Brussels, 23 February 2010
The European Gaming and Betting Association (EGBA) welcomes today´s two Advocate General (AG) opinions at the European Court of Justice (ECJ) in cases related to gaming and betting restrictions, respectively in Austria and Sweden.
Advocate General Mazák questions the legality of Casinos Austria licenses and its de facto monopoly
In his opinion delivered in the Austrian Casino case involving Ernst Engelmann (C-64/08) before the ECJ, Advocate General Mazák confirmed today that:
- The requirement of an establishment in Austria “is a clear example of direct discrimination against companies who are seated in another member state”. (para 55)
- “Contrary to the view of the Austrian government, [...] controls can be enforced on any company established in a member state and in addition, sanctions can be applied irrespective of the place of residence of its management”. (para 60)
- Licenses in the gaming sector must be awarded in a public and transparent manner: “Art 43 EC and 49 EC preclude national provisions […] which exclude from the tendering process candidates from the Community which do not have the nationality of that member state”. (para. 104)
- The national court has to determine whether fiscal objectives of the legislation in fact only constitute “an incidental beneficial consequence”. Should this not be the case, the monopoly regime is in violation of EU law, regardless of the level of advertising. (para 80)
- “With regard to advertising, the national court must further examine to what extent the relevant strategies of the factual monopoly holder inform the potential client merely about the existence of the products and serve the purpose of guaranteeing the client regular access to games of chance, or whether they invite and encourage the clients to an active participation in games of chance”. (para 84).
This opinion, if confirmed by the ECJ in its ruling, would sign the end of Casinos Austria’s de facto monopoly on poker and casino games, and lead to important reforms in Austria.
Austria has clear profit-driven objectives when it comes to gaming and betting, with no consistent or systematic consumer protection policy. The Austrian market has been continuously expanding with massive monopolists’ advertising expenditure. 77% of the shares of Casinos Austria are held by private shareholders, including banks and insurance companies.
Sigrid Ligné, Secretary General of the EGBA comments: “In this context, there is no acceptable justification to prevent reputable European competitors from offering online poker and casino games to Austrian players”.
Advocate General Bot confirms in joint Swedish newspapers cases that Member States must not discriminate against EU operators
These cases (C-447/08 and C- 448/08) were brought to the ECJ in the context of the advertising in two Swedish newspapers “Expressen” and “Aftonbladet“ of non-Swedish online gaming and betting operators duly licensed in other Member States. The chief editors of both newspapers are subject to criminal sanctions under Swedish law.
In his opinion, Advocate General Bot concludes that:
- “According to consistent jurisprudence, while a member state is entitled to restrict activities associated with gambling within its territory, the measures which it adopts for that purpose must not be discriminatory, even if they are based on the defense of public order”. (para. 75)
- ”Community law precludes national legislation under which […] anyone who promotes participation in internet gaming organized by a company established in another member state is liable to criminal penalties, whereas anyone who promotes participation in such gaming organized within the national territory without an authorization does not incur such penalties.” (para. 90)
EGBA welcomes the confirmation by AG Bot that Sweden must not apply discriminatory sanctions towards licensed EU operators. EGBA further notes that marketing restrictions in place in Sweden are detrimental to the national economy.
Sigrid Ligné, Secretary General of the EGBA comments: “It is remarkable that leading national newspapers, which are financed through and very much dependent on the sale of advertising, are unfairly deprived of substantial sources of revenue”.
Sigrid Ligné adds: “The marketing prohibition that applies to legal EU operators in Swedish media does not have any impact on the overall level of consumption of games of chance in Sweden. Svenska Spel and ATG conduct heavy advertising campaign throughout the territory and Swedish consumers also receive advertising from other Member States on Television”.
Dates for the rulings of the ECJ in the two above-mentioned cases have not yet been determined.
Dienstag, 23. Februar 2010
Freitag, 19. Februar 2010
European Parliament: Online gambling - a roll of the unregulated dice?
A number of MEPs urged Internal Market Commissioner Michel Barnier to come up with common rules to regulate cross border online gambling in Europe. In a debate on 11 February many MEPs were concerned about the effects of gambling on minors, addiction and money laundering.
With gambling being a €70 billion industry in Europe online firms are hoping to break into this national market. This has brought tension and the European Court of Justice has upheld the right of nations to regulate online gambling.
The tension between the EU's internal market and the right of national regulators to monitor the trade lies at the heart of the legal confusion over online gambling. At present no rules on online gambling exist. Several countries have tried to ban cross-border online betting and the European Commission launched proceedings against them for flouting internal market rules. However, the court's decision to uphold a case where Portugal banned a company based in Gibraltar has shaken things up.
Join our debate online on Facebook on the issues raised in this article.
"Can and must be regulated"
Speaking in the debate Michel Barnier promised a "new approach" with a Green paper on possible policy options by the end of the year.
Thursday's debate was in response to an Oral Question tabled by five MEPs led by the Chair if the Internal Market Committee Malcolm Harbour. Speaking in the debate, the British Conservative said, "it is absolutely the right time for the Commission to be coming out with a clear strategy". He went on to say that online gambling "can be regulated and must be regulated".
However, Mr Harbour stressed the importance of giving people the right to choose: "We must also respect our citizens and the fact that many of them want to access online gambling" so "it can't be right to ban online gambling with a company from outside your own country".
States should not be forced to open markets
Andreas Schwab of the European People's Party called for "uniform cross-border solutions at the European level". The woman who steered the services directive through Parliament in 2006, German Socialist Evelyne Gebhardt called on the Commission to stop "quite improper" infringement procedures. She said "member states should not be forced to open market up if their controls are strong and effective and we want the Commission to finally understand this".
For the Greens, Heide Ruhle said that European rules should respect "European specificities".
