COVER STORY
BP3 is “ all in ” for the gaming industry
William Pascrell III , leading expert in emerging field
By Diane C . Walsh Editor
Getty Images / iStockphoto
B ack in 2011 Bill Pascrell III was in Malta in April to meet with gaming clients and regulators . As he was leaving a Good Friday service , heading down a quaint cobblestone street , his Blackberry started blowing up .
The news reverberating from across the globe was that his client , Isai Scheinberg , creator of PokerStars , the top online poker room in the world , had been indicted by the U . S . Justice Department . He and two other online operators and their companies were accused of violating the Wire Act — federal law from the 60s that prohibits certain kinds of gambling businesses .
“ Isai believed poker was a game of skill , not chance , and that he was exempt ,” Pascrell recalled . Scheinberg immediately voluntarily refunded every players ’ account . Still for the next nine years , he was on the FBI ’ s most wanted listed and Pascrell learned he had to be circumspect in all their dealings .
The experience was emblematic of the high-stakes world where Pascrell finds himself . Ultimately , his online gaming genius client surrendered . But Scheinberg was spared from prison because of the good faith actions he had taken and the help of a savvy attorney recommended by Pascrell .
Over the past decade , Pascrell developed a reputation as a gaming expert . He ’ s a fierce believer in innovation and recognized online gaming would change the face of the industry . But his prescient approach could not persuade his casino clients , who saw sports betting and online gaming as a threat . They cut their ties with Pascrell , only to reconnect years later when he was vindicated .
The proliferation of online gaming and sports betting in New Jersey rejuvenated the anemic Atlantic City casinos by bringing in added revenues and a new generation of customers . As a lobbyist , Pascrell had a pivotal role in propelling New Jersey to become a nationwide leader . He used his skills to cultivate the political support and shape the enabling legislation .
Today , the Garden State ’ s gaming laws and policies are the standard that others aspire to replicate . Every state that implemented online gaming laws in recent years tapped Pascrell for assistance , including Colorado , Delaware , Illinois , Indiana , Iowa , Michigan , Mississippi , Nevada , New Hampshire , Oregon , Pennsylvania , Rhode Island , Tennessee , West Virginia and Virginia . Now as Arizona , California , Florida , Maryland , New York , Ohio and Texas are entering the fray , they too want Pascrell ’ s expertise .
He travels more than 200,000 miles a year to meet with clients and regulators . The destinations are frequently exotic locales too , like the tiny island of Malta in the Mediterranean . What these locations often have in common are their preferable tax codes and limited regulations . They are meccas for online gaming businesses . One of his favorites is the Isle of Man in the Irish Sea — where some of the terrain looks like a moonscape and the TT Races , annual extreme motorcycle competitions , attract upwards of 250,000 spectators .
For a guy who grew up in the scrappy city of Paterson , his memoirs could be fascinating reading . He was invited to speak before Malta ’ s Parliament and one of his latest clients is Brazil . The South American country wants to emulate New Jersey and capitalize on the jobs and revenues that proliferate in the gaming industry .
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