Regulation round-up 20 October 2015
The biggest regulatory news from the egaming industry in the last seven days (14 October to 20 October 2015)
Bet365 to challenge Romania shutdown
Operator’s licence process blocked despite paying back taxes to regulator
Bet365 is considering its options with a view to challenging the Romanian regulator’s decision to revoke its licence after it became the latest operator to be blacklisted in the country despite paying back taxes there.
Romania’s National Office for Gambling (ONJN) said in a statement on its website it had “cancelled the company’s operating right” to offer gambling services through its bet365.com domain.
No reasons were given for the decision, however, and bet365 has refuted reports that it had continued to accept bets before it was issued a temporary licence.
“Bet365 takes its legal and regulatory obligations very seriously and considers that it has at all times acted in compliance with all relevant Romanian and European legal and regulatory requirements,” a bet365 spokesperson told eGR.
Mexico to vote on online gambling by end of year
Mexico could move to regulate online gambling before the end of the year, with a vote on tabled legislation expected to take place in the Senate within the next couple of months.
eGaming Review understands that while the draft regulation, which has already been approved by Mexico’s lower house, is not yet on the legislative agenda, it should be analysed and voted on by the end of December.
The legislation sets out to regulate online gambling in the country, which has already created an autonomous gaming authority, the National Institute of Games and Raffles, which operates within Mexico’s Ministry of the Interior.
Seven days in regulation:
Italy to issue 80 new online gambling licences
The Italian government plans to issue 80 new online gambling licences by mid-2016, according to the country’s new draft budget released last week.
Prime minister Matteo Renzi presented the government’s 2016 budget on Thursday and outlined plans for new gaming licences to be awarded by 31 July 2016.
The 80 new licences will last for a six-year period up to 31 December 2022 and will require applicants to pay a fixed price of 200,000.
Australian gambling review gathers pace
The Australian federal government’s review into the country’s illegal offshore wagering market has gathered momentum after operators were invited to submit their comments on its key issues for the first time.
Operators, academics, government agencies and various industry stakeholders last week received a formal request for submissions against the Terms of Reference which provides the purpose and scope of the review outlined by the Department of Social Services.
The Terms of Reference for the review include assessing the economic impact of unlicensed offshore wagering, the relevance of international regulatory regimes, the options available to reduce the cost of offshore wagering and how best to protect consumers.
Bwin.party “confident” of Romania resolution
Bwin.party is in discussions with the Romanian regulator and expects to be granted a licence to operate in the country despite its blacklisting by the National Gambling Office (ONJN).
Bwin’s dot.com domain, as well as its Party Poker and Party Casino domains, appear on a list of operators prohibited in the country because they have not applied for a licence or paid back tax on revenues since 2010.
Yet despite having agreed to pay 7.9m in back taxes to Romanian authorities in order to obtain a licence, bwin.party appears on the register alongside operators who have withdrawn from the market.
New Jersey sports betting back on the agenda
Europe’s major sportsbooks have been put on alert after a US federal appeals court ruled in favour of New Jersey’s request for a re-hearing of a sports betting bill opposed by the country’s major sports leagues.
The Third Circuit Court of Appeals announced last week that the majority of active judges voted in favour of the re-hearing, overturning its 25 August ruling in favour of the leagues.
A date for the re-hearing has yet to be set and will be listed at the court’s convenience, but the decision once again opens the door for European sportsbook operators to make a play in the US market.
Nevada regulator rules DFS is sports betting
Daily fantasy sports (DFS) operators such as FanDuel and DraftKings have been forced to pull the shutters down on their Nevada-facing sites after an investigation by the state regulator ruled the activity was effectively sports betting.
In a statement posted Thursday, the Nevada Gaming Control Board (NGCB) said DFS involved wagering on the collective performance of individuals participating in sporting events, which under current state law required operators to possess a sportsbook licence.
The NGCB first announced its investigation into daily fantasy sports back in July. Along with the Gaming Division of the Nevada Attorney General, the regulator analysed the legality of real-money DFS pursuant to the Nevada Gaming Control Act.
FBI and DoJ launch investigation into daily fantasy sports
The US Department of Justice (DoJ) and the Federal Bureau of Investigation (FBI) have launched an investigation into the daily fantasy sports sector and its two billion dollar behemoths FanDuel and DraftKings following the recent data leak scandal.
The DoJ and the FBI are believed to be investigating whether daily fantasy sports violates the Unlawful Internet Gambling Enforcement Act (UIGEA), despite operators claiming there is a carve out permitting fantasy sports as a game of skill.
According to reports in the Wall Street Journal, FBI agents have been contacting DraftKings’ customers to ask them about their experiences with the Boston-based operator. The probe is in the preliminary stage, and is part of a wider investigation by the DoJ into the sector.