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Swedish gambling monopoly Svenska Spel looks much closer in losing their position in the Sweden’s gambling market after the annual conference of the Moderate Party saw a vote in support of a proposal to abolish the current government monopoly and to pursue a course to privatize Svenska Spel.
A formal timetable for the process of de-monoplozation is not public yet, so the problems of complying with the EU regulation still remain .
Poker news notes :
On Friday, Svenska Spel announced that a state-controlled gaming company had obtained permission from its government to offer online poker in cooperation with Svenska Spel and its online-gaming software supplier Boss Media. While the name of the procuring company was not disclosed, they are a member of The World Lottery Association and will use Boss Media’s software and Svenska Spel’s security and supervision systems. Why would Sweden want to sell off this successful moneymaking venture? While the company has come under fire for targeting the poorer population of Sweden and overly aggressive advertising campaigns, the real answer probably resides with Sweden’s current issue with the European Union.
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Bwin won a high stake lawsuit yesterday, 6 November 2007, when the Administrative Court of Appeal for the German state of Hessen decided to overturn a decision of a lower court that prohibited BWIN Interactive Entertainment AG’s German unit BWIN e.k. to offer its onling betting services in the state, taking into consideration the local gambling monopoly.
But the court of Appeal explained that “a ban on internet-based gaming as technically unfeasible, and thus regards the ban as essentially null and void.” This decision confirms the precedent from a Bavarian court presented by our blog in May 2007, contradicting the Bavarian Authorities that who decided that 3 companie could not accept wagers from the Bavarian users, since only the state-owned sports betting company is allowed to do that.
The decision actually makes sense in the online world and brings Germany closer to the European Court of Justice rulings.
The Europe’s trend is clear these days and a national decision to support its national monopoly against other EU -based operators is clearly seen as a breach of the freedom of services within EU. But if the trend gets stronger and EU pushes more for liberalization and increased transparency, it will certanly mean a much better position in an emerging market.
Combine this with the WTO demands against the US on this topic and we can see a big problem coming up between the two superpowers.
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 Mark Mendel, winning trade attorney for Antigua & Barbuda in their WTO case against the United States – over a protectionist US Internet gambling law passed in late 2006 – said today that he expects a decision on their 3.4 billion USD/per year compensation claim from a WTO panel on 30 November 2007.
USA says thatthey will pay $500,000 in compensation, because $3.4b is more than Antigua’s entire yearly economy.
But the funny part is that Antigua could be awared by the WTO panel with possibility to sell US copyrighted material to get their money claimed.
The World Trade Organisation has ruled that the US has acted illegally, but instead of updating the UIEGA in line with the ruling, the United States government has looked towards withdrawal from the World Trade Organisation obligations in this matter.
See also this interesting article by Ed Brayton
Update – 8.11
It appears that the date has been postponed for 14 December, giving more time for US to negotiate with the countries that have filed for damages : European Union, India, Antigua and Barbuda, Japan, Costa Rica, Macao, Canada and Australia.
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Many were already arrived ‘invitations to provide’ all’Aams and exhortations to monitor what was happening in the opening race of the more than 14mila points betting assigned by Bando Bersani 2006. Now, even Amministrazione Autonoma dei Monopoli di Stato, send a circular calling dealers, the new contractor, to adhere to the provisions in the agreement. In fact, you refer to and corner shops already open but that apparently does not meet the parameters set.
“We forwarded all’Aams acts of” invitation to provide the sanctioning new dealers that have opened undisturbed corner of the sports betting without the slightest respect the constraints on the Bersani law for the reorganization of the sector. In the reality of things, however, the bookmakers holders of licenses have not done more than sign the contracts, delivering a monitor to existing agencies or businesses that have now betting among assets of any kind. ” This was reported as Fernando Petrivelli just one day before the release of this circular dell’Aams that ‘Officially’ the emergence of these openings not comply with the instructions contained in the legislative decree.
A defense of bookmakers must be said that the territorial limits, the distances and the different technical parameters, the stakes are very difficult within which to settle and work points to open the game and the agencies themselves. It is not always easy to find a suitable local, an owner willing to change spaces depending on the needs of corner shops and contained in the regulations and, once found, it is said that the distances from one room to another to be respected.
