When Gambling Takes Over

The casino is a world onto itself. There are no windows, no clock, but there are flashing lights, and the din of clacking coins and whirring slot machines. Beyond the slots, figures are mesmerized at the crap table. Interest in poker hit new heights with televised Texas Hold ‘Em tournaments. For the majority of gamblers, this is excitement, recreation, a fun diversion or escape from the ordinary and a chance to beat the odds. For others, an estimated three percent of the adult population, it’s an addiction, an endless roller coaster of excitement and despair.

A pervasive characteristic of addiction of any kind is that the repeated behaviors have led to a range of negative consequences. This may be putting it mildly in the case of pathological gambling, because someone in the grips of compulsive gambling usually suffers severe blows to finances and relationships before seeking help. His or her life may be in shambles.

Often the compulsive gambler’s denial leads him to believe that the next round will save the day. Of course, if the numbers come up right, the cash or credit won is then “invested” again. Gambling addiction is hardly a recent development, but the advent of electronic poker and the break-neck speed of today’s slot machines, as well as Internet gambling have actually sped up the time it takes to gamble for fun and when it slips into problematic, then compulsive behavior.

Pathological gambling, like other addictions, is both a biological and a behavioral disease. While we don’t know all the factors leading to gambling addiction, they often include social, family and psychological elements. We do know that the brain neuropathways involving the brain’s mechanisms are affected in an individual’s perception of rewarding experiences. The emotional escape that an individual finds in gambling may become entrenched.

We have seen from 15-20 percent of patients who suffer from cross-addictive disorders, such as alcoholism or drug dependency with problem gambling. Some estimates state that 35 percent of those with substance abuse or dependence also have met the diagnostic criteria for pathological gambling at some point in their lives. The SOGS (South Oaks Gambling Screen) is the accepted psychosocial diagnostic tool to identify a gambling problem and its progression.

Both substance and gambling addiction are progressive diseases, and may be characterized by inability to control impulses (to use or to gamble) denial, anxiety mood swings and depression and the need for instant gratification. Gambling, like chemical dependency, offers euphoric highs, which are inevitably followed by emotional valleys and usually remorse and shame. A major difference in gambling versus substance addiction is that the alcoholic or drug addict doesn’t believe the substance is the answer to recovery and to his problems, while the compulsive gambler believes the Big Win will be the answer to all his problems.

Gambling addictions can also result in symptoms such as blackouts and sleep disorders and hopelessness. Divorce, relationship and work problems, even arrests are some devastating consequences of compulsive gambling. A person’s general health is often neglected, including medical conditions that have been ignored. Gambling addiction is certainly a family disease, creating a dysfunctional family system that revolves around the individual’s addiction. Children may be emotionally stranded as well as physically neglected. Kids are affected long term too, with studies estimating 35 to 50 percent of children of pathological gamblers eventually experiencing gambling problems of their own.

It is important that when chemical and gambling addictions co-occur, they are treated at the same time. Like chemical dependency, gambling addiction is addressed in holistic treatment based on the Twelve Step Philosophy. Treatment is individualized and takes into account issues of gender and age.

Gambling: is it the money?

Some experts, including Dr. Henry Lesieur, St. John’s University, NY, who co-authored the SOGS screening assessment, believe it isn’t really about the money, even though money becomes a looming issue. Seeking action seems to be the major impetus for many. Being in action may be similar to the high of taking cocaine. “Chasing losses” is term use by habitual gamblers to describe attempting to recoup the gambling losses by winning. The action gambler usually likes to gamble on site, at a casino, racetrack, or other “live” venue. Often they are identified by casinos as “high rollers” and received comped rooms and meals. Others, though, don’t gamble for action so much as numb their feelings with compulsive gambling, so it becomes the ultimate, albeit temporary escape.

Age and gender as factors

A study by University of Connecticut Health Center psychiatrists published in 2002 evaluated gamblers seeking treatment and found significant differences by age and gender in pathological gamblers. Middle aged (aged 36-55) and older gamblers tended to include more women, at 45-55 percent, than younger gamblers (aged 18-35) at 23 percent. Middle aged and older women didn’t begin gambling regularly until the age of 55, while older men reported a habit of lifelong gambling. Perhaps surprisingly, the women also wagered greatest amounts in the month prior to treatment. Younger gamblers reported most problems with substance abuse, social and legal problems, while older gamblers found more employment-related problems.

There is hope for recovery

Pathological gamblers, like others who suffer from addiction can and do recover. Cognitive Behavioral Therapy, with Rational Emotive Behavioral Therapy, can change unhealthy behaviors and thoughts, including false beliefs, rationalizations, and self-destructive feelings. Dialectical Behavioral Therapy also helps individuals to meet life on its own terms rather than escape painful emotions with compulsive addictions.

