Party Gaming left the U.S. market following the passage in 2006 of the Unlawful Internet Gambling Enforcement Act, and has been in negotiations with the U.S. Department of Justice to avoid suffering any retroactive penalties ever since. Party Gaming and the DOJ are expected to reach a settlement at some point during 2008.
Party Gaming was forced to leave the U.S. market as they are a publicly traded company on the London Stock Exchange and have to answer to their shareholders, who would be allowed to take action against Party Gaming if Party gaming suffered severe penalties by refusing to leave the volatile U.S. market.
In an interview with Forbes, the CEO of Party Gaming, Mitch Garber had this to say, “These discussions are progressing constructively and I remain confident that we will reach a resolution in 2008. It’s very hard to predict. There;s some fluidity to it. We’re in the midst of a process and our attorneys tell us it is moving in the right direction and at the right speed.”
Party Gaming would like to operate in the U.S. market but will not be able to until the UIGEA, which is facing a large dose of negative pressure, is overturned. Until then, only private companies like Full Tilt Poker and Poker Stars will be competing for the US consumer’s attention.
Party gaming should resist this extortion scheme by the us doj with everything they have. Just tell the us to go to hell and don’t do business in the states. My impression is that the doj is penalizing online gaming companies for activities that were PERFECTLY LEGAL before the passage of uigea. It is extortion by an out of control government agency and should be met with all the resistance possible!