Royal Poker Blog

It’s been a little while and time for an update. Work and family issues have kept me really busy lately. I’ve played very little poker with most of that being live.

Last weekend was our monthly tournament and this time it was a rebuy format. I got stacked early when my 23 ran into 45 on an A23 flop. After the add-on I had about a minimum stack and never really got things going. I got my money in good twice as a 70 / 30 favorite only to get drawn out on.

Last night I played a dealer’s choice game. I couldn’t buy (or win) a pot, but it was still a good wild card time. I’ve played this particular game once before and in general my play is too loose. It’s tough not to gamble in those low stakes wild card infested games! This group also plays many split pot games where you need to declare your intention of going high, low or both. I personally don’t like this idea with the more “normal” Stud8 or Omaha8 games. However, with some of the more random games it adds another level of strategy. Say you’re drawing to a high hand in game X and you get there, but the action on the last street indicates you’re likely beat by a better high. Now you could stick with your high and take a shot. Or you could declare low (assuming you meet the requirements) and maybe steal half the pot if the other two players both end up going high.

A few of the regulars are playing in the monthly tournament at Soaring Eagle tomorrow. Good luck boys!

Frank Introduces Internet Gambling Regulation and Enforcement Act of 2007

Washington, DC - Rep. Barney Frank (D-MA) today introduced H.R. 2046, the Internet Gambling Regulation and Enforcement Act of 2007 that would create an exemption to the ban on online gambling for properly licensed operators, allowing Americans to lawfully bet online.

The Act establishes a federal regulatory and enforcement framework to license companies to accept bets and wagers online from individuals in the U.S., to the extent permitted by individual states, Indian tribes and sport leagues. All such licenses would include protections against underage gambling, compulsive gambling, money laundering and fraud.

“The existing legislation is an inappropriate interference on the personal freedom of Americans and this interference should be undone,” said. Rep. Frank.

In 2006, the House passed the Unlawful Internet Gambling Enforcement Act, restricting the handling of payments by U.S. financial institutions for unlawful forms of Internet gambling. That law prohibits the use of payment instruments by such institutions to handle the processing of any form of Internet gambling that is illegal under U.S. federal or state law.

Traditional forms of legalized gambling already exist in nearly every state. By continuing to prohibit Internet gambling in the U.S., the U.S. has left Americans who choose to gamble online without meaningful consumer protections. The proposed legislation would institute practical and enforceable standards to bring transparency to Internet gambling and provide consumers the protections they expect and deserve.

The Financial Services Committee will hold a hearing entitled, “Can Internet gambling be regulated to protect consumers and the payments system?” at a date to be determined in June, 2007.

Q&A About the Internet Gambling Regulation and Enforcement Act of 2007:

LICENSE REQUIREMENTS

How will the government ensure that the proper consumer protections are put in place?

No applicant would receive a license unless the following requirements with respect to any Internet bet or wager, at a minimum, are met:

• Safeguards to ensure the individual placing the bet or wager is 18 years of age or older

• Safeguards to combat fraud and money laundering and compulsive gambling

• Mechanisms to ensure all appropriate taxes and fees are collected from individuals and the licensees

• Safeguards to ensure that the individual placing the bet or wager is physically located in a jurisdiction that permits that form of Internet gambling

What safeguards would be implemented to ensure that licenses are granted only to qualified Internet gambling operators?

Applicants for a license would be required to provide comprehensive financial statements and corporate structure documents, and to agree to be subject to U.S. jurisdiction and all applicable laws related to Internet gambling. No license would be granted to any applicant convicted of a criminal violation of any law relating to gambling, money laundering, fraud or other financial laws. Licensing would be handled by the U.S. Treasury through its anti-money laundering agency, the Financial Crimes Enforcement Network (FinCEN).

CONSUMER SAFETY

How does the bill protect consumers?

The framework set forth in the bill would for the first time effectively regulate Internet gambling, thus making it possible to address underage and compulsive gambling, neither of which are prevented under prohibition regimes. Regulation combined with proven technology would establish a system of effective controls to block children and compulsive gamblers from gambling.

How can restrictions against underage Internet gambling be enforced?

Existing technology can enforce requirements that licensed Internet gambling operators restrict minors’ access to Internet gambling. For example, when registering at a gambling site, the customer would be required to provide a range of information including name, address, date of birth, telephone number and details of an identity document, such as a driver’s license or social security number. This information would then be passed on to the Payment Service Provider (PSP) and run through the Know Your Customer (KYC) system to confirm that the data being provided matches against several separate sources of information and is in fact accurate. The operators may also have KYC systems in place.

Operators could also request a physical copy of documentation, such as a utility bill and/or a copy of the customer’s identity document, for further verification.

Is it possible to identify and enforce restrictions on compulsive gambling?

There are a number of techniques that can be used, from systems that limit the total amount of funds that may be wagered based on credit limits, to the use of public databases that include details used to identify persons who have chosen to exclude themselves from online gambling. Customers could be added to this list at their own request.

Additionally, limits can be placed on the number of transactions a customer can put through on a daily, weekly and monthly basis, by the operator acting alone, by the credit card company, by the PSP, or by all three. In the event that an unusual spending pattern is noticed, these transactions could automatically be put on hold for further investigation.

