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Facebookies?

Posted by John B. Frank Friday, June 19, 2009

Elijah O'Connor writes that FaceBook's  Texas Hold'em Poker games, may have evolved into an illegal operation.  Online payment systems AlertPay and Facebook have agreed to terminate operations whereby some players have begun to "sell" Poker chips to other Facebook users...
 
Facebook Poker Players May Be Violating US Online Gambling Laws
Facebook is the largest social networking site in the world, and anytime that many people are involved with one site, there is the possibility that illegal gambling activity could be taking place. In this instance, that illegal activity could involve breaking US online gambling laws.

Facebook offers Texas Hold'em poker games on the site. There is no monetary value involved in the games, but some players may have found a way to break the law. That is why online payment system AlertPay has agreed to terms with Facebook to terminate operations where poker chips are being sold.

The operations involve players gaining chips for the Facebook poker application, and then selling the chips to other people who want to play the game. It is an operation that Facebook has quickly detected, and the site, along with AlertPay, are putting a stop to it.

"Facebook does not permit online gambling on its platform and some sellers attempted to convert the Texas Hold'em Poker application into monetized online gambling," said a statement on the official blog of AlertPay.

According to the statement, AlertPay was particularly concerned with the possibility that these operations could have been violating US online gambling laws. The laws are vague, but unregulated Internet gambling is not permitted.

"Site offering for sale virtual poker chips for use with Texas Hold'em Poker are in violation of AlertPay's User Agreement and in potential violation of state and United States Federal laws prohibiting unlicensed and/or gambling," read the statement, "as well as the Unlawful Internet Gambling Enforcement Act of 2006."


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