11 July 2006
Ms. HOOLEY. Mr. Speaker, I yield 2
minutes to the gentleman from Texas
(Mr. PAUL).
(Mr. PAUL asked and was given permission
to revise and extend his remarks.)
2006 Ron Paul 53:1
Mr. PAUL. Mr. Speaker, I rise in opposition to this legislation. It is not
easy to oppose this legislation because
it is assumed that proponents of the
bill are on the side of the moral high
ground. But there is a higher moral
high ground in the sense that protecting
liberty is more important than
passing a bill that regulates something
on the Internet.
2006 Ron Paul 53:2
The Interstate Commerce Clause originally was intended to make sure
there were no barriers between interstate
trade. In this case, we are putting
barriers up.
2006 Ron Paul 53:3
I want to make the point that prohibition, as a general principle, is a bad
principle because it doesnt work. It
doesnt solve the problem because it
cant decrease the demand. As a matter
of fact, the only thing it does is increase
the price. And there are some
people who see prohibitions as an enticement,
and that it actually increases
the demand.
2006 Ron Paul 53:4
But once you make something illegal, whether it is alcohol or whether it
is cigarettes or whether it is gambling
on the Internet, it doesnt disappear
because of this increased demand. All
that happens is, it is turned over to the
criminal element. So you wont get rid
of it.
2006 Ron Paul 53:5
Sometimes people say that this prohibition that is proposed is designed to
protect other interests because we certainly
arent going to get rid of gambling,
so we might get rid of one type
of gambling, but actually enhance the
other.
2006 Ron Paul 53:6
But one of the basic principles, a basic reason why I strongly oppose this
is, I see this as a regulation of the
Internet, which is a very, very dangerous
precedent to set.
2006 Ron Paul 53:7
To start with, I can see some things that are much more dangerous than
gambling. I happen to personally
strongly oppose gambling. I think it is
pretty stupid, to tell you the truth.
2006 Ron Paul 53:8
But what about political ideas? What about religious fanaticism? Are we
going to get rid of those? I can think of
1,000 things worse coming from those
bad ideas. But who will come down
here and say, Just think of the evil of
these bad ideas and distorted religions,
and therefore we have to regulate the
Internet?
2006 Ron Paul 53:9
H.R. 4411, the Internet Gambling Prohibition and Enforcement Act, should be rejected by
Congress since the Federal Government has
no constitutional authority to ban or even discourage
any form of gambling.
2006 Ron Paul 53:10
In addition to being unconstitutional, H.R. 4411 is likely to prove ineffective at ending
Internet gambling. Instead, this bill will ensure
that gambling is controlled by organized crime.
History, from the failed experiment of prohibition
to todays futile war on drugs, shows
that the government cannot eliminate demand
for something like Internet gambling simply by
passing a law. Instead, H.R. 4411 will force
those who wish to gamble over the Internet to
patronize suppliers willing to flaunt the ban. In
many cases, providers of services banned by
the government will be members of criminal
organizations. Even if organized crime does
not operate Internet gambling enterprises their
competitors are likely to be controlled by organized
crime. After all, since the owners and
patrons of Internet gambling cannot rely on
the police and courts to enforce contracts and
resolve other disputes, they will be forced to
rely on members of organized crime to perform
those functions. Thus, the profits of Internet
gambling will flow into organized crime.
Furthermore, outlawing an activity will raise
the price vendors are able to charge consumers,
thus increasing the profits flowing to
organized crime from Internet gambling. It is
bitterly ironic that a bill masquerading as an
attack on crime will actually increase organized
crimes ability to control and profit from
Internet gambling.
2006 Ron Paul 53:11
In conclusion, H.R. 4411 violates the constitutional limits on Federal power. Furthermore,
laws such as H.R. 4411 are ineffective
in eliminating the demand for vices such as
Internet gambling; instead, they ensure that
these enterprises will be controlled by organized
crime. Therefore I urge my colleagues to
reject H.R. 4411, the Internet Gambling Prohibition
and Enforcement Act.