FINANCIAL INTEGRITY OF INTERNET GAMBLING TRANSACTIONS

How will a license and regulation framework protect against money laundering and fraud?

Funds entering a gambling operator’s system are already resident in the banking network somewhere. That is, the funds have previously been deposited into a bank account at some stage, subjected to stringent KYC requirements, and which greatly increases the traceability of any funds entering the system. All transactions can also be checked at the time of authorization against a number of anti-fraud, money laundering and terrorism databases.

What additional security measures could be put in place to protect the consumer from merchant fraud?
Payment Service Providers could set-up escrow accounts for each licensee in which money is set aside for a period of time to ensure that when a financial transaction is successfully contested the operator immediately refunds the consumer. Therefore, any claim regarding the use of an unauthorized credit card could automatically result in a full repayment to the principal credit card holder.

STATES AND INDIAN TRIBES

Would individual states and Indian tribes have the option to opt-out of legalized Internet gambling?

To protect States’ and Indian tribes’ rights to control gambling activities within their respective geographic borders, the Act permits States and Indian tribes either to prohibit Internet gambling activities or impose limits on various types of Internet gambling activities.

Is it possible for restrictions to be enforced if individual states decide to “opt-out” from permitting persons in their states from Internet gambling?

Yes. In using the Internet, a customer’s IP address is broadcast to the operator, which can then be used to identify the state in which a customer resides with a 99 percent level of accuracy. This information is also made available and compared to the customer’s registration information. In the event the information differs, the transaction is not approved and the customer is prevented from engaging in Internet gambling.

SPORTS BETTING

If professional sports leagues and college associations decide to opt-out from allowing bets and wagers on their sporting activities, could that be enforced?

Yes. Under the proposed legislation, all licensed Internet gambling operators would be prohibited from accepting bets or wagers on sports leagues or associations that have opted-out. In the event of a violation, the operator’s license could be withdrawn and the operator may be prohibited from applying for a new license. As part of its contract with the Internet gambling operator, the PSP would be required to enforce these requirements throughout the collection and payment process.

The cool thing about long weekends is that someone usually hosts a home game. Last weekend was no exception. The game was supposed to start at 7:30 PM. I figured they’d be lucky to start by 8 and made my way over at about 9:30 hoping to get in on the 2^nd tournament. Of course I get there and find out they decided to do rebuys and there are still two tables left. That creates an interesting dilemma. If I stick around it’s going to be a really late (early) night. If I leave I miss the chance to hang with friends and play some cards…

We get tournament two (PLO8 + RA) started just before midnight. There are a few new Omaha players and one in particular is extra horrible. He tries to give me all his chips several times, but the river refuses to cooperate. I’m quickly in for 2 rebuys…hardily anyone else is in for 1. (Side note – you needed to bust in order to rebuy.) At the break I have only my starting stack. And then things shift and I proceed to run over the table in route to a win.

So now it’s a little after 2 AM and the drunken dealer’s choice ring game is in full force….another dilemma. I eventually got home a little before 4, lacking sleep but not dough. More importantly it was fun. The emails circulated the following Monday about all the various antics.

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No much online poker for me lately. March was a shitty month. Thus far April has been decent considering the limited play. I’m hoping to play in a few tournaments this Friday. It now looks like the June WSOP dates are unfortunately out. Two weddings plus a work trip equal very few options. The non-rebuy $2K and less events just don’t fit the days I have open. I’ll probably put a little effort into qualifying for the main event, though not like I did last year. If it’s going to happen…it will.

Monday we hop on the Deuce and jet over to the Stratosphere and eventually downtown. At the Stratosphere I lose a little playing the multi-strike Elvis penny slots. I also played some on the over 100% payout VP machines. A friend pointed out to me that you don’t get comps while playing those machines. I guess that makes sense, but seems a little sneaky as well. I watch dad play craps for a bit and he has one monster roll for a decent profit.

Downtown we wander a bit and pickup a few $1 chips. Did the El Cortez recently receive a makeover? It’s been a couple of years since I’ve been there and the place looked much nicer. Maybe it’s just the difference of daylight and sobriety, but that wouldn’t make much sense. I was really impressed with how the joint looked. We had lunch at the Golden Gate (beer and a dog for ~$1.50) and eventually made our way back to the IP.

I decided to enter the $50 super turbo NLHE tournament at the IP. While waiting for the tournament to start I played a little $2/$4 LHE (only game running) and won enough to pay for my tournament entry…score!

In the tournament - first hand I played I follow a couple of limpers in with 99 to see a 559 flop. I check and call the button’s push. He has a 5 and the dealer and table let out a collection “ouch” when I flip my 99. I win a few more smaller pots, but even with those I have an M around 5 by the third level. No big pots for awhile when it’s folded to me on the button with 67s. The SB is somewhat loose, but has respected my raises. The big blind is an extremely tight woman in her mid 40s. It’s an easy shove and I’m not getting called except by a monster. Of course the BB wakes up with Kings and I’m crippled. I steal a few blinds and eventually get called by 79s (KTo for me) because it’s his “favorite hand” and bust in 9^th out of the money.

For dinner we went over to the Rio for their buffet. It’s a little on the pricy side but good overall. After dinner there is more gambling involved…thought I do not remember where.