Researcher chides gambling industry executives

In the last decade, attitudes about compulsive gambling among gambling industry executives and political leaders have undergone a gradual transition from denial to acknowledgement that a problem exists, a researcher said yesterday.

But William Eadington, a professor at the University of Nevada at Reno, told the National Conference on Problem Gambling at the Hyatt Regency Louis ville that there still is no serious commitment to identify and help addicted gamblers.

Speaking to about 100 fellow academics, Eadington said at one time there was a refusal in corporate and political circles to concede that a compulsive-gambling disorder even existed.

But today, he said, casino representatives and legislators have begun to acknowledge that there are negative consequences associated with legalized gambling, which has spread rapidly across the nation in the last two decades.

The three-day problem-gambling conference, which ends this afternoon, features nearly 50 presentations on developments in research, public policy and treatment for gamblers.

The National Council on Problem Gambling takes a neutral position on gambling and instead stresses its role as a national advocate for better understanding and treatment of addicted gamblers as well as their families.

Eadington chided the gambling industry and state governments in particular for doing little to come to grips with addiction. State governments, for instance, spent only $24 million last year to fund treatment programs, Eadington said, despite receiving hundreds of millions of dollars in tax revenues.

In an effort to maximize revenues, states in recent years have increased gambling taxes while cutting budgets to fund treatment. Customers, meanwhile, spent $68 billion last year on a legalized gambling, including $35 billion at electronic gaming devices — such as slot machines and video-poker terminals — and $15 billion on lotteries.

In addition, Eadington said cash-strapped states are considering adding even more gambling, such as slot machines at racetracks and video lottery terminals at bars and retail stores.

At the same time, however, state and federal leaders have looked past problem gambling like a "homeless derelict" they step past on the street, he said.

While government has been little help, gambling interests have been pulled reluctantly to adopt a new posture. When research began to show otherwise, companies insisted they had nothing to do with having created the problems, he said. Their chief concern was that they would lose ground to competitors if they faced up to the realities, Eadington said.

That gave way a few years ago to a "lip-service" era in which industry representatives admitted that some of their customers were problem gamblers but that their primary responsibility was to shareholders, he said. They'd try to help as long as it didn't affect profits, he said.

Today, Eadington said, the industry recognizes the negative consequences of compulsive gambling because to ignore them would harm their business and legitimacy.

"A few leaders and lots of followers" in the industry have begun trying to do the right thing, Eadington said.

A spokesman with Harrah's Entertainment Inc. — one of the industry's major players — said in an interview yesterday that his company has been aggressive in confronting problem gambling.

Gary Thompson, Harrah's corpo rate spokesman in Las Vegas, said chief executive officer Phil Satre convened a task force on problem gambling more than 20 years ago. Harrah's has since started Bet Smart, to warn patrons to wager responsibly, he said.

Another effort, called Project 21, helps identify underage gamblers at all 26 properties, Thompson said.

He agreed that some states have been irresponsible in expanding gambling and not allocating more of the revenue to problem gambling.

But Harrah's has shown its commitment, including spending $1 million recently to create a company-wide system to detect patrons who ask to be excluded from any of their casinos , he said .

That request to be excluded automatically is extended to all Harrah's venues, Thompson said.

"We've said if you've got a gambling problem, we don't want you as a customer," he said.

Eadington said the final chapter on gambling-treatment policy still is to be written.

Industry and government could and should do more to reach out to gamblers and their families, he said, adding that he's not optimistic given the level of awareness about problem gambling.

"It's still largely unrecognized," he said in a brief interview after his talk.

In Canada and Holland, by contrast, governments and gambling licensees share a sense of responsibility to mitigate the problems associated with the proliferation of legalized wagering. In addition, they are aggressive about identifying and forcing addicted gamblers to get help, said Keith Whyte, the national council's executive director, who attended Eadington's speech.

Every Netherlands gambler who enters a casino must show identification, similar to airline travelers who pass into a secure terminal. Casinos track the number of each patron's visits and intervene if a person visits eight times in a single month, Whyte said.

The government ensures that a person receives a full dose of government-funded care if treatment specialists decide that's what's needed.

By GRACE SCHNEIDER