quite a
breakthrough," whilst Clive Hawkswood, the chief executive of the
Remote-Gambling Authority, justified a low rate of tax on the grounds that
"these companies have grown up in zero tax jurisdictions. They operate on
very thin profit margins. A 15pc gambling duty would wipe out half the
industry overnight." Unfortunately for Hawkswood, a 15pc gambling duty is
eactly what the 2007 Budget delivered up, alongside a new top rate of 50%
for casinos.

Gambling winnings include winnings from lotteries, raffles and sweepstakes,
and proceeds from wagers. Gambling winnings from charity-sponsored events
are also includable in gross income. You may or may not receive Form W-2G
depending on the type of gambling, the amount of gambling winnings, and
generally the ratio of the winnings to the wager. Gambling winnings are
reported on line 21 (Other income) of Form 1040. The amount to report on
line 21 is your gross winnings less the cost of placing the related winning
bet or wager. You cannot net gambling losses against gambling winnings and
report the net amount on line 21. If you have gambling losses, you may be
able to claim them as a miscellaneous itemized deduction on Schedule A, but
only to the extent of gambling winnings. "Professional gamblers" have a
different set of rules to follow. Bernie, Brooklyn, N.Y.: Under what
circumstances would I be subject to a 10% tax penalty on a distribution from
a Health Savings Account? After all, I am using the distribution proceeds
for paying medical bills.

Gov. Joe Manchin has signed the bill allowing local option elections for
table game gambling in the state's four counties with racetrack casinos, but
the debate is not over yet. Manchin signed the bill Wednesday, one day after
the Ohio County Commission scheduled a special election for Saturday, June
9, to allow voters to decide whether to allow Wheeling Island Racetrack and
Gaming Center to have blackjack, poker, roulette, craps and similar games.
Mountaineer Race Track & Gaming Center in Hancock County will petition the
Hancock County Commission at its April 5 meeting for a special election in
early June, spokeswoman Tamara Cronin told The Associated Press. The state
has two other tracks that could ask their county commissions for elections.
Both, however, are in areas where the push for gambling is not as strong as
in the Northern Panhandle. The West Virginia Family Foundation plans to go
to court to stop the Ohio County election and to overturn the law, which the
Legislature approved at its regular session this year. "We're putting the
pieces together now," Kevin McCoy, executive director, told the AP. "We're
pretty much ready to go forward." The West Virginia Family Foundation says
the Legislature did not have the legal authority to enact a bill to allow
local option elections for table games. That requires a constitutional
amendment voted on by the whole state, the foundation says. We have our
doubts about the gambling bill, partly for constitutional reasons and partly
because it solidifies state government's reliance on gambling even more.
Unless the four racetrack casinos develop some awesome business plans, this
is an arms race West Virginia cannot win if Pennsylvania, Ohio and Kentucky
jump into casino gambling. If West Virginia loses, it has a big hole in its
state budget. What started in 1984 as a state lottery offering scratch-off
tickets only has developed into a system that wants to emulate Las Vegas or
Atlantic City. If the Family Foundation pursues its lawsuit, the debate over
casino gambling definitely will not be over until the Supreme Court renders
its judgment. And if the court rules against the new law, it will be back in
the Legislature soon after. So keep watching. This one's not over yet.

Payment processing company for the online gambling industry, Neteller, has
announced its plans to return funds to American customers. In an official
press release, the company stated that it has signed partnership agreements
with the Unites States Attorney's Office for the Southern District of New
York (USAO), as well as Navigant Consulting, a consulting firm that will
provide Neteller with operational consulting services. These new
partnerships will aid Neteller in the process of redistributing frozen funds
to its former US customers. The agreement was officially signed on March 20,
2007, and will outline the terms and a timeline under which Neteller will
organize the release of funds. The specific details are planned to be
released within the next 75 days, however, in the interim, Navigant will
provide a report to the USAO on the group's current financial situation.
Neteller's CEO and President, Ron Martin, said, "We continue to be committed
to returning funds to our US customers and working with the US Attorney's
Office." "Progress, while not always visible to the outside observer, has
been steady and these agreements mark a milestone in the process," he added.
Back in January, Neteller founders John Lefebvre and Stephen Lawrence were
arrested on a charge of conspiracy to transfer funds with the intent to
promote illegal gambling.

