Swiss organisation opposes proposed internet barriers

As the Swiss government is considering introducing limits on certain gambling sites, the Swiss Association For Information, Communications And Organisation Technology publicly expressed it disagreement with such plans. The Committee for Legal Affairs of the Swiss National Council is currently debating on a new legislation that would require ISPs to block foreign gambling sites operating […]

As the Swiss government is considering introducing limits on certain gambling sites, the Swiss Association For Information, Communications And Organisation Technology publicly expressed it disagreement with such plans.

The Committee for Legal Affairs of the Swiss National Council is currently debating on a new legislation that would require ISPs to block foreign gambling sites operating in the Swiss territory. However, the Association expressed the worries that such steps could jeopardise online security and digital economy.

They also argue that the censorship on foreign websites planned by the national Council would be easily violated. As the modern users are aware on how to simply avoid internet limitations and locks, the legislation would encourage illegal behaviour.

In such way the Swiss government would have less data on clients’ activity, therefore cyber criminals would gain more opportunities for their actions.

The Swiss Association For Information, Communications And Organisation Technology has also warned the government regarding the possible financial loss from the revenues generated by authorised companies.

Japan removed ban on casino gambling

Japanese parliament passed a new law to legalise land-based casinos in the country. The approval of the ‘integrated resorts’ bill ends a political argument that has been ongoing for 15 years. International Casino operators are celebrating this decision as the way for multi-billion dollar projects is now clear. The legislation was pushed through by the […]

Japanese parliament passed a new law to legalise land-based casinos in the country.

The approval of the ‘integrated resorts’ bill ends a political argument that has been ongoing for 15 years. International Casino operators are celebrating this decision as the way for multi-billion dollar projects is now clear.

The legislation was pushed through by the ruling Liberal Democratic Party led by Prime Minister Shinzo Abe. The idea proposed in the bill is to have large-scale integrated resorts (IRs) that would combine casinos with hotels and shopping facilities.

According to the Daiwa Research Institute, it is estimated that the casinos could generate nearly $10 billion in net profit per year.

Despite the possible money flow, the objections from the Democratic Party were fierce. The main concerns that were shared were regarding gambling addiction and money laundering.

NHK reported that 44% of Japanese opposed casinos, with only 12% supporting the bill and 34% of respondents being undecided.

Pro-casino lawmakers promised to implement the right measures in order to prevent the possible negative aspects of the decision: “We need to develop an environment where treatment such as training for specialised treatment and consultation can be received when necessary,” said Chief Cabinet Secretary Yoshihide Suga.

Despite the fact that the decision has already been taken, casinos are not expected to be open until 2022 at the earliest. Further legislation is required for regulation, tax rates and other matters.

Even though casinos were previously outlawed in Japan, bets on horse, boat and bicycle races through government-backed bookmakers were legal.

Poland plans to liberalise gambling

Polish government is preparing a new gambling bill that would allow sports betting and online poker in the country. Gambling was outlawed in Poland seven years ago. In an interview with Polish radio Deputy Prime Minister Jaroslaw Gowin said that “Poland suffered enormous, multibillion losses” when a Gambling act banning gambling outside casinos and online […]

Polish government is preparing a new gambling bill that would allow sports betting and online poker in the country. Gambling was outlawed in Poland seven years ago.

In an interview with Polish radio Deputy Prime Minister Jaroslaw Gowin said that “Poland suffered enormous, multibillion losses” when a Gambling act banning gambling outside casinos and online was introduced by the previous Polish government in 2009.

“That is why a few months ago we decided to change the law so that money flowed back into the budget,” Gowin explained.

Further, he assured that Poland has consulted with the European Commission and the green light to move ahead with the project was received.

Based on the latest draft, slot machines would be nationalised, operating solely under national lottery services.

Gowin said that bookmakers, however, would still operate in the fringe economy. The standard IP and payment – blocking mechanisms are planned to be used as enforcement methods against international operators providing services to the Polish market. The ministry informed that “more severe consequences” will be used for operators who continue to disregard the law.

“Over the next several months gambling will remain in [a shady area of the economy], and Poles will continue to lose PLN 100-300 million a month,” the deputy prime minister said.

Previously it was said that the new law was supposed to take effect on January 1 next year. However, at the moment revisions are waiting for approval from the various branches of government.

A second bill will be planned once the first law goes through, Gowin explained. This would “liberalise” the system to make it “safe to use bookmaker services, and play poker online”.

PAGCOR claims offshore gaming licences are legal

The Philippine Amusement and Gaming Corporation (PAGCOR) asserted its authority over the right to regulate offshore online gaming. PAGCOR issued a statement saying that its move to grant a new type of license called Philippine Online Gaming Operation (POGO) was “within the bounds of its charter” which allowed it to “operate, authorise and license games […]

The Philippine Amusement and Gaming Corporation (PAGCOR) asserted its authority over the right to regulate offshore online gaming.

