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Kentucky Court Finds Online Gambling Seizure Case Full of Holes

By Brian Chan on January 21, 2009  Email it!    Print Version

Play Slots at Rushmore Casino! LEXINGTON, KENTUCKY -- Kentucky Governor Steve Beshear's attempt to force forfeiture of 141 online casino domain names was found to have multiple flaws by the state Court of Appeals Tuesday. And that was just in the portions of the defense the judges bothered to examine, as many other problems with the lower court order weren't examined as the reversal left the points moot.

The three appellate judges split two to one in favor of striking the order of Judge Thomas Wingate based on the reading of state laws against possession of "gambling devices."

Judge Michelle M. Keller wrote in her opinion that "... it stretches credulity to conclude that a series of numbers, or Internet address, can be said to constitute a 'machine or any mechanical or other device... designed and manufactured primarily for use in connection with gambling.' We are thus convinced that the trial court clearly erred in concluding that the domain names can be construed to be gambling devices subject to forfeiture..."

Judge Jeff S. Taylor then continued the blasting of the lower court ruling, noting that even if the term gambling device was accepted to include domain names, the law against possession of such a device is a criminal statute and requires a criminal hearing before the device can be legally regarded as a gambling device.

Taylor also noted "...the conspicuous absence of the Kentucky Attorney General, who... clearly has the authority to pursue the prosecution of crimes.... The Secretary of Justice and Public Safety Cabinet has no such authority."

Also cited was the precedent of a case involving paternity suits which establishes the need for legislative action to change laws and policies in regard to technological advances. The precedent set is that, in the absence of such action, judges cannot amend the law as they suppose lawmakers might wish.

Kentucky attorneys are reviewing the verdict while considering an appeal to the state Supreme Court.

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