Sources: NFL looks to prevent Congressional hearing on DFS ties
David Purdum, ESPN Staff Writer
The NFL has been contacting members of the House Energy and Commerce Committee in an effort to prevent a Congressional hearing on the league's relationship with fantasy sports, multiple sources told ESPN.
Politico first reported the NFL's efforts to "ward off" a hearing requested by Congressman Frank Pallone in mid-September. Pallone, a ranking democrat from New Jersey, asked the committee to examine the relationship between professional sports and fantasy sports and to review the legal status of fantasy sports and sports betting.
"It is no surprise that the NFL does not want a hearing on daily fantasy sports -- they are deeply invested and are already engaging in hypocrisy by supporting fantasy sports betting while opposing sports betting at casinos and the tracks," Pallone told ESPN. "The reality is, the daily fantasy sports industry is operating in a total void within the legal structure. And now with allegations of 'insider trading' by employees of fantasy sports operators and with an FBI and Department of Justice investigation, the time is past-due for a hearing."
The hearing is expected to be granted, but as of Oct. 15 had not been scheduled. The NFL did not immediately respond to request for comment.
Pallone, in his letter requesting the hearing, noted that historically professional sports leagues have been strongly opposed to sports betting, while, at the same time, have fully embraced fantasy sports.
"Given the professional sports leagues professional players deep involvement with fantasy sports, this Committee, as the Committee with jurisdiction over the professional sports and gambling, should examine the relationship between fantasy sports and gambling and the relationship between professional sports leagues, teams and players and fantasy sports operators," Pallone wrote.
Pallone and U.S. Sen. Robert Menendez also have asked the Federal Trade Commission to investigate daily fantasy operators who allowed employees with access to nonpublic information to compete on rival sites.
"We believe fantasy sports should be legal and subject to appropriate consumer and competitive protections," Pallone and Menendez said in statement released after a Tuesday news conference.
In addition, U.S. Sen. Richard Blumenthal, a democrat from Connecticut, hasrequested an investigation by the FTC and Department of Justice to look into whether daily fantasy operators "have been using deceptive, misleading advertising, and for the DOJ to examine whether there have been violations of criminal law."
The FTC confirmed to ESPN that it had received separate requests to investigate daily fantasy operators, but said, because all FTC investigations are non-public, it could not confirm or deny any investigation.
David Purdum, ESPN Staff Writer
The NFL has been contacting members of the House Energy and Commerce Committee in an effort to prevent a Congressional hearing on the league's relationship with fantasy sports, multiple sources told ESPN.
Politico first reported the NFL's efforts to "ward off" a hearing requested by Congressman Frank Pallone in mid-September. Pallone, a ranking democrat from New Jersey, asked the committee to examine the relationship between professional sports and fantasy sports and to review the legal status of fantasy sports and sports betting.
"It is no surprise that the NFL does not want a hearing on daily fantasy sports -- they are deeply invested and are already engaging in hypocrisy by supporting fantasy sports betting while opposing sports betting at casinos and the tracks," Pallone told ESPN. "The reality is, the daily fantasy sports industry is operating in a total void within the legal structure. And now with allegations of 'insider trading' by employees of fantasy sports operators and with an FBI and Department of Justice investigation, the time is past-due for a hearing."
The hearing is expected to be granted, but as of Oct. 15 had not been scheduled. The NFL did not immediately respond to request for comment.
Pallone, in his letter requesting the hearing, noted that historically professional sports leagues have been strongly opposed to sports betting, while, at the same time, have fully embraced fantasy sports.
"Given the professional sports leagues professional players deep involvement with fantasy sports, this Committee, as the Committee with jurisdiction over the professional sports and gambling, should examine the relationship between fantasy sports and gambling and the relationship between professional sports leagues, teams and players and fantasy sports operators," Pallone wrote.
Pallone and U.S. Sen. Robert Menendez also have asked the Federal Trade Commission to investigate daily fantasy operators who allowed employees with access to nonpublic information to compete on rival sites.
"We believe fantasy sports should be legal and subject to appropriate consumer and competitive protections," Pallone and Menendez said in statement released after a Tuesday news conference.
In addition, U.S. Sen. Richard Blumenthal, a democrat from Connecticut, hasrequested an investigation by the FTC and Department of Justice to look into whether daily fantasy operators "have been using deceptive, misleading advertising, and for the DOJ to examine whether there have been violations of criminal law."
The FTC confirmed to ESPN that it had received separate requests to investigate daily fantasy operators, but said, because all FTC investigations are non-public, it could not confirm or deny any investigation.