Nearly half of web traffic that passes through corporate infrastructure is
not related to work activities, according to a new study. The research
carried out by web security firm ScanSafe found that 49 per cent of traffic
that employees generated concerned mostly gambling, music downloads, porn
and people checking their webmail. The authors of the report said that of
traffic blocked by the company's filtering service, 14 per cent were for
advertising and promotion, 12 per cent were to online chat sites and instant
messaging applications. The company also found that blocks to gambling sites
were up 22 per cent on last year's figures. "Beyond the negative impact on
productivity, uncontrolled use of the web can have serious and costly
consequences for businesses of all sizes including exposure to legal
liability, disclosure of confidential information, breaches of compliance
requirements and unnecessary bandwidth consumption," said Dan Nadir, product
strategy vice president at ScanSafe. The company reported that 24 new types
of malware targeting IM applications surfaced in February, 54 per cent of
these threats targeted MSN, compared to 21 per cent that affected Yahoo
Messenger and 17 per cent that affected AOL Instant Messenger (AIM). MSN
continues to be the most targeted platform for malware. But the study found
that there was a marginal decline in malware in February. Web viruses
remained virtually unchanged in February after growing 27 per cent in
January. Spyware and adware fell 2 per cent in February compared to a 26 per
cent increase the previous month. "Attackers know that malware may have a
better chance of being propagated following the New Year when many users are
returning from the holiday and haven't patched their PCs," said Nadir. "This
seasonality usually corrects itself and we tend to see a steady increase in
malware, particularly spyware, as the year progresses."

A bipartisan coalition proposed allowing three tourist-attracting casinos
and slot machines at dog and horse tracks as the House on Friday began
debating whether to expand gambling. The plan called for casinos in
Wyandotte, Sedgwick and Crawford or Cherokee counties and 2,200 slots
distributed among the Woodlands at Kansas City, Wichita Greyhound Park and
Camptown at Frontenac. Voters in the counties where slots or casinos would
be located would have to approve their operation. Casino operators would
have to agree to invest at least $225 million and pay an one-time,
nonrefundable fee of $25 million. The proposal calls for the state to get at
least 22 percent of the casino revenue and 40 percent of the slot revenue
from the tracks. The plan was offered as an amendment to a Senate-passed
bill that makes the Kansas Lottery a permanent fixture, a bill that has to
pass this year for the lottery to stay in business. Supporters say the state
eventually could realize $200 million a year from the casinos and slots,
though it would be two or three years before the casinos would be in
operation. The House also considered a proposed constitutional amendment to
allow privately owned casinos. The state constitution requires gambling
operations to be state owned and operated. Also up for debate was a measure
calling for a study of the impact of expanded gambling on the state.
Although the gambling issue has been around for more than a decade, the
House last debated it in 2003, when it passed a bill and sent it to the
Senate, where it died. Last year, the Senate failed to pass a gambling bill
and said it wouldn't take up the issue again until the House sent it a bill.
Attaching a gambling measure to a Senate bill means that chamber can quickly
accept what the House did or resolve the issue in a House-Senate negotiating
committee. Also, legislators must pass a bill this year to continue lottery
ticket sales after June 30. The lottery began operating in 1987, and state
law required legislators to vote on keeping it alive in 1990, 1995 and 2001.

The push to force action on gambling began Wednesday morning when a motion
was made in the House to put another Senate bill that could become a
gambling bill into position for debate Thursday. The motion was withdrawn
after the House Federal and State Affairs Committee sent the chamber the
lottery bill and it was scheduled for debate.

It was an unusual move and viewed by many as a snub to the committee that
had been conducting hearings this month on various gambling bills. Some
lawmakers felt the committee was moving too slowly.

