European Regulators Clamp Down On Illegal Online Gambling

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The designated online gambling regulators in two European countries have announced intent to clamp down on operators that are providing services illegally to citizens of those countries. One country is Spain and the other is Greece.

The Spanish gambling authority DGoJ has ordered twelve unlicensed operators to stop their activities in the Spanish market within the next ten days. These companies include UWin Poker, Betsson, Gaming VC, Come On Europe Ltd, DreamMakers Gaming Tech, Tempo Gaming Ltd, RM Royal Media Group NV, Midas Player Ltd, Media Entertainment, 12Bet, 10bet.com and Globet International Sports. Sacha Michaud, president of DGoJ pointed out that this order demonstrates the seriousness and professionalism with which the regulator is functioning. It is a clear indication that the Spanish online gambling market is heading in the right direction. Michaud added that action against unlicensed operators is essential to have a safe and orderly market. The fact that these unlicensed operators were servicing Spanish customers shows that more work is needed by the regulatory agency.

Betsson has objected to its inclusion in the list. Its chief executive officer Magnus Silfverberg said that they have no business whatsoever in Spain. They only operate a web site in Spanish for the Spanish speaking players around the world.

Athens-based independent public authority the Hellenic Gaming Commission (HGC) has issued an advisory notice saying it has resumed its control of online gaming services in Greece. Licenses to offer online gaming service will be awarded after a formal tender process, which has yet to be initiated. Meanwhile license holders in EU member states can continue operations provided they join a retrospective voluntary taxation scheme. Twenty-four companies have assented and have been issued temporary licenses. The HGC pointed out that many unlicensed online gambling operators are still offering services in the Greek market. The HGC has asked such unlicensed operators to block accessibility to Greek players by December 6 otherwise they will be included in the blacklist and slapped with a felony charge that carries a minimum ten year jail sentence and/or a fine ranging between €200,000 and €500,000.

The Remote Gambling Association (RGA) has formally complained to the EC on behalf of major operators saying the law is protectionist. Clive Hawkswood, Chief Executive of the RGA, said that these measures have clearly been introduced in haste and apparently without the approval of the EC. The EC must take prompt action to make Greece reconsider. The RGA is also contemplating action in the Greek courts. It is no coincidence that these measures have been announced when the Greek Government is actively looking to sell its share in the gambling monopoly OPAP. The idea is to eliminate competition and unfairly increase the valuation of OPAP.

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