NeoPollard Pushes DOJ to End the Wire Act ‘Charade’

More and more companies are pushing the US Department of Justice to finally reveal if the Wire Act will apply to lotteries as well…

…and NeoPollard Interactive has also jumped on the bandwagon.

This company, which is actually a vendor for the New Hampshire Lottery, publicly called out the Department of Justice.

It is requiring answers from the DOJ on determining if the Wire Act applies to interstate and online lotteries, or not.

In the Process of Revision

Currently, the US Department of Justice is still in the process of making its decision.

According to some US sources, it plans on extending the window during which it will not enforce the revised interpretation of the Wire act probably until mid-June.

Back in January of this year, the DOJ announced that it revised its decision from 2011…

…that the Wire Act applies to all forms of gambling and not just sports betting.

But, just last month the same state regulator revealed that the changes don’t address whether online and interstate lotteries are legal or not.

The April Filing

The new filing issued in April was actually a result of a legal challenge coming from New Hampshire over the revised Wire Act opinion.

Now, NeoPollard has introduced a more thorough filing on the same matter regarding the New Hampshire District Court.

NeoPollard’s officials said in the filing that they believe the Wire Act is a criminal statute that imposes quite severe penalties on its violators…

…which include really lengthy of imprisonment.

NeoPollard also notes that violations of the Act can serve as predicates for criminal prosecution under the Racketeer Influenced and Corrupt Organisations Act, which carries longer prison sentences.

Details on the NeoPollard’s Filing

“This charade must end. The plain truth is that whatever the Department might later conclude, there is no definitive case law to conclude that vendors to state lotteries such as NeoPollard can be categorically removed from the ambit of the Wire Act, ” it is said in the filing.

“The only path forward for NeoPollard is that charted by the Department’s 2011 opinion: a conclusion that the Wire Act is limited to sports betting.

“The Department’s recent interpretive gymnastics make clear that only a declaratory judgment from this Court, not further discretionary forbearance from prosecution, and certainly not a new opinion from the Office of Legal Counsel, can relieve NeoPollard from the threat of criminal liability and the many collateral consequences that flow from that.”

The Court Should Be Transparent

It is also mentioned in the filing that the court should be more transparent about saying that the Wire Act applies only to sports betting.

“NeoPollard has sought a declaratory judgment that the Wire Act covers only sports gambling, and they are entitled to that relief,” the filing added.

The NH Lottery still claims that the revised Wire Act opinion could force them to remove some games…

…which would lead to a $90 million annual loss for New Hampshire.

Also, by banning interstate gambling transactions, the sales would be cut by 25% each year. On the other hand, a ban on multi-state games like Powerball would diminish lottery revenue by $80 million each year.

Source:

“NH Lottery vendor blasts DOJ over Wire Act ‘charade’”, igamingbusiness.com, May 3, 2019.