A holistic treatment program that addresses the root issues of addiction as well as any co-occurring disorders is an effective approach that treats the whole person. Continuing care may be essential, especially for impulse control, as well as ongoing participation in support groups such as Gamblers Anonymous. The recovering gambler may also need professional financial advise, and family therapy can help to develop a supportive, healthy family structure for sustained recovery.

Online Gambling

Internet Casinos Inc. (ICI), the world’s first online casino, started operating from August 18, 1995, with 18 different games. Since then more than 1,400 websites, mostly domiciled in small Caribbean islands, have given rise to an industry that grosses over $3 billion a year. In fact no business on the Internet earns more revenue than online gambling. Out of the estimated 14.5 million online gamblers, almost 30 per cent are from Asia.

A bet can be placed in minutes. Anyone with a credit card can set up an offshore currency account with a gambling site, leaving them free to place bets on sporting events like Wimbledon, cricket, horse racing and Formula One, or join a virtual casino to play slot machines, roulette, blackjack, poker etc. Companies like Flutter and Betmart accept bets on anything from who is going to win the Nobel Prize to whether Madonna is getting a divorce or not. Bets can range from a nickel to thousands of dollars and according to whether you win or lose the amount is automatically adjusted to your account. The final balance can then either be mailed to you or left for future bets.

The law relating to online gambling in India needs to be understood within the country’s socio-cultural context. At the outset, gambling, although not absolutely prohibited in India, does not receive express encouragement by policy makers. The Indian organized gambling industry is estimated to be worth around US$8 billion. While stringent laws have checked the proliferation of casinos and high street gaming centres as in many other countries, barring the state of Goa, the lottery business remains the most post popular form of gambling.

Though gambling is not illegal, it is a highly controlled and regulated activity. Modern India is a quasi-federal Constitutional democracy and the powers to legislate are distributed at the federal as well as the state levels. Gambling features in List II of the Constitution of India, this implies that the state governments have the authority to enact laws in order to regulate gambling in the respective states. Thus, there is no single law governing gambling in the entire country. Different states have different laws governing gambling in addition to the laws that have an application across the country. While some states have banned lotteries, other states allow state government lotteries marketed and distributed in other lottery playing and promoting states through private entities.

Regulation of gambling

The courts have defined gambling as ‘the payment of a price for a chance to win a prize’. The dominant element of skill or chance shall determine the nature of the game. A game may be deemed to be gambling if the element of chance or luck predominates in deciding its outcome. As a result, Indian courts have held that betting on horse racing and a few card games are not gambling. The right to undertake the business of gambling and lotteries is not considered as a fundamental right protected by the Constitution of India. It may however be pointed out that the state government run lotteries make significant contributions to the state exchequer of several state governments and the Union government, and hence there is a resistance to complete prohibition.

The following legislation is pertinent to gambling:

The Public Gaming Act, 1867

This Act provides punishment for public gambling and for keeping of a ‘common gaming house’. This Act also authorises the state governments to enact laws to regulate public gambling in their respective jurisdictions. The penal legislations in respective states have been amended in accordance with their policy on gambling. However, this legislation does not have any direct impact on online gambling unless a wide interpretation is given to the definition of common gaming house so as to include virtual forums as well.

The Indian Contract Act, 1872 (ICA)

The ICA is a codified umbrella legislation that governs all commercial contracts in India. Under the ICA, a wagering contract is the one which cannot be enforced. The Act lays down; ‘Agreements by way of wager are void, and no suit shall be brought for recovering anything alleged to be won on any wager or entrusted to any person to abide by the result of any game or other uncertain event on which any wager is made’. Gambling, lottery and prize games have held to be wagering contracts and thus void and unenforceable. While a wagering contract is not illegal, it cannot be enforced in a court of law. Thus, the courts will not entertain any cause of action that arises out of a wagering contract.

Lotteries (Regulation) Act, 1998

This Act provides a framework for organizing lotteries in the country. Under this Act, the state governments have been authorized to promote as well as prohibit lotteries within their territorial jurisdiction. This Act also provides for the manner in which the lotteries are to be conducted and prescribes punishment in case of breach of its provision. Lotteries not authorized by the state have been made an offence under the Indian Penal Code. Several non-lottery playing states, like Gujarat and Uttar Pradesh, have prohibited the sale of other state-government lotteries under this Act.

