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NC Fights a Ban on Video Gambling

North Carolina is in the midst of debates over video gambling. Like many other states it is looking for new revenue generating activities to shore up coffers. The recession had an adverse affect on all jurisdictions. Spending was down due to the heightened unemployment rate and economies suffered greatly. Now that the recession is over, markets are still in the midst of clean-up. They are trying to come up with funds and gambling keeps coming up as a viable option. Though there are sides to the issue fighting vehemently, it looks like one court battle after another is dictating how monies will be found.

This past Tuesday gambling operators in North Carolina heard a court ruling they were not looking for. The Court of Appeals panel of three judges upheld a state-wide ban on video gambling machines. The legal battle began when the state banned video gambling machines around the state, but contradicted itself by allowing them on an Indian reservation. The mixed message was what operators took task with and Superior Court Judge Howard Manning agreed. He ruled that the state could not ban the machines, but allow them at tribal casinos.
Although there was a victory for gaming operators, later Manning put a stay on his ruling. Unfortunately, the appeals court overturned the decision. Senate leader Marc Basnight said, “This is great news. We worked for so long to try to rid our state of this awful industry. I am very pleased that the Court of Appeals decision will uphold the ban passed by the General Assembly.” The state is now embroiled in the issue of whether or not to allow video slot machines. It is also setting the stage for other state’s battles over the issue. Alabama is the next state weighing in on the topic of video gambling. Many operators have already challeneged former rulings and are hoping to turn things around in a battle with the Supremem Court. Regardless of what happens, the reality is that video gambling is causing a huge stir in markets throughout the US. Only time will tell whether or not it is allowed or banned.

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