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Crime Bill Addresses Internet Alcohol, Domestic Violence
October 10, 2000

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News Summary

The U.S. House of Representatives approved a crime bill that addresses illegal alcohol sales across state borders, the Associated Press reported Oct. 6.

The bill also reauthorizes the Violence Against Women Act, providing about $1 billion over five years to locate domestic abusers, $875 million to expand shelters, and $140 million to fight crime against women in college.

Under the crime bill, state attorneys general would be allowed to prosecute alcohol merchants who use the Internet and other means to sell alcohol illegally across state borders. The bill is aimed at identifying smaller alcohol producers who try to bypass retailers and wholesalers and sell alcohol directly to consumers online. Currently, 30 states prohibit interstate alcohol shipments.

When the bill was originally introduced by Rep. Joe Scarborough (R-Fla.), winemakers were concerned it would prevent vintners from shipping wine into those states where interstate transport is allowed. Scarborough said the bill was only designed to prevent dishonest vendors from selling alcohol to children.

The issue centered around a conflict between the 21st Amendment, which repealed Prohibition, and the commerce clause of the Constitution, which allows for free trade among states. States have used their authority under the latter to regulate alcohol sales by establishing a system where producers sell to wholesalers, who sell to consumers. The Internet, however, allows wineries to bypass wholesalers and retailers and sell directly to the customer.

To address the conflict, Sen. Dianne Feinstein (D-Calif.) amended Scarborough's bill to include compromise language that enables judges to balance state authority against free trade. Industry advocates said the compromise would allow wineries to defeat challenges because many local laws are based, they say unconstitutionally, on helping local sellers rather than on temperance.

Both Scarborough and the Wine Institute, an industry lobbying group, said that the amended bill would give no new power to states to prevent alcohol shipments. "It doesn't apply to anybody unless they are breaking the law," Scarborough said. "It creates no Internet commerce policy."

The U.S. Senate is expected to vote on the measure next week.

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