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Illinois Looking at Online Poker Through Lottery

Lawmaker Introduces Proposal for State-Run System

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Not long after its lottery went online, the state of Illinois is looking at other types of Internet gaming, including poker. A proposal in the form of an amendment to an existing bill was filed on Tuesday.

On Monday, Senate President John Cullerton sent a letter to Gov. Pat Quinn and other lawmakers outlining his plans. The proposed legislation creates a new Division of Internet Gaming within the Illinois Lottery.

Illinois estimates new revenues in the hundreds of millions of dollars. If enacted, the Division’s Internet gaming platform could be up and running next year.

Cullerton wrote in the letter: “The state could organize the first major poker pool, garner worldwide popularity, and position itself as a ‘hub’ for multi-state and international iGaming.”

The legislation could be heard in the Senate’s Executive Committee as early as this week.

While Illinois looks at a state-run online gaming product, Nevada is on the verge of licensing its well-established casino companies to run games. Both models would be intrastate at first.

The population of Illinois is nearly 12.9 million, while Nevada has 2.7 million residents and about four million visitors per month.

A gaming regulator said Monday that the Silver State will have real-money online poker operational in seven to 10 months.

Follow Brian Pempus on Twitter — @brianpempus

 
 
 
 

Comments

bparmalee
over 9 years ago

This is so smart. If you are making gaming legal to raise revenues... why let gaming companies take the bulk of the profits? I never understood why states don't open state run casinos and just hire a company to manage it. If the goal is to fill in budget gaps... this seems like the most efficient way of doing it. Most states are already involved in some form of gaming with lotteries so opening their own casinos doesn't feel like a stretch. I would much rather see the revenues go for roads, schools and other projects. Even if the money is squandered..... at least it isn't going to Harrahs or some other casino giant.

 
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shakhtar
over 9 years ago

Are you a communist?

 
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EricKeys
over 9 years ago

^^^^^ Are you?? lol

 
 

shakhtar
over 9 years ago

This is exactly the disaster we saw coming. Ironically, Illinois would be the absolute worst of all state run poker. The most corrupt state in the union, this game will be taken over by state unions who will have every employee making $20+ an hour with full benefits and pensions. Of course, the union will need many 100k+ a year mid level managers and naturally, the worst of all, the teachers union, will be getting much of the money.

So when all is said and done, you will have a game raked at such high levels that no one will be able to beat it. And to protect their monopoly, the Illinois legislature will pass laws making playing at "unsanctioned" or "unlicensed" sites a crime punishable by fines or even jail time. (necessitating another government agency to crack down on it).

So they will have their tournaments with a typical buy in of $20 + 10. $20 to the pool, $10 to the rake, and they will have a player pool consisting of the same saps who buck 50% take outs on daily numbers and 25% on horse racing. And god forbid you win one of these things, because then they'll take another 33% of your winnings before you ever see a nickel in income tax.

And if anyone thinks having the state monopolize is a good idea, I suggest they talk to someone who lived in East Germany, Romania, North Korea, or the Soviet Union when their economies were completely state controlled.

 
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EricKeys
over 9 years ago

Shakhtar you make alot of good points.

 
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JimSturgis
over 9 years ago

Actually, California is the most corrupt.

 
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clunker
over 9 years ago

24/7 Wall St. 3/22/12 most corrupt states [top 8] Mich.,ND,SC,Me.,Va.,Wy.,SD and #1 Ga. Lax rules and no over sight. The least corrupt states most stringent over sight and tightest laws Neb.,Ca.,Wash.,Ct., and #1 NJ. The least corrupt states were in the not so distent past among the most corrupt but have tightened there oversight and laws.

 
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clunker
over 9 years ago

No state having a monopoly over online poker will have a monopoly over any other part of a states economy which is what happened in the countries you name. A privately run online poker site will treat it's customers no better or give them a better shake.

 
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shakhtar
over 9 years ago

Really? So you think free market produced PokerStars, with some games raked as low as 2%, also with rakeback player incentives, and a player pool almost always actively at 100,000 + players, with great customer service and top notch software is not going to be a better place to play than a state run poker site run by clueless beuracrats, lottery people, and designed to best serve unions, state educations, and their own interests?

I hope you were being sarcastic, because if you truly believe that, you might be so far gone that you may not be able to be brought back into the realm of reality.

 
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clunker
over 9 years ago

I would rather teachers who actually contribute some thing to our society benefit from this then some one like Sheldon Adelson make a couple billion more $'s. How about free market FTP,UB and AB you didn't mention them. And PS will almost certainly not be allowed into US on line poker anytime soon. Bwin Party who was the only major company to follow US law is already working with Nev. and CA. to run on line poker. And if Ill. goes this route they will hire a company like Party to run there operation. And you are assuming a lot about the rake and the way a site would be run. I actually have had both of my feet planted firmly in reality for almost 70 years. The reality is the state needs money, that is why they are looking at this idea. They don't need to or want to make a handful of people rich,they want to raise money to finance state operations.

 
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shakhtar
over 9 years ago

You really think teachers are the beneficiaries of state gambling monopolies? More like the NEA and their executives, and the politicians they contribute to, they're the main beneficiaries. And if you think unionized school teachers, teaching state sanctioned and controlled curriculum at government schools, indoctrinating our children about how vital the state is, the benefits of international government, revisionist history, junk science, and marxist ideology is "beneficial" to society, then you're part of the problem.

