Internet Gambling Conviction Upheld



NEW YORK (AP) - A federal appeals court has upheld the conviction of a San Francisco man who operated a sports betting business on the Internet, concluding that the business engaged in illegal gambling.

NEW YORK (AP) - A federal appeals court has upheld the conviction of a San Francisco man who operated a sports betting business on the Internet, concluding that the business engaged in illegal gambling.

Lawyers for Jay Cohen, 34, formerly of Woodmere, N.Y., contended that Cohen did not break the law because his business was based in Antigua, where betting is legal. They also argued that New York, where many of the customers lived, allows certain types of wagering, such as off-track betting.

But the 2nd U.S. Circuit Court of Appeals rejected the arguments, saying betting was clearly illegal in New York.

Cohen was sentenced a year ago to one year and nine months in prison. The conviction came in the first use of the U.S. Wire Wager Act to shut down an Internet gambling operation, prosecutors said at the time.

Mark M. Baker, a lawyer for Cohen, said he was disappointed by the ruling and would appeal.

``There are about 800 web sites out there right now doing exactly the same thing as the World Sports Exchange and it doesn't look like any of them are being criminally prosecuted,'' Baker said.

Marvin Smilon, a spokesman for U.S. Attorney Mary Jo White, said prosecutors had no comment.

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