Oberweiser talks sports gaming
Tom Oberweiser, Gambling Control Division investigations supervisor, was the first speaker at the Gaming Industry Association of Montana's annual convention business meeting the morning of May 19 at the Holiday Inn Grand in Billings.
He noted the relationship between the gaming industry and regulatory authorities has matured over the years from one that was initially adversarial in nature to one that has become constructive.
In the early 1990s, gaming was a new business and new laws were being crafted to control it, Oberweiser noted, adding the law doesn't leave the enforcement agency "much wiggle room. We are mandated to strictly construe the statutes and strictly enforce the law, but we wish you success in your businesses," he said.
When it comes to sports wagering, Montana is limited to sports pools, or "sports boards" which are not predicated on the outcome of a sporting event, but instead rely on randomly selected winners. "When it comes to sports pools, if the law doesn't say 'yes,' we have to say 'no'," he stated.
Montana only allows a maximum wager of $5 and a maximum payout of $500, he said. "Some wanted to run a board that paid of on a score at the end of a qauter," Oberweiser said, but the problem then is four boards could be strung together for an event and that could exceed the $5 wager and $500 payout. "It's illegal" to pay on only a portion of an event, he said. Boards must pay on the final outcome.
He reminded the GIA members that the NCAA threatened to end any collegiate tournament play in Montana over a misunderstanding on their part over Montana sports wagering, emphasizing the state must keep it clean.
However, he said several operators have submitted fresh ideas on how to operate a sports board and some of those have been approved, so he encouraged licensees to be creative but get prior approval.
Oberweiser evidently is passionate about sports wagering, acknowledging he has authored a book on the subject and is searching for a publisher.
"Sports betting is popular in Montana," he said. "People feel its innocent. But where do the dollars go at the other end? Organized crime? Terror groups?" not to mention the corrupting influence it can have on fair competition.
Oberweiser said he really had no position on a contemplated "stale date" for gaming machine win vouchers, but did say "there could be some definite benefit to that."
He also noted counterfeiting has become extremely sophisticated to the point fake bills will fool bill validator devices in some gaming machines. And he warned operators to take note if they find an allen wrench with a groove machined into it, but did not elaborate on how the tool is being used to thwart game security.
Oberweiser acknowledged a problematic economy coupled with the Oct. 1 full smoking ban have caused significant financial stress to licensed businesses – "a perfect storm" – but he said he thought the "real 800 lb. Gorilla" threat may be Internet gambling, which is clearly declared illegal in Montana statute.
"It involves true sports betting, card games – all types of casino gambling – and it's happening in Montana," he said. "It's unfair competition for you. Let's work together to get the word out."