James Trusty quoted by GamblingCompliance as New Hampshire Fires Back Against Wire Act Reversal

New Hampshire Files First Lawsuits Against Wire Act Reversal

18TH FEB 2019 | WRITTEN BY: TONY BATT

Even if the Justice Department turns a blind eye to internet gambling as it has on marijuana sales in state like Colorado, the reversal sows uncertainty in the financial community where online gaming payments are processed, according to James Trusty, who led DOJ’s organized crime and gang section when the 2011 opinion was written.

“[OLC] poked the bear, in a sense, by making this kind of ridiculous reading and saying we want litigation. They’re going to get it,” said Trusty, a gaming attorney with Ifrah Law in Washington, D.C.

As for the 90-day period imposed by Rosenstein, Trusty said: “That’s like telling an aircraft carrier to turn on a dime.”

Kate Lowenhar-Fisher, a Las Vegas attorney who represents sportsbooks, echoed Trusty, saying she anticipates “an avalanche of lawsuits from state lottery commissions.”

“I think the lotteries may have been collateral damage in the effort to shut down online sports betting,” Lowenhar-Fisher said.

The Coalition to Stop Internet Gambling, a lobbying group established and funded by Las Vegas Sands, did not respond to a request for comment.

The lawsuits in New Hampshire are evidence the gaming industry may have finally found its footing after being initially stunned by the OLC opinion, which was drafted on November 2 but not posted on the Justice Department’s website until January 14.

The industry’s strategy appears to be to focus on the courts and eschew Congress – at least for now.

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