A spokesman for the EU said today that the European Commission gave an order
for Germany to overturn its imminent Internet gambling ban, or to stop
advertising for its horse betting monopolies, or it will face legal action.
Brussels, Germany hosts a state run betting monopoly which the European
Commission says is illegal according to its laws. The new law passed in
Germany banning Internet gambling sites is being challenged by Austria and
the United Kingdom, two countries in the EU that are legalizing online
betting sites. According to Reuters, EU Industry Commissioner Guenter
Verheugen wrote to German regional state governments on Friday giving them a
month to change a draft treaty on the issue. "We asked Germany to reconsider
the total ban on lottery and sports betting on the Internet. We think a
proposed total ban is disproportionate and there are less restrictive
measures, such as mandatory prior registration and strict guarantees on
identification," a European Union Commission official said on Friday about
the situation. The official said the draft treaty was inconsistent by
banning online lotteries, sports betting and casino games, but allowing
horse racing. This is another very positive sign for Internet gambling sites
in the US. Earlier in the week EU ruled that all European countries in the
Union who have state run lotteries, or in-country casinos, horse tracks, dog
tracks, etc. must also legalize Internet gambling. The German law that was
passed earlier in the year banning Internet gambling is almost identical in
meaning to the US law that was passed in October of last year in that they
ban Internet gambling yet carve out exceptions for forms of gambling in
their own country. Beyond the EU rulings, the WTO has sent a letter to the
US reminding them that they have until April to respond to their ruling in
the Antigua and Barbuda vs. the United States case. The past three weeks
have seen the UIGEA under attack, starting with Barney Frank offering a
repeal against the unjust law, then with the EU ruling against monopolizing
countries in the Union, then with the announcement of Louisiana dropping all
warrants against Internet gambling operators, then with the Neteller case
getting postponed and the promise of the release of millions of dollars in
funds to US clients, and now this EU warning to Germany. Analysts still
doubt a reversal of the UIGEA any time soon, but the facts being presented
by the rest of the world, as mentioned above, may prove those analysts
wrong.

March Madness could be affecting your kid. The head of an agency that helps
New Yorkers adversely affected by gambling says there's an "epidemic" of
young people with gambling problems. James Maney, executive director of the
New York Council on Problem Gambling. says if your teen seems preoccupied
with the NCAA basketball tournament brackets, that could be a sign that he
or she has a potential gambling problem. Maney is concerned because a new
survey suggests nearly 20 percent of New York students in grade seven
through 12 have a gambling problem. Maney said that a "perfect storm" of
factors, including heavy promotion of gambling in the media and general
acceptance of gaming, are contributing to the rise in youth gambling. He
said the younger a child starts gambling, the greater the chance he or she
will develop a problem with it.

Sevier County sheriff's deputies shut down an illegal gambling operation in
Strawberry Plains. Deputies say they went to the Speedway Diner at 844
Asheville Hwy. after several complaints from community members. Sheriff's
deputies tell 6 News that, working on a tip, they went inside Thursday night
and found four illegal poker machines. Capt. Randy Parton showed 6 News how
the machines appeared legitimate at first glance. "This machine right here
was on a video game when we first got there," Parton explains. "And then
when we discovered the remote controls that are used to change them, it went
from a video game over to a draw poker machine." 6 News asked for comment
from the owner, Sharon Tarwater. We were told she wasn't there before an
employee asked us to leave. Investigators say it was word of mouth and
regular customers who were cashing in. Parton adds, "They was operational
from the time they opened in the morning until the time they closed around
10:00 or so in the evening time. Apparently, it was just from repeat
customers knowing that's what they was coming in the business to do."

Three nuns have been photographed playing slot machines and blackjack at a
gaming fair in Manila, Philippines, embarrassing Roman Catholic bishops. The
church holds a firm stance against gambling of all forms and has announced
that it will launch an inquiry and says that the nuns could face
implications if they are found to have sinned. Archbishop Oscar Cruz has
ordered an investigation to go ahead and will take "steps on the sisters'
actions." Archbishop Cruz said the church strictly forbids people of the
cloth from gambling and recently defrocked a parish priest for gambling in a
casino. The photographs of the nuns gambling at the Gaming Exposition in
Manila were broadcast on television, with Cruz describing their actions as
"shameful". However, Philippine Amusement and Gaming Corporation spokesman
Edward King dismissed the incident, merely describing it as "innocent". He
claims the nuns "played without money" and denied the nuns were tricked into
playing.