And by the way, Adelson is OPPOSED to online gambling because he feels its a threat to his empire and his pockets. So he uses his billions and his political clout to prevent free markets to benefit himself. Just like the NFL does, and to a lesser degree, the NTRA. and the Indian Tribes. In fact, it was Martin Gold who got UIGEA snuck onto a port security bill. And it was Eric Holder, who used to be the NFL's rep. at Covington & Burling who prosecuted poker sites, by heeding his masters wishes. And just for the record, online poker was never illegal in the United States,and it still isn't.

And what does PokerStars not being or being allowed to be in the United States have to do with anything? My original point was that a free market produced PokerStars will ALWAYS be a better and preferred place to play by the PLAYERS than any state run or controlled entity. And that's indisputable.

If you're near 70, and you're this fond of state education, I'd lay 8-5 your a distant disciple of Horkheimer or Adano.

 
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bparmalee
over 9 years ago

lol@Shak... Communist. States already control lotteries. You don't see them opening up lotteries to casino companies. If the reason they are considering gambling is for revenue then why let some middle man come in and take all of the profits? If they are doing it to fill short falls then they should own the sites/casinos themselves (much like the lottery system) and hire a company to manage it. Saying that a state running poker would be like East Germany or North Korea is just lazy Tea Bagger nonsense. States already run plenty of industries.... not everything should or has to be privatized. If states didn't have a budget crisis... much of it created by the housing bubble (your free market at work) they would not even be considering gaming. Gaming is considered a net loss.... whatever jobs it creates are offset by the amount of money it removes from the community as a whole... so states only turn to it out of desperation. Since that's the case I would be in favor of them reaping more of the returns. In the end it won't matter. When all 50 states have gaming we will see how that shakes things up.

 
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shakhtar
over 9 years ago

The housing bubble was free market at work? Really? A heavily regulated industry, which was propped up by federally run Freddie Mac and Fannie Mae which REQUIRED banks (due to politics) to give home loans to people that wouldn't qualify is free market? Artificially propping up home prices is free market? So now with all these potentially toxic mortgages in play, brokerage houses decide to buy them up at discounts and trade them, and when these go belly up, what do they do, they get bailouts from the Government through the Federal Reserve under the guise that "they're too big and important to fail".

If you think that's free market, then perhaps you need an economics class, preferably tought by someone besides a Keyesian. But alas, judging by your pleonastic sentences, I don't think you can grasp many concepts.

When someone uses the phrase "Tea Bagger nonsense" to reply to a critique, you know you have a real loser on your hands. Let me guess, you're a regular MSNBC viewer, you blog at the Huffington Post and the daily KO's, and you haven't been with a woman in 10 years.

 
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shakhtar
over 9 years ago

The housing bubble was free market at work? Really? A heavily regulated industry, which was propped up by federally run Freddie Mac and Fannie Mae which REQUIRED banks (due to politics) to give home loans to people that wouldn't qualify is free market? Artificially propping up home prices is free market? So now with all these potentially toxic mortgages in play, brokerage houses decide to buy them up at discounts and trade them, and when these go belly up, what do they do, they get bailouts from the Government through the Federal Reserve under the guise that "they're too big and important to fail".

If you think that's free market, then perhaps you need an economics class, preferably tought by someone besides a Keyesian. But alas, judging by your pleonastic sentences, I don't think you can grasp many concepts.

When someone uses the phrase "Tea Bagger nonsense" to reply to a critique, you know you have a real loser on your hands. Let me guess, you're a regular MSNBC viewer, you blog at the Huffington Post and the daily KO's, and you haven't been with a woman in 10 years.

 
Reply
 

shakhtar
over 9 years ago

The housing bubble was free market at work? Really? A heavily regulated industry, which was propped up by federally run Freddie Mac and Fannie Mae which REQUIRED banks (due to politics) to give home loans to people that wouldn't qualify is free market? Artificially propping up home prices is free market? So now with all these potentially toxic mortgages in play, brokerage houses decide to buy them up at discounts and trade them, and when these go belly up, what do they do, they get bailouts from the Government through the Federal Reserve under the guise that "they're too big and important to fail".

If you think that's free market, then perhaps you need an economics class, preferably tought by someone besides a Keyesian. But alas, judging by your pleonastic sentences, I don't think you can grasp many concepts.

When someone uses the phrase "Tea Bagger nonsense" to reply to a critique, you know you have a real loser on your hands. Let me guess, you're a regular MSNBC viewer, you blog at the Huffington Post and the daily KO's, and you haven't been with a woman in 10 years.

 
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clunker
over 9 years ago

-LOL And I'm out of touch with reality. Just remember it's always the other guys fault. No public education no free market because no one is educated except royalty. The housing bubble was not because of forced loans to unqualified people. Banks were giving loans to any one and every one because they were making money Realtors and banks were concocting so many scams to get loans for unqualified people they didn't need any help from any one else. And we all know those lazy union people are not worth even minimum wage. Tell that to your local police, Firemen or TEACHERS. I always liked to be critiqued by some one telling me I,m out of touch with reality. Actually I think that would be a personel attack not a valid position on the subject.

 
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