PAGCOR issued a statement saying that its move to grant a new type of license called Philippine Online Gaming Operation (POGO) was “within the bounds of its charter” which allowed it to “operate, authorise and license games of chance, games of cards and games of numbers” in the Philippines.

“Gaming or gambling, as defined, is a game of scheme, whether upon chance or skills wherein wagers consisting of money or articles of value or representative of value are made,” said PAGCOR and added that the location of the player (whether in the Philippines or overseas) was irrelevant.

„As long as the game is produced and its operation managed within the Philippine territory, it falls within PAGCOR’s jurisdiction,” claims PAGCOR in the statement. “The POGO rules were issued to regulate online gaming being produced in the Philippines despite being streamed abroad.”

The statement was issued as a reaction to the challenge filed by the local anti-corruption advocates at the Union for National Development and Good Governance-Philippines (UNLAD). The petition before the Supreme Court aimed to nullify the regulation that allowed PAGCOR to issue offshore gaming licences. The first 35 licences were already awarded last week.

UNLAD claimed that PAGCOR does not have the authority to regulate online operators offering services to gamblers outside the Philippines. PAGCOR contradicted the statement and also challenged UNLAD to provide information on who should be responsible for this sector.

“If we are to agree with their proposition that PAGCOR is bereft of regulatory authority over these online gaming operators, then who has the authority to regulate online games in the Philippines?” PAGCOR asked in the statement.

India considers sports betting legalisation

The National Law Commission of India is discussing the feasibility of legalising sports betting in the country. In July, India’s Supreme Court accepted the recommendations to make betting in sports legal through an enacted legislation. It was also advised to include the Board of Control for Cricket in India (BCCI) in the Right to Information […]

The National Law Commission of India is discussing the feasibility of legalising sports betting in the country.

In July, India’s Supreme Court accepted the recommendations to make betting in sports legal through an enacted legislation. It was also advised to include the Board of Control for Cricket in India (BCCI) in the Right to Information (RTI), which would assure that citizens have the right to request information regarding national activities from the public authority.

However, the decision to make sports betting legal in India was left to the Parliament. The Supreme Court stated that “the recommendation made by the Committee that betting should be legalised by law involves the enactment of a law which is a matter that may be examined by the Law Commission and the Government for such action as it may consider necessary in the facts and circumstances of the case.”

In an interview with Hindustan Times, Justice (retired) Balbir Singh Chauhan, chairman of the Law Commission of India confirmed that every aspect of the sector worldwide will be considered before any proposal is made.

“In many countries betting in sports is legal but situations are different there. We will study all the aspects.”

“Once we make up our mind and prepare a skeleton in what direction we should proceed and what legal problems may arise, we will write to all the stakeholders,” Chauhan assured that when the decision is made, Indian stakeholders would be informed to develop the market.

In 2012 report international audit and professional services organisation KPMG valued the Indian sports betting market at INR3 trillion (USD44.27 billion). And if made legal, the government may receive 20 percent tax on profit. Currently, only horse racing betting is legal in India.

HMRC to implement new tax regulations for free bets

UK online gambling operators are about to face some changes as the tax authority is amending the rules regarding freeplays, free bets and discounted betting. The new regulation is due to come into effect on August 1, 2017. The changes will apply to remote gambling operators liable to account for Remote Gaming Duty, such as […]

UK online gambling operators are about to face some changes as the tax authority is amending the rules regarding freeplays, free bets and discounted betting.

The new regulation is due to come into effect on August 1, 2017. The changes will apply to remote gambling operators liable to account for Remote Gaming Duty, such as gaming over the internet, telephone, by television, radio or any other electronic communications.

Her Majesty’s Revenue and Customs (HMRC) explained that when a customer places a bet for free, or at a reduced rate, the operator will then, in certain circumstances, be required to account for duty on the amount that the consumer would have paid had the offer not been in place.

The other change will affect the „prizes“ as gambling operators will not be able to use the value of freeplays provided as prizes to reduce their dutiable profit.
According to the HMRC, the new changes would help to generate an additional £45 million in tax revenue during the 2017-2018 financial year.

HMRC released a statement confirming the changes: “This measure is intended to bring the tax treatment of freeplays for remote gaming more into line with the treatment for free bets under GBD.

“This will contribute to sustainable government finances by broadening the Gambling Tax base.

“This measure was announced at Budget 2016 and was the subject of a technical consultation which ran between August 9 and October 17, 2016.

“The costing includes a behavioural effect to account for a change in the marketing strategy of affected operators as well as the potential for firms finding ways to mitigate the impacts of the measure.

“The impact on individuals and households in the UK is expected to be negligible as this measure is not expected to have a significant impact on the availability, price and payouts of remote gambling.”