German regions have been told by the European Commission to rethink plans to
ban online gambling or face possible legal action, an official at the EU's
executive arm said on Friday. It is the latest clash between Brussels and
European Union countries over the betting industry, which is restricted to
state-owned monopolies in some EU member countries. EU Industry Commissioner
Guenter Verheugen wrote to German regional state governments on Friday,
giving them a month to change a draft treaty on the issue, the EU official
said, confirming an earlier Reuters story. "We asked Germany to reconsider
the total ban on lottery and sports betting on the Internet. We think a
proposed total ban is disproportionate and there are less restrictive
measures, such as mandatory prior registration and strict guarantees on
identification," the Commission official said. Britain and Austria, two
countries with online gaming industries, have challenged the ban.

STANLEY Leisure and the rest of Britain's gambling and casino sector were
yesterday coming to terms with a major blow dealt to them by this week's
Budget.
Rank's share price suffered further losses yesterday on the stock market as
news sank in, and Liverpool-based Stanley Leisure will also be hit by the
higher taxes.
Rank looks set to lose as much as £8m a year extra in gaming duty after the
Chancellor announced it would axe the 2.5% lower band and introduce a flat
15% tax, with a new, higher levy of 50% on casino revenues above £10m.
Shares in the group dived a further 6% yesterday to 211.5p, compounding the
4% losses seen on Wednesday afternoon. Analysts described the Chancellor's
announcement as a "kick in the teeth" for Rank and the wider casino
industry. The Treasury is set to net another £35m a year from the move, but
has defended the tax changes as being vital to ensure the growing casino
sector continued to make a "fair" contribution to tax receipts.

Internet gambling websites are taking bets on who will the father of Britney
Spears' next child. Spears is mother to seven-month-old Jayden James and
19-month-old Sean Preston with estranged husband Kevin Federline. Gambling
site Bodog.com has given model Isaac Cohen, who briefly dated Spears earlier
this year, high odds for becoming the father to her next baby. Federline
follows close behind, while Hugh Hefner and oil heir Brandon Davis have been
named as outsiders, TMZ.com reports.

Pakistan awoke today to the news that the country's cricket coach had been
murdered and their national sport had once again become embroiled in a
potentially shaming match-fixing conspiracy. As President Pervez Musharraf
prepared to mark Pakistan's national day, speculation was rife that the
region's notorious match-fixing cartels were behind the strangling of Bob
Woolmer, with former Pakistan cricketers at the forefront of the
allegations. "I have been saying that he was a target of gambling mafia,"
said the former Pakistan fast bowler Sarfraz Nawaz. "The gambling mafia has
invaded the game." Former captain Rashid Latif, who exposed a match-fixing
scandal in Pakistan 12 years ago that led to a life ban for former captain
Salim Malik and fines for other players, said he too saw the hand of the
gambling rings in Woolmer's murder. "I have always said cricket has never
been cleansed of corruption despite the measures taken by the International
Cricket Council," Latif said. "They [the syndicates] were still active in
fixing results of some matches. Whoever murdered Woolmer was clearly
desperate or else he would not have been killed in the middle of a World
Cup." Jamaican police said they thought it likely that Mr Woolmer was killed
by someone he knew because he clearly let someone into his hotel room. They
stressed they did not have specific suspects. Pakistan said it was sending a
senior diplomat from Washington to Jamaica.
Raza Ali, a former police inspector from Islamabad, said there were "three
possibilities: either Woolmer was killed by the bookie mafia, by a thug or a
disgruntled Pakistan fan." "No players could be involved or commit such a
crime. Pakistan should send a team of police officers to assist the West
Indian police and co-ordinate in the investigation," Ali added. "It is a
very serious matter for the nation and cannot be taken lightly."

Pete Rose has a new spin on his gambling habit. The man who for a decade
swore that he never bet on baseball, then admitted that he did so on
occasion, now says he bet on every game the Cincinnati Reds played during
his five years as manager. Major League Baseball's unequivocal ban on
gambling is posted in every clubhouse. It's as fundamental as fielding a
grounder. So why would Rose now admit he broke the rule 814 times? The only
conclusion is that he somehow thinks the new story will help him rejoin the
game's official family and get the Hall of Fame plaque he so desperately
craves. When John Dowd investigated Rose for MLB, he detected a clear
pattern: Rose, he said, never bet the Reds when Mario Soto or Bill
Gullickson pitched. That's the kind of tip to other gamblers that baseball
rightly fears. So Charlie's new hustle is to recast his gambling as evidence
of love for his team. Sorry, Pete, but no one who really loved his team and
his game would have violated their integrity repeatedly. Care to try again?