Many were born in corner spaces or bars of agencies that have paid less space than that required in the decree. While other points of the game offer wide and spacious, while others are simply services in more than a bar bets, tobacco and agencies already equipped with other types of merchandise offered. The situation of those who have invested millions of euros for the concessions that have already ‘old’ one year should be included. Without counting competition of online betting and all those Ctd that now protected by European rules and judgments, open and operate almost undisturbed throughout Italy.
The data, comforting, speaking of thousands of openings thus can be placed in doubt dall’Aams same even if it seems unlikely that the points are open forced to take a step backwards.
Here, however, the circular of Monopoly sent to dealers betting:
“With reference to the activities undertaken by licensees to enable network and the operation of retail outlets game public under Article 38, paragraph 4 of the decree law on July 4, 2006, No. 223, and converted changes and additions by law on August 4, 2006 ‘No 248 are invited dealers to make all appropriate action in respect of documents relating to the concessions, in particular attention should be given in the report:
- The subsistence minimum requirements to be held, respectively, for shops and points of the game;
- To the physical separation of space for gaming outlets, including prevailing business and the marketing area of public games;
- To the prevalence for gaming outlets, activity other than public marketing of games;
- Respect for maximum funded by the sale of public games.
It is that this Administration will give maximum attention to compliance with the regulations in force at the controls provided by the grant in place. “
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A new law like UIGEA could be passed in Norway, as Reuters reports.
Rolf Sims, legal adviser to Norway’s Ministry of Culture explained that a new draft law is planned that could make processing of bet payments illegal. A collegue of his – the Norwegian Gaming Board legal adviser Thomas Helgesen explained that the Norwegian “is responding to the growing public backlash against gambling.” A decision is expected by first part of 2008.
But the Norwegian govt still supports their state-owned gambling monopoly , arising a conflict of interests with their “efforts” in combatting gamblig addiction.
This is also ironic, taking into consideration that the Norwegian Annette Obrestad won the biggest tournament in European histor and its government is talking about banning the online rooms where Annette15 earned her poker chops.
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Partypoker has announced a new upgrade to their software, that includes the poker software in the native language of the users from Denmark, Sweden and Finland. Partypoker announced with the same occasion that it will host a 50 000 USD Freeroll, exclusively for nordic players on 22 November 2007 – starting with 14:30 ET ( that is 19 00 CET – why the hell didn’t they put the CET hour if this is just for nordic players ? -LOL). Registration starts on 1 November 2007.
This is another cool decision from PartyGaming that wants to better penetrate the European market – see also a cool article from Independant on the company recent financial announcements.
In another somehow related news from Gaming Intelligence we findout that the Swedish Moderate Party ( the party in power ) has announced on Saturday that it will sell Svenska Spel and ATG, the swedish gambling monopolies.
Tomas Tobé MP declared that “By December 2008, an in-depth report on the gambling market will be released following an investigation by Jan Nyrén, legal counsel of the police authority, but the party congress did not want to wait for this and voted for change to take place more rapidly†.
Mr Tobé also said that with the European Commission monitoring Sweden’s activities with regard to the provisions of the EC Treaty, it would be preferable that the government took steps to address the issue of its own accord, as opposed to being compelled to do so by a ruling from the European Court of Justice.
Svenska Spel generated a profit of 523 million euros in 2006 and could be valued at roughly 7.05 billion euros.
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Mr. Peter Nyland, the director of the Swedish online betting firm Unibet, was arrested on the Amsterdam airport, when he was trying to fly to UK.
The Dutch authorites have claimed that they have a warrant from the French authorities that have accussed Mr. Nylande of breaking French laws that prohibit online gambling. This case has apparantely nothing in common with the recent decision against Unibet in the Dutch trial against De Lotto.
It is an application of the controversial European Arrest Warrant, under which people accused of a crime in one country can be arrested in another country without a prima facie case having been established.
According to BBC, French lottery monopoly Francaise des Jeux and horse racing betting monopoly PMU filed the proceedings against Unibet in 2006.
The moment of this new scandal is the worst possible for French authorities that want to comply with the European Commission recommandations and European Court of Justice decisions regarding online gambling in European Union. France could change its gambling laws soon.
