Kentucky to get $15 million from online gambling company

bmusgrave@herald-leader.comJune 28, 2013 

FRANKFORT — Kentucky will receive $15 million from an online gambling company in a settlement of a 2010 lawsuit, Gov. Steve Beshear announced Friday.

The $15 million is in addition to a $6 million settlement from federal lawsuits against online gambling companies that was announced earlier this month.

The money could not have come at a better time. The state closes its books for the fiscal year on Sunday and it was still unclear on Thursday if revenues would meet projections for the year.

Kentucky filed a lawsuit against bwin.party in August 2010, alleging that the company illegally collected bets from Kentucky gamblers. The $15 million settlement comes from Kentucky bets placed before the operation shut down after Congress passed the 2006 Unlawful Internet Gambling Enforcement Act, which prohibited businesses from knowingly accepting payments in a bet or wager over the Internet.

The previous $6 million settlement stemmed from two federal lawsuits in Maryland and New York. In addition, Kentucky still has a 2008 lawsuit against more than 140 online gambling websites that is ongoing.

Beshear has said Internet gambling undermines the state's horse racetracks and charitable gambling.

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