According to story, four people were arrested and 17 others issued summons
for illegal gambling and visiting a common nuisance. Police have
investigated reports of gambling at the carwash several times in recent
years, the article said. According to a 2004 article in the same newspaper,
officers found City-County Council member Monroe Gray Jr. and Center
Township Constable Mark Anthony "Tony" Duncan sitting in a city-owned car in
the carwash's parking lot on Feb. 11, 2004. At the time, Indianapolis police
had investigated the carwash at least four times from 2002-2004, but no
charges had been made and the carwash continued to operate as usual, the
article said.

Dreams that the United Kingdom would become the standard bearer for the
online-gambling industry were dashed yesterday when UK Finance Minister
(James) Gordon Brown announced a new 'Remote Gaming Duty' (tax) of 15%, a
move ensuring that online firms will not move from friendlier tax havens to
the UK in the near future. In addition, Brown's new budget increases the
levies assessed on land-based casino operations, throwing a major wrench
into the Vegas-style casino expansion popping up across that nation. The 15%
remote duty called for by the new budget is miles apart from the 2-3% range
online companies cited as being low enough to make relocating to the UK
worth the bother; virtually no online casino could give up an extra 12% of
taxable revenues and remain competitive against firms not subject to similar
fees. The announced budget leaves in serious doubt the accords championed by
UK Culture Secretary Tessa Jowell, who led the push to legalize and regulate
online gaming and chaired last October's Ascot racetrack summit conference
of nearly three dozen interested nations. While the 15% tax is, on its face,
a fee equal to the domestic levy charged to bookmakers and bingo halls, it
may be part of a larger strike against gambling in general by Brown's Labor
Party faction. Brown also stripped away the bottom tier of tax levels for
the smallest land-cased casino operations, and replaced it with a new 50%
rate - far over the previous top tier, which was 40%. The jump, affecting
casinos such as the new Manchester casino (which are expected to post annual
gross house wins of over £10 million), could impact these casinos' ability
to become first-class tourist destinations. Efforts to explain Brown's
surprise tax hit have moved in several directions. Some reports have focused
on Brown's strict Presbyterian upbringing, said to be staunchly
anti-gambling at its core, while others see this as a planned boost to Labor
Party efforts to force the scrapping of government plans to allow the
building of 17 new "supercasinos," the first license of which was awarded to
the Manchester facility. An all-or-nothing vote on that topic is scheduled
for the UK's Parliament in the very near future. As with all perceived 'sin'
topics, gambling remains a hot-button concern. No country offers uniformity
or agreement on gambling's regulation and governing. Even as the European
Union has moved forward on the topic of gambling as a whole, the UK has
stepped back from its chance to assume a leadership role.

SPOKANE, Wash. The Washington State Gambling Commission is seeking to revoke
the license of a Spokane Valley card room security officer because of his
ties with the Hells Angels outlaw motorcycle club. Frank S. Nakayama, a
security supervisor at Ringo's Little Vegas Casino was seen on casino
surveillance tapes wearing his club "colors" in the card room. Because the
Hells Angels is considered a "criminal offender cartel," members are not
allowed to work in the state's tightly regulated gambling industry. Gary
Drumheller, the commission's Eastern Region manager, says the 42-year-old
Nakayama has until April 6th to respond to the charges and request a hearing
before a state administrative law judge. Nakayama had been the vice
president and acting-president of the Washington Nomad Chapter of the Hells
Angels in Spokane. The club's president, Richard "Smilin' Rick" Fabel, and
three other current or former members are on trial on racketeering charges
in U.S. District Court in Seattle. Nakayama is not a defendant in that
trial. As a security supervisor, Nakayama had access to the office where
casino cash is counted. He also had access to casino gaming chips and cards,
the cashiers cage and credit slips, the accounting office and records.