Unibet has demanded Nylander’s immediate release. In a statement the company said it was “outraged by France’s total disregard of European Community law aiming to protect a domestic commercial gambling monopoly, which is being challenged by the European Commission. However disturbing French authorities’ methods are, for Unibet it is business as usual.”
The European Commission representative confirmed their concern over the story : “This is an issue which we have been informed about, we are worried about, and that in our view somebody might have been arrested who is innocent under (EU) law,” said Oliver Drewes.
Unibet is registered in Malta, operates out of Britain and is listed on the Stockholm stock exchange. It claims to have 1.8 million customers in 150 countries.
Update 25.10.2007 : After a hearing on 24 October 2007 in the afternoon, Unibet CEO Petter Nylander was released to the more comfortable surroundings of a local hotel, after agreeing not to leave the Netherlands. Nylander is expected to gop at the beginning of the next week in France to face the judge that issues the warrant. Th eFrench authorities were embarrased by the new situation and aid thatThe Financial Minsitry declared it “regretted the timing of Nylander’s arrest and hoped that the FDJ and the PMU would drop the complaints that started the case against his firm.”
tags:
ecj,
european comission,
oliver drewes,
pmu,
peter nylande,
arrest,
dutch,
european arrest warrant,
france,
holland,
netherlands,
online betting,
unibet
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After bwin impressive four-year $70 million shirt sponsorship deal with the famous Real Madrid Football Club, the company decided to take advantage of the brand development in Spain and, in partnership with Betbull, will start its first shops in the first quarter of 2008.
The duo bettinmg companies takes advantage of the new lax regulation from the spanish government regarding betting shops. The companies have announced that they will expand inall Spain later on.
Simon Bold, Betbull Director, declared “The forthcoming year will see the fruition of many months of planning and fine tuning of our betting products and systems for the Spanish market.â€
On another note, bwin announced that it is interestied in buying 36% of the Austrian lottery Monopoly Bawag, that could cost approx. 200 millions euros.
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The two organizations battle is going for the use of the trademark “Swedish Poker Championships”, a competition already held online and offline.
Both the SPA and Svenska Spel will arrange online championships in November 2007 with a similar name.
SPA says they have trademark on that name -Â “It is very shocking that a crown corporation with monopoly status does not respect the law of trademark,” said Peder MÃ¥nsson, chairman of the Swedish Poker Association.
Svenska Spel says that is a generic name and can’t be a trademark -
“As far as we are concerned, you are not able to protect a trademark as generic as Swedish Poker Championships, since it is too common a concept. You could claim a trademark on a logotype which featured the words ‘Swedish Poker Championships,’ but not on the phrase alone,” confirmed Jacob Lagercrantz, spokesperson for Svenska Spel
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An Utrech court has decided that prohibited Unibet gambling proposers by means of its Internet site illegal offer gambling games, among which gambling football paid on Dutch amateur games and games from.
As this Dutch website reportsthe Dutch monopoly operator De Lotto says it has secured a court verdict last week against European online operator Unibet, following Unibet’s decision to offer betting on amateur football in Holland. However, the Wimbledon-based operator says it has no knowledge of the ruling.
The lawsuit had been tightened by the Lotto, the only licensee in the Netherlands for offering sport questions. The Lotto gives annual approximately 60 millions euro to the combined Netherlands Olympic Committee and Dutch Sports Federation NOC*CNSF and other good aims in the field of culture, social well-being and public health.
The Lotto organisation doneerde since its establishment in 1961, has clearred 1.5 billion to several good aims. More than 1.1 billion of it helped to the sport. The Lotto is, beside the government, of the important geldschieters of the Dutch sport.
The Lotto, as only licensee, is moreover at this moment in conversation with the KNVB concerning herintroductie of Toto.
Resistance worker gambles on sport games receives a lot of attention the last time prominent. Recent is there in the House of Commons ask keen concerning offer of gamble on games from amateur football by the company Unibet.
In the sentence the Utrechtse right who offering gambling games, predominates, among which gambling on amateur games and games from paid football is prohibited, without Dutch license. By doing this, however, Unibet act unlawfully towards the Lotto. Unibet must strike by directly its gambling offers under penalty of a penalty payment of 100,000 euro per day and with maximum of three millions euro. This is 17th the time that the Dutch judge judges that offering illegal gambling games in the Netherlands is prohibited.