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Compliance Updates

Update: Eurosport Fined for Gambling Ads

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Update: Eurosport Fined for Gambling Ads
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On September 16, 2021 the National Police Board (“NPB”) imposed a prohibition order and conditional fine of EUR 800,000 for Eurosport SAS (“Eurosport”), a pan-European sports network established in France, for broadcasting gambling advertisements on the Finnish language version of Eurosport 1 television channel.

According to our sources, prior to this the NPB had twice approached Eurosport arguing they infringe the Finnish Lotteries Act marketing prohibitions and requested the actions to be ended. Eurosport remained passive throughout the process until October 27, when they informed the NPB that in their view the decisions of September 16 were “manifestly incorrect”. Eurosport added that they will comply with the NPB’s request for now and they will not broadcast commercial gambling advertising on Eurosport 1 in Finland for the period of three months starting from October 28, 2021. Eurosport notified the NPB of their intention to appeal the NPB’s decisions of September 16 and the Helsinki Administrative Court confirmed that Eurosports appeal was filed October 28 and it is currently pending.

The subject matter of the case is interesting. The NPB makes a convincing case that Eurosports gambling advertisement is infringing the Finnish Lotteries Act. However, their argumentation regarding Audiovisual Media Services Directive (“AVMSD”) is less convincing.

The country of origin principle (“CoO principle”), according to which each EU Member State is legally responsible for all audiovisual media services originating from its own country, is a cornerstone of the AVMSD. Article 4 lays down exceptions to the CoO principle and defines the procedure which must be followed if a Member State is to take action against a media service provider established in another EU Member State.

With regarding to the AVMSD, the NPB would have to at the very least notify the EU Commission pursuant to Article 4 (4) of their intended actions and to substantiate the grounds on which its assessment is based. The EU Commission would need to decide that the measures are compatible with EU law. That has not been the case here.

The NPB argues that the AVMSD does not intend to harmonise gambling advertising in the EU and thus the CoO principle or Article 4 procedures do not restrict them taking direct action against Eurosport.The NPB’s argumentation is based on the recital 10 of the consolidating directive of 2018 which states that the AVMSD does not affect a Member State’s competence to decide on national approach to gambling advertising presumed that the measures taken are justified, proportionate to the objective pursued and necessary under the EU law.

As it is not stated anywhere in the AVMSD (original or consolidated version) that gambling marketing is excluded from the scope, the NPB’s argumentation appears at least questionable. If the Helsinki Administrative Court comes into a similar conclusion the case will fall apart.

The article has been written by Antti Koivula, Consulting Legal Advisor at Legal Gaming

Compliance Updates

GoldenRace is now certified in the Netherlands

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GoldenRace is now certified in the Netherlands
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GoldenRace, global provider of award-winning Virtual Sports and betting solutions, has recently obtained a certification for its highly acclaimed Virtual Sports and Games in the Dutch market.

GoldenRace successfully navigated the stringent regulatory landscape of the Netherlands, and now will be providing its impressive betting products into the Online Dutch market, which will be an important advancement in our operational expansion.

The Netherlands betting scene is on the cusp of a substantial growth phase and with GoldenRace’s latest certification, we introduce to the Dutch market a range of highly popular games tailored to desktop and mobile, in both scheduled and on-demand modes.

Among the offer, players will enjoy our most-played Virtual Football line-up – including Football Single, Leagues, World Cup and Euro Champions-, adrenaline-pumping 3×3 Basketball and MMA and top-notch races as Horse Racing, Greyhound Racing and Grand Prix Indianapolis 60. Last but not least, our Number Games, such as Spin2Win. All ready to captivate Dutch players.

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PAGCor Welcomes Lawyer Wilma Eisma as New President and Chief Operating Officer

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The Philippine Amusement and Gaming Corporation (PAGCor) today welcomed its new President and Chief Operating Officer, lawyer Wilma Eisma, who took her oath of office before Executive Secretary Lucas Bersamin in Malacanang this morning.

“We are happy to welcome Atty. Wilma Eisma as PAGCor’s new President and Chief Operating Officer,” PAGCor Chairman Alejandro Tengco said. “We know she will be a great asset and her vast experience in both the government and private sectors will surely be put to good use here.”

Tengco said he witnessed Eisma’s oath-taking in Malacanang this morning. She then immediately joined her first PAGCor board meeting in the afternoon as the agency’s first ever woman President and Chief Operating Officer.

A lawyer by profession, Eisma earned her law degree from the Ateneo de Manila University and was a member of the Board of Directors of the Development Bank of the Philippines before joining the state gaming firm.

Prior to that, she also served as the first woman Administrator and Chairman of the Subic Bay Metropolitan Authority (SBMA).

Her private sector stints include leadership roles in PMFTC Incorporated, the Philippine affiliate of Philip Morris International.

She also held key positions at the Department of Trade and Industry where she worked at the Office of the Secretary and in the Office of the Majority Leader in the House of Representatives, among others.

Eisma succeeded Atty Juanito Sanosa Jr who resigned as PAGCor President and Chief Operating Officer last January.

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Compliance Updates

MGA: Update to the Incident Reporting Requirements

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MGA: Update to the Incident Reporting Requirements
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The Malta Gaming Authority would like to inform its licensees of updates made to the Incident Report mechanism available through the Licensee Portal The information hereunder outlines relevant guidance and procedures for the submission of an Incident Report through the updated reporting instrument entitled the ‘Technical – Information Security Incident’.

As mandated by Articles 37(2)(c) and (d) of the Gaming Authorisations and Compliance Directive (Directive 3 of 2018), “Licensees shall notify the Authority forthwith, and in any case no later than three (3) working days after, the following:

(c) Any breach of the licensee’s information security that adversely affects the confidentiality of information relating to players;

(d) Any breach of the licensee’s information security that precludes players from accessing their accounts for a period exceeding twelve (12) hours.”

In this regard, Licensees are obliged to submit an Incident Report in order to notify the Authority of the circumstances relating to an information security breach that meet the above specified criteria. Additionally, Licensees are advised to remain mindful of any further obligations emanating from the General Data Protection Regulation (EU/2016/679) and any relevant legislation.

The Technical – Information Security Incident option will be accessible through the “New/Change” dropdown menu via the Portal. Upon selection, users will be directed to the applicable sections of the ‘Technical – Information Security Incident’ where all compulsory fields and any relevant documentation must be submitted to the Authority.

Upon submission, the Incident Report shall undergo review by the Authority. Any missing information that may be identified by the Authority, shall be requested accordingly from the Licensee. It is imperative that any pending clarifications are addressed in a timely manner.

If no further clarifications are deemed necessary by the Authority, the Incident Report will be closed off accordingly, and any relevant documentation will be securely filed for record-keeping purposes.

Any Incident Reports left in ‘Draft’ form (i.e. opened but not effectively submitted) for a period of ninety (90) days shall be automatically discarded.

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