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Update: US defies world court (WTO) and bullies Antigua over Internet gambling

Friday, May 19, 2006

by Anthony L. Hall

In my 1 March 2006 commentary (see Op-Ed Section), I explained how the Bush Administration’s congenital tone deafness caused it to stumble into a series of political missteps at home and abroad - including its hegemonic attempt to regulate Internet gambling in the Caribbean.  In this regard, I cited the U.S. government’s blatant disregard for Antiguan and international law when it ignored a WTO decision ordering it to cease and desist interfering with the Antiguan government’s right to sanction and facilitate Internet gambling operations in its own country.  I analyzed the legal implications of this decision as follows:

Anthony L. Hall is a descendant
of the Turks & Caicos Islands,
international lawyer and political
consultant - headquartered in
Washington DC - who publishes
his own Internet Weblog at
www.theipinionsjournal.com
offering commentaries on current
events from a Caribbean
perspective
“…if the U.S. had any regard for international law or comity amongst nations, that would have been the end of this matter. Instead, it has refused to comply with the requirements of the WTO decision and shows no intention of doing so.”

Therefore, I was not at all surprised when I read yesterday (here at Caribbean Net News) that the U.S. has now indicted two Americans - William Scott (who renounced his citizenship to avoid U.S. jurisdiction) and Jessica Davis - for operating a gambling website based in Antigua and properly licensed by the Antiguan government.  And, confirming that, indeed, it has no intention of complying with the WTO decision, the U.S. Justice Department unsealed the indictment by declaring proudly that:

“This indictment underscores the Justice Department's commitment to attacking illegal Internet gambling concerns by using federal anti-money laundering law that by causing funds to be sent from places within the United States to places abroad with the intent to promote Wire and Travel Act violations, Scott and Davis engaged in a money laundering conspiracy."

I’m acutely mindful of the U.S.’s predilection for conducting its foreign policy with all the care, consideration and tact of a bull in a China shop.  And that is why I thought it was a mistake for the Antiguan Ambassador to provoke it unnecessarily by issuing hollow threats (akin to waving a red flag) to take “further action to  ensure that our people reap the benefits of this historic decision” unless the U.S. complies. 

Because, as anticipated, the U.S. has not only refused to comply but has now intensified its efforts to trample all over Antigua’s exclusive jurisdiction to sanction and facilitate online gambling in its territory. Indeed, by unsealing the indictment, the Justice Department has given notice that Americans who operate or participate in online gambling (even if it’s operated from a foreign jurisdiction) will be prosecuted by the long arm of U.S. laws.

Clearly, this development will not only deter operators - who rely on American gamblers for most of their revenues, but also makes a mockery of the Antiguan government’s legitimate and vindicated claims.  In fact, Antigua is now left in the seemingly vanquished position of now having to answer the question I warned in my 1 March commentary it would inevitably face for attempting, ill-advisedly, to take on the U.S. in this case mano-a-mano, namely:

“So, what are ya gonna do?”

NOTE:  I concluded that 1 March commentary by delineating what I thought was the only pragmatic way for Antigua to seek U.S. compliance with the WTO decision.  And, if it’s not too presumptuous, I invite you to click here to read it (again) in light of the Justice Department indictment – especially since my strategic suggestions for Antigua in this case could prove helpful for other Caribbean countries in their dealings with the U.S. in other ostensibly bilateral issues.

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