Indian Penal Code, 1860

Section 294A deals with keeping lottery office. It says that whoever keeps any office or place for the purpose of drawing any lottery not being a State lottery or a lottery authorised by the State Government, shall be punished with imprisonment of either description for a term which may extend to six months, or with fine, or with both.

And whoever publishes any proposal to pay any sum, or to deliver any goods, or to do or forbear doing anything for the benefit of any person, on any event or contingency relative or applicable to the drawing of any ticket, lot, number or figure in any such lottery, shall be punished with fine which may extend to one thousand rupees.

Internet gambling

The law related to gambling is also applicable to online gambling. All gambling contracts are considered to be wagering contracts and it is not possible to enforce such contracts under the ICA, detailed above.

As pointed out earlier, the online lottery is the most popular form of internet gambling in India. Most companies marketing and distributing or conducting state government-sponsored lotteries through the internet are not allowed to sell their services in the states that banned lotteries. In most cases, these marketers and distributors limit their online services to consumers who are residents of the states where a lottery is permissible. Notwithstanding the fact there has been no reported case of breach by any company promoting online lotteries, most of these companies (as a safeguard) seek an undertaking from their consumers relating to their residence.

There have been instances where one state has banned the lottery of other states, including online lotteries. In a recent case, the Karnatka High Court upheld the decision of the Karnataka government to make itself a ‘lottery free zone’ by imposing a ban on lotteries of all other states, including online lotteries under the Lotteries (Regulation) Act 1998. The state government, in this case, directed the closure of the terminals and kiosks selling the online lotteries.

Enforcement over foreign jurisdictions

If the websites are hosted and operated from outside India, it may be difficult for the Indian authorities to issue any directive to close them down or prohibit their access without using its blocking powers under the ITA. The authorities have little to worry about, as Indian foreign exchange laws do not permit remittances outside India for gambling related activity, such as the purchase of lottery tickets, football pools and sweepstakes. As a result, a gambling website hosted outside India aiming at receiving money from within India cannot do so through legal channels.

Long Before Las Vegas – History of Gambling in the US

It’s hard not to think of the glittering lights and non-stop pace of the Las Vegas strip when you think of gambling. Twenty-four hours a day, seven days a week there are people crowded around the blackjack and roulette tables hoping to hit it big. Gambling has long been a topic that leads to heated debates for a long time. However, gambling in the United States has a history that dates us back a long time before Las Vegas came around.

Gambling can be dated back to the earliest days of settlers in the 17th century. Attitudes about gambling varied by settlements as each one was founded by different members of the British colonies. The Puritans outlawed pretty much any form of gambling including dice, cards and even private tables. There was a lot of hostility towards the thought of someone who made gambling their profession. The English on the other hand, saw gambling as a pleasant and harmless distraction from everyday life and it was a popular past time. Eventually, people came to blame the problems of the new colonies on gambling and acceptance of it waned.

Once the early 19th century rolled around, gambling was still prevalent throughout the United States but it had begun to take on new forms. Lotteries were a very popular way to raise revenue for the states. The proceeds from lottery profits were used to build public works building such as schools and churches. Another form of gambling that popped up in the 19th century was horse racing. It was not nearly as large nor as organized as horse racing today but this is the first time we see gambling taking on new forms.

As the settlers of the United States moved west, so did gambling. It began to take on a more organized form in the sense of casinos. The purpose of these establishments however was not so much to raise revenue for the community but to take advantage of those making the long trek west. During this time in the 1800s, criticism of gambling on moral grounds was increasing. Scandals throughout lottery institutions and more permanent gambling casinos that were taking advantage of people were hit hard by social reform and eventually most forms of gambling throughout the country was prohibited.

When the gold rush hit California in the mid 1800s, people were itching to spend their new found wealth and gambling found its new mecca. Gambling spread through the state like wild fire and both private and public parties were relying on the revenue. Eventually, the popular mind set against gambling made its way west to California and laws were set in place to limit gambling. By the end of the 19th century, most forms of gambling were illegal but this of course did not stop people – it simply drove them out of sight of the authorities.

Limits on gambling began to subside into the 20th century and by the time the Great Depression hit in the 1930s, the public attitude towards gambling eased up significantly. All of a sudden gambling was not seen as a crime but as a way to help stimulate the economy. Forms of gambling such as bingo and horse racing saw a huge comeback during this time period. It was also during the 1930′s that gambling as an industry was formed in the state of Nevada – by organized crime professionals. There is still a fine line to walk between the crime world and the legal political world when it comes to gambling and forms of gambling other than government regulated lotteries are illegal in most states. There will surely be another shift in how gambling is viewed in this country and there will probably never be an agreement on the moral implications of such a practice but, it is sure that gambling will continue to evolve.