Pallone Statement on Daily Fantasy Sports ‘Insider Trading’ Allegations
WASHINGTON, DC – Today, Congressman Frank Pallone, Jr. (NJ-06), Ranking Member of the House Energy and Commerce Committee, made the following statement in response to allegations of ‘insider trading’ within daily fantasy sports. Last month, Pallone requested a Committee hearing to review the legal status of daily fantasy sports, given the Committee’s jurisdiction over professional sports and gambling and the overwhelming popularity of fantasy sports websites.
“The allegation of ‘insider trading’ by employees of daily fantasy sports operators is a prime example of why we need a Congressional hearing to review the legal status of fantasy sports and sports betting. Daily fantasy sports is functioning in a Wild West void within the legal structure. Like professional sports betting, fantasy sports should be legal, but both are currently operating in the shadows. With little legal oversight and deep investments into these sites by the same professional sports leagues that oppose traditional sports wagering, these issues are ripe for Congressional review.”