There's good news for seniors who may have a gambling problem. A free
national helpline offers information and resources. When it comes to
gambling, the stakes for many seniors may be higher than they suspect. The
number of seniors who gamble has grown; in fact, seniors have become one of
the fastestgrowing groups of gamblers. A recent study found that gambling is
the most frequently identified social activity among adults over 65. Some
gaming venues provide bus transportation, free or discounted meals, special
rewards and other prizes that attract older individuals. Playing slot
machines tends to be the gambling seniors prefer at casinos, but seniors may
also be found at racetracks, offtrack betting parlors, bingo games or
purchasing lotto tickets. Gambling for many seniors is a social activity
that affords them an opportunity for excitement in safe, friendly
surroundings. However, experts say that seniors are often more vulnerable to
gambling. They may use the distraction of gambling to escape the loss of a
spouse or a medical concern. The attention of the casino staff may
temporarily reduce feelings of loneliness or depression. Some may have
financial problems they are hoping to overcome. Some seniors may have
difficulty understanding that, for them, gambling may be a problem. They may
be overspending and neglecting their nutrition, lack funds for medication
and other medical needs or have less working years left to recoup the
financial losses due to gambling. Other seniors may have limited finances
and are looking for that big win to pad their retirement. It is not unusual
for seniors with gambling concerns to be too embarrassed to not seek help.
In some cases, things can spiral out of control quickly. One woman recently
told experts that over a period of five and a half years, she had embezzled
more than $250,000. Being a grandmother didn't prevent her from being
charged with five felony counts and serving more than a year in prison.

Former lobbyist Jack Abramoff, the central figure in a Capitol Hill
corruption scandal convicted of fraud in the purchase of the SunCruz Casinos
gambling boats, may be getting out of federal prison earlier than expected.
Federal prosecutors have taken the first steps toward reducing his prison
sentence for the Florida fraud conviction, now set to end in 2011. Documents
filed in federal court in Miami say that Abramoff has provided "substantial
assistance" in a separate Washington corruption scandal and that he
continues to work with investigators from his Maryland federal prison cell.
But prosecutors say in court papers that his cooperation isn't over and
"will not be complete within one year of the defendant's initial
sentencing." Abramoff, once a powerful Washington lobbyist, and ex-partner
Adam Kidan were sentenced last year to nearly six years in prison. They were
accused of concocting a fake $20 million wire transfer during their 2000
purchase of the Fort Lauderdale-based SunCruz Casinos gambling fleet.

Deadwood hospital officials want the city to declare the area around the
hospital as off-limits to casinos. They say the hustle and bustle around
casinos is not compatible with the atmosphere of a hospital. A nearby
landowner says the area is zoned for commercial development and city
officials should leave things as they are. Tim Conrad notes that Deadwood
already has casinos near schools and churches. He says that doesn't seem to
be a problem. Conrad also notes that a change in the zoning would infringe
on his property rights. The Zoning and Planning Commission will meet April
fourth to consider the request to create a no-gambling buffer zone near the
hospital. There has been talk of building a casino and hotel complex on
Conrad's lumberyard property across the street from a hospital.

A new 50% tax on the profits of larger casinos will reverse years of
favourable treatment for the gambling trade. Industry analysts are now
predicting a huge slump in investment in new and existing sites and said
Britain's first super-casino in Manchester could end up looking 'more like a
big shed full of gaming machines' than a Las Vegas-style palace. Casino
operators reacted with dismay, claiming the Chancellor's crackdown will
undermine the economic regeneration which other ministers have used to
justify a huge expansion in casinos Mr Brown, who was raised as a
Presbyterian - a church which fiercely opposed gambling - also announced a
15% tax level for on-line gambling operators. Betting and poker website
bosses have already indicated they will never relocate to Britain if faced
with such taxes, since foreign countries allow them to operate with low or
zero duty levels. Since Mr Brown's tax grab looks set to keep all operators
away, it has made a nonsense of the Government's efforts to introduce
tougher rules to regulate the fast-expanding online gaming sector. Tessa
Jowell had hoped to make Britain the capital of internet gaming, attracting
websites to base themselves here. That ambition now appears to be holed
below the waterline. The industry had expected the Chancellor to offer a
generous tax level to lure operators back to the UK but he has taken the
opposite approach, effectively banishing website operators.

Casinos and slot machines are again front and center in the Kansas
Legislature, and their fate - for this year anyway - could be decided
Friday. Frustrated pro-gambling lawmakers forced the issue into the open
Wednesday, getting it to the House floor. Debate on three bills is set for
Friday. "I expect it to be a full-body fight," said Rep. Arlen Siegfreid,
Olathe Republican and chairman of the panel that has studied gambling this
session. Details are murky, but any plan almost cert