Maryland Virtual Casino and Gaming Machine Operators Underreport Earnings
Virtual casino machine operators in the Maryland region of Baltimore City and Baltimore County annually cheat the government out of about $15 million in tax revenue annually, according to a report by the Abell Foundation.
The Abell Foundation study found that operators of the virtual casino and gaming machines, including video poker, under- report their earnings by up to $153 million each year.
The virtual casino machines are located in corner bars and convenience stores across the state. Many establishments pay out winnings, which is illegal in the state of Maryland. They keep records of the winnings, often in code, in places that are inaccessible to police and inspectors.
The report, largely written by former Maryland Sun reporter Joan Jacobson, recommends that the state go in one of two directions: it should either legalize virtual casino gambling completely in order to be able to fully regulate it, or ban the virtual casino and gaming machines.
City officials say that they are too poorly financed to center too much attention on this problem. “The Police Department’s primary focus is crime,” said Edward J. Gallagher, the city’s top finance official. “And so many of our resources are pointed toward that.”
The Abell Foundation studies solutions to problems of inner- city poverty.
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Yet Another Conservative Republican Falls
Yet another conservative Republican’s head is to roll in the wake of the Jack Abramoff on line casino scandal.
The Reverend Lou Sheldon, known to most Americans as the gay- bashing conservative leader who heads the California- based Traditional Values Coalition, was known to disgraced lobbyist Jack Abramoff as “Lucky Louie†for his help in casino- related lobbying.
Lucky Louie, via the Traditional Values Coalition, received a $25,000 check from an Abramoff client, the on line casino eLottery, to lobby on their behalf, even though he presents himself as a staunch opponent of the on line casino industry.
When asked about the on line casino’s payment, Sheldon told a popular Washington DC- based daily that “I don’t think I ever saw the check. It came in, and we paid the bill for some of the printing.â€
“This is all tied to Jack? I’m shocked out of my socks,” said Sheldon.
Many government watchdogs believe that Sheldon was also paid to vote against the Internet Gambling Prohibition Act, which was defeated in the House.
Sheldon supposedly opposed the act because it was not tough enough on the on line casino industry, containing loopholes that exempted on line casino sectors such as horse racing and jai alai. However, his critics say that he was part of a concerted effort to get the on line casino prohibition outvoted. They say that documents show that Sheldon’s appointed role was to get other Conservatives to vote “nay†on the legislation, and painting those who were for the bill as “soft on on line casino gambling.â€
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