Regulation round-up 27 September 2016
The biggest regulatory news from the egaming industry in the last seven days (21 September to 27 September 2016)
British Columbia warns operators over unlicensed activity
Canadian province issues stark written warning to operators and asks European regulators for help
The Canadian province of British Columbia (BC) has written to the chief executives of 19 gambling sites active in the province, warning them their actions are “likely” illegal.
The letter, sent late in August and seen by EGR, states: “The British Columbia Gaming Policy and Enforcement Branch (GPEB) has reason to believe that your company is conducting and managing a lottery scheme which facilitates online betting within the province of BC.
“No person, other than [the state lottery] British Columbia Lottery Corporation (BCLC) may conduct, manage or operate a lottery scheme in BC; and no person may offer gaming services in British Columbia unless they are authorized by GPEB to do so.
The letter falls short of explicitly calling the firms’ actions illegal, but adds: “GPEB must caution that any gambling conducted, managed or operated by a company or individual in BC is likely to be contrary to both the Criminal Code of Canada and the Gaming Control Act.”
Gambling Commission names dental regulator as new chair
Bill Moyes has been hired to replace Philip Graf as the new chair of Great Britain’s Gambling Commission, the Department for Culture, Media and Sport has announced.
Moyes, who starts his five-year term next month, currently serves as chair of the General Dental Council, regulator for the UK’s dental professionals.
He was previously director general and executive director of British Retail Consortium, and has held non-executive directorships with the Legal Services Board, the Priory Hospital Group and the Office of Fair Trading.
Seven days in regulation:
Ladbrokes Australia makes Northern Territory licensing switch
Ladbrokes Australia will begin life as a Northern Territory-licensed operator this week after recent regulatory uncertainty in Norfolk Island prompted the firm to switch licensing jurisdictions, EGR has learned.
From 28 September the company will operate under a new licence granted by the Northern Territory Racing Commission, joining rival operators including William Hill, bet365 and Unibet as one of the state’s licensees.
In a message to customers, Ladbrokes said: “We are pleased to announce that from 28 September 2016, Ladbrokes.com.au will be operating under a Northern Territory Bookmakers Licence.
RGA calls on Poland to drop turnover-based betting tax
The Remote Gambling Association (RGA) has urged the Polish government to drop its sports betting turnover tax in favour of a gross profits tax model to attract Europe’s egaming operators.
On 19 July, the government refused to introduce a liberalised online gambling framework and instead passed measures to clamp down on unlicensed operators and introduce an online casino monopoly.
The draft bill of amendments to the country’s Gambling Act kept in place the 12% turnover tax on sports betting, despite repeated calls from vice-Prime Minister JarosÅaw Gowin to change the turnover-based levy in favour of a 20% tax on revenues.
Unibet pledges Romanian investment following licence approval
Unibet has promised to invest in the Romanian online gambling market after the operator received a full licence from the country’s regulator this month.
The Stockholm-listed firm was granted one of the country’s 10-year licences by the National Office for Gambling (ONJN) and said it had a “long-term commitment” to the newly regulated south eastern European market.
Unibet is the latest operator to receive a licence from the ONJN, after operators including GVC, Amaya and 888 were all recently granted regulatory approval having previously operated in the market under an interim licence for the past year.
Single-game wagering rejected in Canada
The Canadian House of Commons has rejected a bill to allow the country’s provincial lotteries to offer single-game sports betting.
Bill C-221 was voted down on last week by 156 votes to 133, following opposition from Canada’s ruling Liberal Party.
It marks the second parliamentary session in a row that a single-game wagering bill has failed, and left industry experts pessimistic about seeing any changes in the near-term.
US senator aims to KO online gaming with new bill
Arkansas senator Tom Cotton has filed a new bill in Washington that would seek to restore a federal ban on online gambling.
Bill S.3376 has not been fully written, but its stated purpose is: “To ensure the integrity of laws enacted to prevent the use of financial instruments for funding or operating online casinos are not undermined by legal opinions not carrying the force of law issued by Federal Government lawyers.”
Specifically, the bill seeks to expunge a 2011 decision by the Department of Justice to apply the Wire Act to sports betting and exempt other forms of online gambling.
BHA beefs-up integrity efforts with Genius Sports partnership
The British Horseracing Authority (BHA) has announced a new technology partnership with Genius Sports to help the racing body identify and investigate irregular betting patterns on racing events.
The BHA will implement Genius Sports’ automated Price Monitoring System, which monitors live betting prices, industry averages and odds fluctuations from all major bookmakers.
The system will alert the BHA of any unusual fluctuations, with historical price information available to assist investigations and analysis.
Poll: Is Poland’s 12% betting turnover tax unworkable?
Despite suggestions to the contrary, Polish authorities recently turned down the opportunity to adopt a Danish-style online gambling framework, instead opting for greater policing measures and the continuation of its sports betting turnover tax.
Last week, the Remote Gambling Association (RGA) hit out at the decision to keep the 12% levy in place, with its chief executive Clive Hawkswood describing the tax model as “unworkable” and one which would continue to prevent international operators from entering the regulated market.
Hawkswood said the fact other countries had moved from a turnover to a revenue-based tax system was proof the turnover model has a dampening impact on markets â Italy being the most recent example.