The United States Justice Department is encountering resistance from lawmakers regarding its endeavor to expand the Wire Act’s scope to encompass a majority of online wagering activities.
A recently introduced legislative proposal seeks to effectively withdraw funding for any actions taken by the Justice Department to implement its revised understanding of the Wire Act. This development follows a federal judge in New Hampshire’s rejection of the Justice Department’s viewpoint in a separate legal proceeding.
Issued in November 2018, the Justice Department’s updated interpretation overturned a 2011 opinion, asserting that the Wire Act pertains to all forms of gambling, not solely sports betting. This new position faced immediate criticism, prompting the Justice Department to subsequently declare a postponement of its enforcement until at least 2020.
Currently, Congress is adopting a more resolute stance. The proposed legislation explicitly prohibits the allocation of funds for enforcing the Justice Department’s November 2018 reinterpretation of the Wire Act.
Although the Justice Department retains the option to appeal the New Hampshire verdict, the passage of this bill would convey an unambiguous message and deliver a substantial setback to the Justice Department’s endeavors.