Cause for celebration?

Even before President Bush has signed the Unlawful Internet Gambling Enforcement Act of 2006, gambling sites are suspending activity in the U.S.

Late last week, Congress approved legislation that requires banks and credit card companies to block payments to the estimated 2,300 offshore gambling sites located outside U.S. jurisdiction. Three of the world's largest online gambling sites, PartyGaming Plc, SportingBet Plc, and 888 Plc, all publicly traded British corporations, announced that they would either suspend payments from U.S. residents, or closely consider doing so in the future, Internet News reports. Shares of all three sites fell sharply as the London Stock Exchange opened on Monday morning.

The financial industry in the U.S. voiced concerns over the Unlawful Internet Gambling Enforcement Act when it was being debated in Congress.

"Our concern is that the added burden of monitoring all payment transactions for the taint of Internet gambling will drain finite resources currently engaged in complying with anti-terrorism, anti-money laundering regulations and the daily operation of our bank," Samuel Vallandingham, representing the Independent Bankers of America, told a House subcommittee in April.