Tribes want Internet gambling to make casinos richer

"Tribes' ability to use the Internet will dramatically change the character of Indian gambling by generating billions of dollars in additional revenues," said Michael Lombardi, a consultant to a number of gambling tribes.

Tribal leaders from across the nation listened to Lombardi and others discuss ways technology can make Indian casinos wealthier. The meeting was among the final workshops that were part of the three-day National Indian Gaming Association convention that ended Wednesday in Albuquerque.

Much of the meeting was spent stressing the need to win permission for Internet gambling, including a nationwide Indian lottery.

Rural tribes that struggle to get gamblers to their casinos would most benefit. For example, a tiny tribe in New Mexico could go from having 3.5 million potential customers to having 250 million customers who play casino games from their living room computer, Lombardi said.

Congress, however, is considering a ban on all forms of gambling on the Internet, including the interactive, pay-to-play casino-style games. A bill has been passed 90-10 by the Senate and a version is being considered by the House.

The measure would extend to the Internet - and to new technologies involving microwave transmission and fiberoptic cable - the current federal ban on interstate gambling on sports by telephone or wire.

The law would permit state-run lotteries but forbid Indian lotteries, Lombardi said. "It's economic racism because it's a double standard," he said.

Jacob Coin, head of the NIGA, urged tribal members to ask lawmakers to oppose the ban on Internet gambling. When legislators gave permission for Indian casinos they decided technological developments could be used to enhance the tribes' wealth, Coin said.

If it is banned, tribes could consider forming a company overseas.

"It's going to flourish offshore where it can't be regulated," said Robert Rosette, a Washington, D.C., lawyer whose firm Monteau, Peebles, Evan & Marks represents five tribes wanting Internet gambling.

There's already an estimated 140 gambling sites on the World Wide Web. Most are operated by non-Indian businesses based overseas.

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