#  Scam Duel … Illegal If It Weren’t for Sports Politics

     Details    Clinton Galloway   ![logo](https://www.citywatchla.com//templates/ja_teline_v/images/logo.png)         October 12 2015       [ARCHIVE](https://www.citywatchla.com/archive)   - [  Previous Article **California: New Law Delivers 'Landmark Win for Digital Privacy'** ](https://www.citywatchla.com/index.php?option=com_content&view=article&id=9776:california-new-law-delivers-landmark-win-for-digital-privacy&catid=16)
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> ![](https://www.citywatchla.com/images/stories/Oct-2015/083e.png)CORRUPTION WATCH-As I watched the football game the other night I was amazed at all the ads running *ad nauseum* for "Fan Duel" and "Draft King" during the entire game. The ongoing promotion of these gambling websites has reached a frenzy. My first thought was, "This is illegal."
>
> If I were to use television advertising to promote a website which allowed you to wager on the actual game being played I would be subject to arrest and incarceration. Somehow it seems the fantasy team that any individual creates and bets on is not gambling, since no one has been arrested or incarcerated for performing the service. But how can wagering on the actual game be gambling when the fantasy game utilizing the same players is not?
>
> It seems the interpretation of law is based upon your financial standing. Since major corporations, which are not opposed by the professional sports leagues, support these two websites they can do things that would be illegal for individuals. Who are these companies and why have you heard nothing about them?
>
> One company says that it pays out over $75 million per week. How much does this company gross that it can pay out that much in a week? It’s like a slot machine. It will pay a lot of money as long as you put more money in than it pays out. Professional sports leagues do not oppose these sites because it increases fan interest in even the worst games.
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> These companies have advertising budgets that are larger than most publicly held companies. These tremendous ad budgets have precluded any news coverage investigating factors behind the tremendous growth in this gaming industry. The stations that control all the news outlets are not going to jeopardize the advertising revenue generated by these companies -- even to provide the public with important information it needs to make decisions regarding these services.
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> People have been arrested for having office football pools because it is considered a form of gambling. But somehow, when you now extend that same concept into the range of $1 billion per month, it becomes acceptable behavior. So, is this kind of behavior only a crime when people with small amounts of money do it?
>
> If you were to run ads in local newspapers to attract people to invest money in your fantasy football league you would most certainly be faced with serious repercussions from governmental agencies. I guess things are just different when you're scamming $1 billion instead of $100.
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> The pretense that fantasy football is not gambling because it is a “skill” is absurd. Being a successful poker player requires more skill than being a fantasy football league player but it is still illegal to advertise your poker game on television. You are wagering on things over which you have no control and that is what makes it gambling. It is not very different than the lottery or playing slot machines because you are putting your money up and then hoping for a combination of numbers – in this case, the number on the players’ backs and the number of yards they run or pass for.
>
> *Wikipedia* defines gambling as the "wagering of money or something of material value on an event with an uncertain outcome with the primary intent of winning additional money." The methods used by these large Internet fantasy leagues are the same as the lottery. They keep a percentage of what you put in and then redistribute the money received to those declared as the winners, based upon the criteria they have defined for you.
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> This is like having your own private lottery. Chances are most people have not even read the rules and regulations that are posted on these websites. There are more controls placed on the promotion of actual investments than there are for these fantasy sites.
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> The Atty. Gen. of New York State has begun an investigation into the operation of these Internet gaming sites. So why hasn't the federal government begun its own an investigation, considering the amount of money that is changing hands on a weekly basis?
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> Unfortunately, the answer is fairly simple. If you throw around enough money, the laws are enforced differently for you. But when government and media can be purchased with contributions and advertising, who will be looking out for the general public? Yes, I do have a lot of questions today. When things don't make sense there generally are a lot of questions.
>
> *(Clinton Galloway is the author of the fascinating book* “Anatomy of a Hustle: Cable Comes to South Central LA.” *This is another installment in an ongoing CityWatch series on power, influence and corruption in government … Corruption Watch. Galloway is a* CityWatch *contributor and can be [reached here.](mailto:clinto@msn.com)) Edited for* CityWatch *by Linda Abrams.*
>
>  -cw
>
> CityWatch
>
> Vol 13 Issue 83
>
> Pub: Oct 13, 2015
>
> {module \[1177\]}

  - [  Previous Article **California: New Law Delivers 'Landmark Win for Digital Privacy'** ](https://www.citywatchla.com/index.php?option=com_content&view=article&id=9776:california-new-law-delivers-landmark-win-for-digital-privacy&catid=16)
- [  Next Article **My Own Corporate Plan to Re-purpose Charter Schools** ](https://www.citywatchla.com/index.php?option=com_content&view=article&id=9778:my-own-corporate-plan-to-re-purpose-charter-schools&catid=16)
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