Setback for New Jersey; Doom for Mathis; Tribal magic

Federal judges gave the boot to the Garden State’s attempt to enter the mega-lucrative sports betting market. A subset of the Third Circuit of the U.S. Court of Appeals upheld a reading of the Professional & Amateur Sports Betting Act that would make New Jersey‘s legalization of sports wagers illegal. This sets up a grudge match before the entire appellate court and, quite likely, an appeal to the U.S. Supreme Court.

One judge dissented in the ruling and a spokesman for Gov. Chris Christie (R) seized on it as though searching for a pony amidst the manure. “In the dissent, the judge agrees with New Jersey’s central argument — that the law is unconstitutional since it prevents sports betting in New Jersey against the wishes of its own elected officials and citizens. This makes the issue all the more appropriate to be decided by the U.S. Supreme Court.”

And that’s probably what will happen, even if the ‘decision’ is not to hear the case and give the Third Circuit the last word.

Also going before the courts is Florida‘s gray-market, Internet-gambling industry, which the Legislature somewhat belatedly outlawed. Attorney Kelly Mathis is charged with being the criminal genius behind the operation of “charity” Allied Veterans of the World, which sold cards on which Internet games could be played, with any winnings added onto the card upon redemption.

Mere association with Allied Veterans cost Florida Lieutenant Governor Jennifer Carroll (right) cost her her job. As resident agent for 112 of the establishments under investigation, well, let’s say it doesn’t look good for Mathis. Two of his former associates are expected to flip on him, too. Mathis, now disgraced, is a somewhat pitiable figure and his goose looks more than a little cooked.

$1.3 billion. That’s the magic number of economic impact that the Cherokee Nation is measured as having upon Oklahoma. Tribes are, in general, getting to flex their economic muscles quite a bit more under Barack Obama‘s presidency than when up against the “Call me bwana” tribal policies of George W. Bush‘s administration. Bloomberg News takes an in-depth look at the power shift within the Beltway.

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