If you have been following this blog, you know that Nevada is at the forefront of the Internet gambling industry. Last November, we informed you that the Nevada Gaming Commission (NGC) and the Nevada State Gaming Control Board (NSGCB) issued the first license permitting a company to market online poker within the State of Nevada. In another big step towards the eventual interstate integration of Internet gambling, the NGC and NSGCB have approved the first out-of-state enrolled agent in its 65 year history. We are proud to announce that David O. Klein of Klein Moynihan Turco LLP is the first out-of-state person authorized to practice as an enrolled agent before the NGC and NSGCB.
Authority Granted to Enrolled Agents
An enrolled agent is able to perform certain administrative duties on behalf of his/her clients before the NGC and NSGCB. Enrolled agents have the authority to prepare and file gaming applications, reports, systems of internal controls, financial statements and other documents with the NGC and NSGCB on behalf of their client(s).
With respect to online gaming applications, there are two categories of licenses: Interactive Service Provider Licenses and Interactive Gaming Licenses. An Interactive Gaming License is reserved for those involved in the manufacturing, distribution and operation of online games. Interactive Service Provider Licenses apply to online poker marketing affiliates, as well as service providers in the following fields: geo-location, patron identification, payment processing, information technology and cash access and wagering instruments. No matter which type of license you are applying for, it is advisable to retain an enrolled agent that is familiar with the application, investigation and enforcement procedures utilized by the NGC and NSGCB.
The capacity of Mr. Klein to act on his clients’ behalf as an enrolled attorney agent goes beyond that of a typical enrolled agent. Specifically, and with the presence of local counsel, Mr. Klein has been granted the authority to appear at hearings and advocate on behalf of his clients in regulatory and disciplinary matters that may come before the NGC and NSGCB.
What this May Mean for the Future of Internet Gambling
Although the process of obtaining an out-of-state enrolled agent license was far from easy, the fact that Nevada was willing to grant an out-of-state individual access to appear before the NGC and NSGCB provides us with an important insight into the future of Internet gaming and gambling. Nevada has kept a strong hold on its gaming industry for 65 years and it would not have opened its doors to an outsider unless it believed that interstate online gambling is where the gaming industry is headed. In light of this, and the fact that the federal government and several states, including New York, Delaware, Illinois, Iowa, New Jersey and Texas, have or are entertaining the idea of legalizing and regulating Internet gambling, it is probable that Internet gambling will expand as an interstate phenomenon in the near future.
If you are interested in pursuing an Internet poker or gaming venture in Nevada or have any questions regarding the legality of Internet poker or gambling within your state, please e-mail us at info@kleinmoynihan.com, or call us at (212) 246-0900.
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