Unauthorised iGaming operators face heavy fines in the Netherlands in 2017

The Kansspelautoriteit (KSA), gaming regulator in the Netherlands, is changing its way towards approaching unauthorised online gambling operators. The regulatory body announced that a new policy towards illegal online gambling operators is being adopted as of January 1, 2017. The KSA states that any operators found to be doing business in breach of its regulations […]

The Kansspelautoriteit (KSA), gaming regulator in the Netherlands, is changing its way towards approaching unauthorised online gambling operators. The regulatory body announced that a new policy towards illegal online gambling operators is being adopted as of January 1, 2017.

The KSA states that any operators found to be doing business in breach of its regulations will be “directly eligible for enforcement action”. Depending on how serious the violations are, igaming operators may face fines as high as €820,000.

Currently KSA’s policy is to issue warning letters to gambling sites deemed to be in breach of gaming regulations. Such operators are offered a chance to avoid further actions by blocking access to consumers in the country and ceasing advertising in the Dutch media.

The KSA stated that its regulatory provisions are now evident to operators offering services to Dutch customers. Therefore, warning letters will no longer be a measure to enforce the provision. The regulator deems now is the right time to introduce new and stiffer penalties for those who neglect the law.

The Netherlands is believed to be in the final stages of approving its long awaited Remote Gaming Bill. It passed the government‘s lower house in July. The next step for it is to face a Senate vote before becoming a law.

UKGC study: 450,000 children gamble each week

Gambling operators may be placed under scrutiny following the results of a new survey conducted by the UK Gambling Commission (UKGC). The commission has issued a warning after a new study into underage gambling showed that 450,000 children are gambling in England and Wales every week. The findings indicate that the youngsters are more likely […]

Gambling operators may be placed under scrutiny following the results of a new survey conducted by the UK Gambling Commission (UKGC). The commission has issued a warning after a new study into underage gambling showed that 450,000 children are gambling in England and Wales every week.

The findings indicate that the youngsters are more likely to gamble rather than smoke or take drugs. ‘Young People and Gambling Report’ issued by the commission also stated that approximately 9,000 children are likely to be problem gamblers.

UKGC surveyed 2,411 children aged 11-15 from 103 state secondary schools in England and Wales to carry out the study. Some 16% of kids reported spending money on some form of gambling in the past week. In comparison, 5% of youth the same age said they have smoked, 8% reported they drank alcohol in the week prior to the survey and 6% have taken drugs in the recent month.

According to the UKGC, the percentage of smoking, alcohol drinking and drug-taking among youngsters has declined, while gambling has remained relatively static.
The survey also showed that boys (21%) were almost twice as likely to gamble compared to girls (11%). Further, 3% of those taking a part in the survey were using their own money to gamble, while 6% admitted they use their parents’ accounts, with or without permission. The survey found that the most popular forms of gambling among youngsters are betting shops and fruit machines.

Tim Miller, Gambling Commission executive director, said “We’re often reminded to discuss the risks of drinking, drugs and smoking with our children; however our research shows that children are twice as likely to gamble than do any of those things.

“We want to reassure parents that our rules require gambling businesses to prevent and tackle underage gambling and we take firm action where young people are not properly protected.

“We recognise that there are some gambling activities in which young people are legally permitted to partake – such as using a crane machine to win a toy, or betting between friends. But we would encourage parents to speak to their children about the risks associated with gambling, so that if they choose to gamble in adulthood, they will do so in a safe and responsible way.”

Cyprus is reconsidering OPAP monopoly deal

Earlier this year Cyprus took a decision to license the first casino resort. This has been now followed by preparing to block unauthorised online gambling sites as the Republic of Cyprus is getting ready to launch its regulated sports betting market. At House finance committee’s meeting the National Betting Authority (EAS) stated that they are […]

Earlier this year Cyprus took a decision to license the first casino resort. This has been now followed by preparing to block unauthorised online gambling sites as the Republic of Cyprus is getting ready to launch its regulated sports betting market.

At House finance committee’s meeting the National Betting Authority (EAS) stated that they are in the process of blocking some 2,500 unlicensed online gambling and betting sites offering services to national consumers. The sites to be blocked are not operating in the guidelines of the 2012 government’s legislation towards online poker, online casinos and sports betting which are currently forbidden in Cyprus.

Such actions are granted by the Cypriot Finance Committee. Last month the EAS started accepting license applications from online sports betting operators. The goal now is to create fair market conditions for those that have applied for licence and clear the operators that are not taking a part in the process, but offer their services to Cypriot gamblers.

At the same meeting the committee discussed and reviewed the current agreement with Greek lottery giant OPAP, which gives this betting firm a monopoly on lottery number games in Cyprus and also costs Cyprus €1 million a month in lost tax revenues, as MPs said.

