The Adelson Connection: Inside Lindsey Graham’s Long War on Online Gambling

United States Sen. Lindsey Graham (R-SC) died Saturday night (July 11) at his Washington, DC, residence at the age of 71. Preliminary findings from the medical examiner suggest the longtime congressman died of aortic dissection caused by arteriosclerotic cardiovascular disease.

Graham represented South Carolina on Capitol Hill for more than three decades. A member of the US Senate since 2003, Graham was known as a faithful supporter of Israel, Ukraine, and the North Atlantic Treaty Organization. While his critics labeled him a “war hawk,” Graham defended his foreign interests as central to a strong national defense.

Yet away from the global stage, one of Graham’s most persistent domestic crusades was a fierce, decades-long battle to outlaw online gambling—a legislative push that permanently altered the U.S. iGaming landscape and one that faced constant scrutiny over his tight alliance with casino magnate Sheldon Adelson.

As the internet became more a part of daily life, and access expanded to smartphones, Graham worked to ensure that casino gambling remained in-person. “I don’t like the idea of sitting in one’s basement and trying to regulate gambling. It’s just very subject to abuse,” Graham opined.

Internet gambling is a bad idea. It’s hard to regulate. If you want to gamble, go to a licensed facility.”

Lindsey Graham, 2014

Graham Led RAWA Legislation

In 2014, Graham began championing the Restoration of America’s Wire Act, or RAWA. The legislation sought to restore an earlier interpretation of the Federal Wire Act that made online gambling illegal nationwide.

Three years before Graham filed RAWA, with US Rep. Jason Chaffetz (R-CA) leading the House version, the Department of Justice (DOJ) issued a memo stating that the Wire Act applied only to sports betting, and not other forms of gambling.

The guidance opened the doors for states like New Jersey and Delaware to pass state laws to permit iGaming, or online casino gambling.

Graham reintroduced versions of RAWA in subsequent legislative years, but it never passed despite numerous hearings and the senator using his time during the Senate confirmation hearings of Attorneys General Loretta Lynch, Jeffrey Sessions, and William Barr to gauge where they stood on whether the Wire Act should be restored.

RAWA came at a time when online poker was emerging, with states entering into compacts to share player liquidity. Along with banning online poker, RAWA would have prohibited online fantasy sports contests.

Adelson Ties

Opponents of RAWA claimed that billionaire Sheldon Adelson was behind the statute. The founder and longtime chairman and CEO of Las Vegas Sands made no secret that he opposed online gambling.

“Click your mouse, lose your house,” Adelson famously wrote in a 2013 op-ed in Forbes

“Whether it is full casino gaming, poker only, or anything in between, this is a societal train wreck waiting to happen. With the expansion of internet gaming now taking place at the state level, I strongly urge Congress to either rewrite the Federal Wire Act, or pass new legislation making internet gaming illegal nationwide,” Adelson wrote.

Adelson, a perpetual supporter of the Republican Party, made considerable campaign contributions to Graham. However, the senator, being an ally of Israel, was also credited for Adelson’s support.