iBets Delayed For N.Y. Internet Racing

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Connecticut AG puts the brakes on Internet horse race betting initiative

The decision earlier this week by the New York Racing and Wagering Board to permit Internet betting on horse races proposed by the New York Racing Association has run into trouble with Connecticut's Attorney General Richard Blumenthal.

This week's planned launch of the betting site has been delayed as New York officials back off following a threat from Blumenthal to sue them, reports Associated Press. It is apparent from the discord that Connecticut, where Internet gambling is illegal under local laws was not adequately consulted on the decision.

"This precedent would be extraordinarily dangerous if permitted,'' Blumenthal said.”We intend to stop it. We will take any appropriate action in court if necessary and we hope that the wagering board, the wagering authority in New York, will revoke approval.''

New York Racing officials reacted quickly, saying they would bar Connecticut residents from registering for the online gambling service after AG Bulmenthal's communication.

In response, Blumenthal said: "I am absolutely delighted that New York has demonstrated respect for our law. It's great news and a great victory for the public interest."

The launch of the Web site, originally scheduled for Wednesday's opening of New York's Belmont Park, was pushed back a day, said John Ryan, chief administrative officer with the New York Racing Association.

Ryan said his agency looked at Connecticut law in advance of starting the Web site and plans to discuss it with Connecticut for a clarification to "find out where we missed this."

"Our intention is to abide by the law," Ryan said.