Contents:

Information Spot

PokerStars To Continue US Operations

The world's second largest Internet poker firm PokerStars said Thursday, Oct. 12 that business would be going on as usual, reasoning that the impending ban on online gambling would not apply to online poker, as it is a game of skill.

The gambling industry has been plunged into turmoil this month after the US Congress approved a bill that makes it illegal for US banks and credit card companies to handle transactions from online gaming companies.

The new bill defines gambling as an act of putting on the line something of value on a sporting event or a game subject to chance. The bill is expected to be signed by President George Bush into law Friday, Oct 13.

"These provisions do not alter the U.S. legal situation with respect to online poker," PokerStars, a privately owned company, said in a statement.

"Our business continues as before, open to players worldwide including the U.S.," it added. "You may play on our site as you did prior to the act."

Their stand differs from the industry leader PartyGaming, owner of PartyPoker, which pulled the plug on its US operations. PartyGaming said that the new bill makes it "practically impossible" to provide poker for money to US based players.

"It is important to emphasize that the act does not in any way prohibit you from playing online poker. PokerStars believes that poker is a game of skill," PokerStars said.

Analysts are now saying that while most publicly traded companies might pull out of the US market, privately held companies may stay rooted.