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***GambLux EDITOR ARTICLES*** |
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France puts the brakes on online gambling [Wednesday, March 12, 2008]
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French bans payments to online casinos to protect state monopolies; Israel passes bill to block gambling sites
EU member states are breaking the law all over the place in regard to free trade and online gambling.
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Last week a warning was issued by the European Commission to Norway and Greece for breaching the laws allowing free trade between member states.
The latest country in the firing line is France, where a law will be introduced on March 31st 2008 to ban payments to online casinos and betting sites, except for the state-run sites. This law will effectively make Francaise des Jeux and PMU monopolies in France, with foreign providers unable to function.
This was the same tactic used by the US to ban online gambling, a circuitous route that makes it impossible for banks and credit cards to make transactions to or from casino, poker and betting sites. The gambling industry has come up with all sorts of ways of getting round this obstacle, using third party companies to make the transactions. However, it has made a huge dent in the market available to gaming companies.
Beyond Europe, in Israel a bill is passing through parliament which would effectively block online gambling for most citizens. In addition to casino and betting sites, the proposed bill would block websites with sexual or violent content. Users will have the option to access blocked gambling sites by making a special request to their internet provider.
The Chairman of the Israeli parliament's Economic Committee was quoted as saying the new law could 'turn Israel into a kind of Iran', a country with strict laws and enforcement of morals.
The European Commission is now in talks with 10 member countries concerning online gambling. While Europe is clamping down, Eastern countries appear to be warming to the advantages of online gambling, as industry insiders consider the possibility of China legalizing online casinos, as discussed at the recent Asian Interactive Gaming conference. The demand is certainly there among Chinese gamblers, but it remains to be seen if the notoriously strict Chinese government decides to take advantage of the benefits of regulated online gambling.
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