iMEGA filed a brief on Sept. 29 with the US Court of Appeals in yet another challenge to the UIGEA of 2006 that attempts to block online gambling transactions for US players. The new suit claims that the UIGEA should be overturned in that is unconstitutional as Congress can not make the financial institutions responsible for determining what is a legal transaction.
“This is a very simple argument on which we ask the Court to overturn this law,” said Joe Brennan Jr., iMEGA chairman and CEO. “UIGEA should be ‘void for vagueness’, in that Congress has not defined what an “unlawful Internet gambling transaction” is, as they are required. Congress cannot delegate that necessary determination as to what is ‘lawful’ or ‘unlawful’ to US banks and credit card companies. The Department of Treasury, which has been tasked with drafting the regulations for UIGEA, has testified before Congress that they themselves cannot make that determination. Because Congress refused to draft necessary standards, the law is so inherently flawed as to make it totally vague and unenforceable, and we are confident that the Court will overturn it.”