"These are not services just like any other"
In terms of the possible legal and social dangers of gambling Dutch MEP Dennis De Jong of the leftist GUE/NGL told the House "we should limit online gambling as much as possible and we should ask the Commission not to lower the level of protection".
Speaking at the end of the debate, Mr Barnier said, "make no mistake; I have come to talk about a new approach". He went on to say "these are not services just like any other. Fighting cross-border crime without a European approach is impossible. We have to have strict limits so that minors can't play and on this we need EU coordination".
Have your say in our Facebook debate.
press release of the European Parliament
With gambling being a €70 billion industry in Europe online firms are hoping to break into this national market. This has brought tension and the European Court of Justice has upheld the right of nations to regulate online gambling.
The tension between the EU's internal market and the right of national regulators to monitor the trade lies at the heart of the legal confusion over online gambling. At present no rules on online gambling exist. Several countries have tried to ban cross-border online betting and the European Commission launched proceedings against them for flouting internal market rules. However, the court's decision to uphold a case where Portugal banned a company based in Gibraltar has shaken things up.
Join our debate online on Facebook on the issues raised in this article.
"Can and must be regulated"
Speaking in the debate Michel Barnier promised a "new approach" with a Green paper on possible policy options by the end of the year.
Thursday's debate was in response to an Oral Question tabled by five MEPs led by the Chair if the Internal Market Committee Malcolm Harbour. Speaking in the debate, the British Conservative said, "it is absolutely the right time for the Commission to be coming out with a clear strategy". He went on to say that online gambling "can be regulated and must be regulated".
However, Mr Harbour stressed the importance of giving people the right to choose: "We must also respect our citizens and the fact that many of them want to access online gambling" so "it can't be right to ban online gambling with a company from outside your own country".
States should not be forced to open markets
Andreas Schwab of the European People's Party called for "uniform cross-border solutions at the European level". The woman who steered the services directive through Parliament in 2006, German Socialist Evelyne Gebhardt called on the Commission to stop "quite improper" infringement procedures. She said "member states should not be forced to open market up if their controls are strong and effective and we want the Commission to finally understand this".
For the Greens, Heide Ruhle said that European rules should respect "European specificities".
"These are not services just like any other"
In terms of the possible legal and social dangers of gambling Dutch MEP Dennis De Jong of the leftist GUE/NGL told the House "we should limit online gambling as much as possible and we should ask the Commission not to lower the level of protection".
Speaking at the end of the debate, Mr Barnier said, "make no mistake; I have come to talk about a new approach". He went on to say "these are not services just like any other. Fighting cross-border crime without a European approach is impossible. We have to have strict limits so that minors can't play and on this we need EU coordination".
Have your say in our Facebook debate.
press release of the European Parliament
Freitag, 12. Februar 2010
Online Gaming and Betting: Barnier to take the lead
Brussels, 11 February 2010
EGBA welcomes the commitment made by the newly appointed Internal Market Commissioner Michel Barnier to address the situation of gaming and betting at EU level.
Addressing members of the European Parliament today, Commissioner Barnier confirmed that the analysis of the Commission Legal Service regarding the most recent European Court of Justice ruling (Santa Casa, C-42/09) does not change fundamentally the Commission’s approach towards infringement procedures. The Commissioner said that the Santa Casa ruling of 8 September 2009 was based on considerations specific to Portugal and to its national monopoly operator. The Commission will therefore continue to examine the compliance of national legislation with EU law on a case-by-case basis.
Sigrid Ligné, Secretary General of the EGBA, comments “With several Member States currently reforming their gaming and betting legislation, this is an important confirmation that the Commission will not stand by while Member States introduce restrictions that go against fundamental principles of the EU”.
She adds “We believe that the respect of Internal Market rules in our sector will promote high standards and improve the protection of players throughout the EU”.
EGBA also strongly supports the Commissioner’s intention to engage in a broad consultation with stakeholders and to work on a political document, based on reliable figures and a clear diagnosis of the situation in Europe. The Commissioner raised the prospect of a Green Paper on gambling, a move which EGBA believes could offer a real opportunity to test the interest and support of the European Parliament and Member States for future EU harmonization in the sector.
For further information or comment please contact:
Sigrid Ligné: +32 (0) 2 2567527
sigrid.ligne@egba.eu
EGBA welcomes the commitment made by the newly appointed Internal Market Commissioner Michel Barnier to address the situation of gaming and betting at EU level.
Addressing members of the European Parliament today, Commissioner Barnier confirmed that the analysis of the Commission Legal Service regarding the most recent European Court of Justice ruling (Santa Casa, C-42/09) does not change fundamentally the Commission’s approach towards infringement procedures. The Commissioner said that the Santa Casa ruling of 8 September 2009 was based on considerations specific to Portugal and to its national monopoly operator. The Commission will therefore continue to examine the compliance of national legislation with EU law on a case-by-case basis.
Sigrid Ligné, Secretary General of the EGBA, comments “With several Member States currently reforming their gaming and betting legislation, this is an important confirmation that the Commission will not stand by while Member States introduce restrictions that go against fundamental principles of the EU”.
She adds “We believe that the respect of Internal Market rules in our sector will promote high standards and improve the protection of players throughout the EU”.
EGBA also strongly supports the Commissioner’s intention to engage in a broad consultation with stakeholders and to work on a political document, based on reliable figures and a clear diagnosis of the situation in Europe. The Commissioner raised the prospect of a Green Paper on gambling, a move which EGBA believes could offer a real opportunity to test the interest and support of the European Parliament and Member States for future EU harmonization in the sector.
For further information or comment please contact:
Sigrid Ligné: +32 (0) 2 2567527
sigrid.ligne@egba.eu
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