Caesars Entertainment Applies for an Internet Gambling License in New Jersey

April 22, 2013

New Jersey is the latest addition to the list of US states that have legalized online poker within their premises. At present, all the leading online poker operators are trying to obtain an internet gambling license within the state, as New Jersey has a large pool of poker players. According to recent reports, Caesars Entertainment’s online division, Caesars Interactive has also applied for a license within the state, and the experts feel that the company has taken this decision to compete with the Rational Group that has purchased the Atlantic Club Casino Hotel in Atlantic City.

Caesars Entertainment – expanding its business

Caesars Entertainment is a very popular name in the online poker industry, as the company organizes the World Series of Poker, a famous poker tournament, every year. This company has many gambling sites in the overseas, and at present, it is trying to obtain an internet gambling license in the state of New Jersey. According to the Spokesman of the company, Seth Palansky, Caesars believes in providing quality poker facilities to players all over the world, and spreading their operations to New Jersey will give them better perspective about the online gaming industry in the US.

Caesars Interactive is already based in Las Vegas. The company feels that it needs to spread it operations to other parts of the US, as the US online gaming industry differs from region to region. According to Palansky, since many of the US states consider online poker illegal, different regions within the US have different perceptions on online poker. He feels that with the passage of time, most of the US states will regulate online poker within their premises, and this is the primary reason as to why the company wants to obtain internet gambling licenses in as many states as possible.

Caesars Interactive in the overseas market

Experts feel that Caesars Interactive will attain an internet gambling license from the New Jersey state government as it has a very good reputation overseas. The company offers a variety of games in Las Vegas, and it is also an online poker provider in the UK. According to Palansky, the New Jersey state authorities would be impressed by the fact that the company has an exciting range of games that would appeal to players of all ages. He feels the fact that the company conducts one of the most prestigious poker tournaments of the world, World Series of Poker, will help them in obtaining a license in New Jersey.

Experts analyze Caesars’ move to enter the online poker industry in New Jersey

According to experts, Caesars is planning on expanding its activities in New Jersey to compete with the Rational Group. The Rational Group is the biggest competitor of the company, and both of these companies are known to produce excellent games and competitive tournaments in the field of online poker.

The Rational Group recently applied for a license to take over the Atlantic City Club Casino in Atlantic City. The company is expected to complete the application of acquiring the casino in the month of April, 2013. But during this period, the company’s activities will be monitored by the Division of Gaming Enforcement or the DGE in New Jersey.

The Division of Gaming Enforcement will evaluate the activities of the Rational Group, and it is expected to file a report about the company to the Casino Control Commission in the month of July, 2013. Once the report has been filed, the commission will take approximately a month’s time to decide whether or not the Rational Group should receive an interim authorization for the casino. The commission is expected to conduct a formal hearing before announcing its decision, and the American Gaming Association is supposed to be a part of this hearing as well.

The importance of the American Gaming Association in taking the decision

The American Gaming Association or the AGA is going to play a vital role in determining whether or not the Rational Group should be given the license, as the company’s subsidiary company, PokerStars, has a track record of legal offenses. In the year 2011, popular poker operators were charged with legal offenses such as money laundering by the Department of Justice in the US. PokerStars was also charged with criminal offenses during this time period, and it had to pay a fine to the Department of Justice. After the settlement of the fines, the Department of Justice stated that the company could conduct online poker activities within the US, provided it has a legal certification from the state governments.

According to the Chairman of the Commission, Matthew Levinson, the AGA is going to be an integral part in the deciding process, as it has requested the commission to include it in the hearing process. Experts feel that the involvement of the AGA in the hearing process might affect the Rational Group adversely, as the association does not have a high opinion of PokerStars. If the Rational Group gets control over the Atlantic Club Casino Hotel, PokerStars will have the opportunity to spread its activities in the state of New Jersey as well.

The Rational Group is optimistic about the hearing process, and the officials from the company feel that the company will obtain the license without much hassle. According to one of the officials from the company, the Rational Group is competent enough to handle the functions of the casino, and the company is looking forward to working in New Jersey.