2 2 February 2003

News:

Anthony Impreveduto, a New Jersey Assemblyman, and Assemblyman Gary Guear, Chairmen of the NJ Assembly Tourism and Gaming Committee, are backing a Bill to present a new approach to internet gaming: the establishment of an Internet Gambling Study Commission.

Kerzner’s withdrawal from the Isle of Man has led to speculation that the Isle of Man regulators will have to loosen their regime if they wish to hold onto online operators. Kerzner announced its decision to discontinue online gaming operations in a statement published with its third quarter results on 29 January: “Kerzner Interactive targeted play only from jurisdictions that permitted online gaming. As these jurisdictions have become more restrictive in their acceptance of play, the market size has been reduced and competition has intensified. Without the potential for expansion into other markets, including the United States, the outlook for new business has substantially decreased and achieving profitability is unlikely in the short-to-medium term.”

Ladbrokes looks set to appeal to the European Court of Justice after a Dutch court, in a precedent-setting decision, ordered the company to block access to their website by Dutch citizens or face a daily fine of E10,000.

Features:

Increased scrutiny of the internet and both the financial transactions that take place within it and the parties to those transactions makes ‘know your customer’ (KYC) procedures more important than ever. This article looks at the problems of customer identity from a regulator’s point of view, by looking at the various approaches towards limiting under-aged players, as well as establishing identity and player location.

Are you thinking of setting up a gaming website outside the UK? Perhaps an offshore jurisdiction which has relaxed laws in relation to online gaming? If so, would you still need to worry about English law? This article examines recent case law addressing this type of jurisdiction issue, English regulations that you should be aware of, both specific to gaming and general to websites, and practical tips on enforcement and compliance.

There has been much media interest recently regarding the transparency and integrity of betting operators and, in particular, person to person exchanges. On the one hand the authorities need to investigate allegations of corruption affecting sporting events and possible money laundering activities; however, should the investigations mean that punters’ personal details can be accessed?

Efficient electronic payment systems are vital to the continued growth of the online gambling industry. Payment is currently one of the most hotly discussed topics in the industry. This article explains the history and drivers for alternative payment systems, looks at characteristics of the new alternatives emerging and suggests what operators should look for when evaluating alternative payment systems.

Ladbrokes has recently been ordered to block punters in Holland from placing sports fixed odds bets (not including games or gaming) on its website following a court ruling in Holland, or face fines of 10,000 euros per day. A court in Arnhem decided in favour of a Dutch gambling organisation, De Lotto, which had brought a claim on unfair competition grounds. Ladbrokes is now considering launching an appeal to the European Court of Justice, a move that will have considerable industry support.

Legislators, regulators and policymakers from all over the world are struggling with the challenges of new technologies - and internet gaming is one component of internet commerce that has drawn a lot of attention. The New Jersey legislature will soon be asked to consider setting up an Internet Gambling Study Commission. This article looks at the thinking behind the proposal.