ATLANTIC CITY - (AP) - New Jersey Gov. Chris Christie has vetoed abill that would have made his state the first in the nation tolegalize Internet gambling.

Christie says he has "legal and constitutional concerns." The Legislature had passed a bill authorizing Atlantic City's 11casinos to set up computer servers and equipment capable ofreceiving and paying out bets from New Jersey residents. A sectionthat would have let people outside the U.S. play was scrapped.

If Christie had signed the bill, it could have touched off anonline gold rush, with cash-strapped states rushing to approvetheir own Internet betting bills. New Jersey would have taxedInternet betting revenue at 23 percent, nearly three times the ratethe casinos pay on their winnings.