Internet Gambling and Crime
| Published date | 01 January 2000 |
| Date | 01 January 2000 |
| DOI | 10.1177/0032258X0007300105 |
| Subject Matter | Article |
INTERNET GAMBLING AND CRIME
Introduction
It is often remarked that crime always follows money. With this in mind
it should be obvious that the Internet is not immune to this generally
held belief. However, new technology and virtual money brings with it
new problems. According to recent reports (BBC News Online, 1998),
the British Police are increasingly concerned about virtual casinos. The
Computer Crime division of the police has expressed concerns that
there are no guarantees with online gambling games that they are played
fairly, and that gamblers giving credit card details could be putting
themselves at financial risk. Such casinos offering on-screen games
such as roulette and blackjack are actually illegal in the UK. However,
most virtual casinos are based offshore which is problematic in terms of
policing and regulation.
More recently, one woman in the US amassed $70,000 of gambling
debt through online gambling but she is now exploiting the illegality
issue by counter-suing the Internet betting companies, saying that the
transactions between them were technically unlawful, thus repayment
of her debts is unenforceable. This is likely to become a test case over
the use of credit card transactions by online gambling sites - a method
of payment which is ultimately the key to the survival of these virtual
gaming sites. Just from these opening comments, it is clear that Internet
gambling provides new challenges for police and regulators.
ABrief Overview
The field of gambling is not immune to the technological revolution
taking place elsewhere in other fields. Further to this, technology has
always played a role in the development of gambling practices and will
continue to do so, particularly with the growth of Internet gambling. No
one is really sure how the Internet will develop over the next five to 10
years but Internet gambling as a commercial activity has the potential
for large financial rewards for the operators. Some observers predict
that Internet casinos and the online gaming community could become a
$10-25 billion industry by 2001 yet adequate regulation is not in place
(Dwek, 1997; GamCare News, 1998). However, the most recent
detailed analysis suggests that by the year 2001, the Internet gambling
industry will be a $2.86 billion industry (Datamonitor, 1998).
It
has to
be said that to be said that Internet gambling is still in its infancy but
things are changing fast.
It
is estimated that by 2001, lotteries will account for 58% of
Internet gambling with the rest of the market being taken up by horse
racing/event betting (28%), casinos (8%), electronic scratch
cards/gaming machines (4%) and bingo (3%) (Datamonitor, 1988). The
success of gambling depends on many factors including diversity,
accessibility and advertising. Internet gambling is provided by a
January 2000 The Police Journal 25
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