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EU Court again pronounces clear ruling on lottery regulation

George Miller

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EU Court again pronounces clear ruling on lottery regulation
Reading Time: 2 minutes

 

Ruling in the Italian ‘Stanleybet’ case: Exclusive concessionaire model for the management of a lottery is compatible with EU Treaty, multiple operators would increase risk for gambling addiction.

The Court of Justice of the European Union (CJEU) delivered its judgment in the C-375/17 Stanley International Betting and Stanleybet Malta case.

The Court ruled that an exclusive concessionaire model for the management of a lottery game is in line with the EU law, under which there is no harmonisation in the field of games of chance.

Arjan van ‘t Veer, Secretary General of the European Lotteries and Toto Association (EL), comments:

“The CJEU has clearly recognised that an exclusive concessionaire model, as chosen by the Italian legislator, is legitimate in order to promote responsible management of the lottery . The judgment points to the particularities of our sector where restrictions can be put in place in the general interest and which must be kept free from companies that have been referred to a criminal court. EL welcomes the confirmation in this ruling.”

The CJEU further confirmed that a high basic contract value for such a concession is acceptable and stated that severe conditions to access the market can be imposed. Notably, a company can be excluded if it has been referred to criminal court for a related matter. The ruling further confirms that other games similar to lotto without the specific authorisation can be prohibited as a means to fight illegal gambling, which is a legitimate policy objective.

Contacts
Jutta Buyse, EL Deputy Secretary General
Tel: + 32 2 234 38 20, mobile +32 476 896 376, jutta.buyse@european-lotteries.eu

 

About The European Lotteries Association:

The European Lotteries Association (EL) is the European umbrella organisation of national lotteries operating games of chance for the public benefit. EL has members from more than 40 European countries including all EU Member States. The association’s EU members contribute more than 20 billion EUR p.a. to the state budgets and the funding of sport, culture, social projects, research and other causes of general interest. Unlike many commercial online gambling operators, EL members only offer gambling and betting services in the jurisdictions in which they are licensed by the respective national government.

George Miller started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

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Compliance Updates

NJ Regulators Impose Fine on DraftKings

Niji Narayan

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NJ Regulators Impose Fine on DraftKings
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The New Jersey Division of Gaming Enforcement has fined DraftKings for violating the self-exclusion rules.

DraftKings has to pay out penalties totalling $7000 to the gaming regulator and return $3277 to customers after failing to adhere to self-exclusion rules.

The regulator hit DraftKings with the maximum $5,000 civil penalty for taking wagers from customers who had requested a “cooling off” period be placed on their accounts.

DraftKings discovered an error within its systems in November 2018 whereby the “cooling off” period had been set to zero days. During the month in which the system was not correctly in place, 54 people who were not meant to be able to deposit were able to place bets totalling $28,887. They lost $3277, which DraftKings will now have to pay back.

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Compliance Updates

State Duma Approves the Bill to Simplify Customer Registration of Russian-licensed Online Sports Betting Sites

Niji Narayan

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State Duma Approves the Bill to Simplify Customer Registration of Russian-licensed Online Sports Betting Sites
Image Source: goldenfrog.com
Reading Time: 1 minute

 

Russia’s lower legislative body has approved the bill to simplify the customer registration process for Russian-licensed online sports betting sites.

State Duma has approved the third and final reading of federal law 423799-7, which will dramatically simplify the customer registration process. To take effect, the bill now requires the approval of the Federation Council and Vladimir Putin’s signature.

The bill explains that the “complex duplicate identification procedures” currently required to register with a Russian online bookmaker “encourages players to search for ways to overcome government measures … in order to gain access to foreign sites subjected to blocking by [Russian telecom watchdog] Roskomnadzor.”

The new legislation would allow bookmakers to delegate responsibility for customer identification to the TSUPIS, which will have three business days in which to transfer the info to the bookie. However, bookmakers may opt to conduct some due diligence on any new customer, just to be on the safe side.

If a bettor has already registered with Russia’s public services portal, both the bookmaker and the TSUPIS can accept this information as proof of the customer’s identity, so the customer need not make a physical trip anywhere.

There are some downsides to the simplified registration process, including a cap of RUB60k per individual transaction and a monthly cap of RUB200k for all transactions. However, this monthly cap can be overridden if the player verifies his document at TSUPIS partner’s retail location.

Nikolai Oganezov, who represents Betcity told that the new simplified registration could boost the overall domestic online betting customer base by 5% this year, with the growth up to 15% possible by the end of 2020.

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Compliance Updates

Maine Legislature Passes Sports Betting Bill

Niji Narayan

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Maine Legislature Passes Sports Betting Bill
Image Source: playusa.com
Reading Time: 1 minute

 

Maine legislature has passed the sports betting bill. The Legislative Document 553 was given final approval by each chamber of the legislature and will now pass to Governor Janet Mills to be signed into law.

LD553 opens up the market to all of the state’s bricks and mortar gaming venues, such as commercial racetracks, off-track betting facilities, and commercial and tribal casinos. It will also allow mobile operators to apply for licences without the need for a land-based partner in the state.

Successful applicants will have to pay $20,000 as licence fee, 10% tax on land-based wagering revenue and 16% rate for mobile wagering. The bulk of revenue raised through these taxes will be allocated to the Maine General Fund.

Operators will be permitted to offer odds on all professional, collegiate and amateur sports events. Betting on events involving Maine-based colleges and universities will be prohibited. Only citizens aged 21 and above will be allowed to bet.

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