OPAP has been operating in Cyprus since 1969. In 2003 the Republic renewed an interstate agreement with Greece agreeing that OPAP will pay €10 million a year in taxes to offer lottery services to players.

The new legislation being prepared will ask for a double yearly fixed contribution with an additional 24% tax on lottery gross profits.

Chinese operator on trial over $60 billion gambling case

A Chinese suspect named only by his surname Zhou stands trial for a cross-border online gambling case involving over $60 billion. The case is reported to be the biggest ever prosecution for operating illegal gambling in the world. Just in 4 years, since online gambling site called games998.net was set up in 2012, they attracted […]

A Chinese suspect named only by his surname Zhou stands trial for a cross-border online gambling case involving over $60 billion. The case is reported to be the biggest ever prosecution for operating illegal gambling in the world.

Just in 4 years, since online gambling site called games998.net was set up in 2012, they attracted more than 2 million registered Chinese gamblers and turned over $60 billion.

Initially the site was operated out of eastern China, however the following year it was moved to Vietnam in order to avoid detection by police.

Zhou and his partners who are not named in the prosecution papers say that Chinese players exchanged real money into online credits to participate in dozens of gambling games, such as Mahjong, poker and casino games.

Prosecutors claim the website made around $75 million in profits during the period of 4 years.

However, the ringleader Zhou was arrested this year under an international arrest warrant and returned from Vietnam to China.

Eight of Zhou’s accomplices were sentenced in an earlier case, but several of those involved in the operation are still at large.

Gambling is illegal in China, except in state-sanctioned lotteries.

UKGC: online gambling is dominant in UK market

Online gambling is now the dominant form of gambling in the UK, according to the latest figures from the UK Gambling Commission (UKGC). The statistics are covering the period between April 2015 and March 2016. The new data shows that online gambling accounts for 33% of all gambling in the UK, with online operators generating […]

Online gambling is now the dominant form of gambling in the UK, according to the latest figures from the UK Gambling Commission (UKGC).

The statistics are covering the period between April 2015 and March 2016. The new data shows that online gambling accounts for 33% of all gambling in the UK, with online operators generating a gross gambling yield (GGY) of £4.5 billion within that period of time.

In those 12 months UK-licensed online gambling operators generated revenue of just under £4.5 billion. In comparison, the National Lottery collected £3.4 billion, retail betting £3.3 billion and land-based casinos £1 billion.

Regarding the total amount generated by online gambling, casino collected the top amount of £2.6 billion, of which £1.6 billion came from betting and £1.8 billion from slots.

The UKGC also reported that as of September this year, there were 8,709 betting shops in the UK, 1.8% less than on the previous year. The number of bingo premises also declined by 4.3% from March 2016 to September 2016.

James Green, programme director at the UKGC, said “Our latest statistics show that with the growth in online gambling the industry is increasingly taking a creative approach to using technology to engage consumers.

“As the online sector grows operators will also need to demonstrate that they are taking an equally innovative approach to ensuring gambling is safe for all online consumers.”

Skrill and Neteller restrict prepaid MasterCard service

Paysafe Group, parent company of online payment processors Neteller and Skrill, have informed customers that prepaid MasterCards will soon be blocked in over 100 countries. It is believed that this change will lead to greater acceptance of Bitcoin in the gaming industry. The change in the policy does not apply to 28 countries in the […]

Paysafe Group, parent company of online payment processors Neteller and Skrill, have informed customers that prepaid MasterCards will soon be blocked in over 100 countries. It is believed that this change will lead to greater acceptance of Bitcoin in the gaming industry.

The change in the policy does not apply to 28 countries in the European Union and European Economic Area (EEA). Countries that do not belong in the European Single Euro Payments Area (SEPA) will have their prepaid MasterCard service discontinued as of November 25.

Paysafe Group informed their customers about upcoming change in a recent email:
“We regret to inform you that as of November 25, 2016, we will no longer offer the Skrill Prepaid MasterCard® in your country,” the letter stated. “You will not be able to use your card but your Skrill Account remains fully functional and your balance is unaffected. You can withdraw funds from your Skrill Account to your bank account or send money to any other Skrill user or online business accepting Skrill.”

E-wallet services, provided by Neteller and Skrill, are popular among online gamblers, because they assure instant withdrawal option. Once funds are transferred from online gaming site to a prepaid MasterCard, they become available for use anywhere MasterCard is accepted.

The change, announced by Paysafe Group, is believed to have a serious affect in the industry. The list of countries that will have MasterCard service suspended, include some of the world’s biggest gambling markets (such as Australia or Brazil). Customers in Russia and China were told that they will be able to use their existing prepaid cards until their expiration date is reached, however new cards will not be issued.

Paysafe Group has not yet announced the reasons behind this decision.