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Kentucky Supreme Court Hears Online Gambling Domain Seizures
FRANKFORT, KENTUCKY --
Governor Steve Beshear's contorted attempt to grab 140 online gambling sites' domain names reached the Kentucky Supreme Court this week. The court is reviewing the state's appeal of a lower court's ruling that an old statute forbidding gambling devices was not intended to include domain names.
The Internet casino industry was represented by iMEGA and attorney Jon L. Fleischaker. Fleischaker told the court that the Kentucky case is "intellectually dishonest," as it purposely twists laws and jumped from civil to criminal procedures to craft a prosecutorial process only peripherally complying to state and federal laws.
Online gambling industry representatives have attacked the attempted use of forfeiture law on a slew of grounds, including lack of jurisdiction, violation of the Commerce Clause, and failure to provide due process, as well as the absence of state law making Internet gaming illegal.
Other groups unrelated to gambling have joined the fight, as perilous legal precedent might evolve from a Kentucky victory. Such opponents as the ACLU and Internet freedom groups have joined with libertarian associations to protest the Beshear move, saying governments have no authority over foreign-based Internet operations.
The barrage of questioning by the court seemed to fall upon Kentucky attorneys, giving an impression to online gaming insiders that the state case will not be upheld in the coming ruling.
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