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German Online Gambling Ban Assailed by European Union

28 Jan 2008

     

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It has been suggested through Reuters that the European Union will be taking legal action against Germany following Germany’s newly implemented online gambling ban. The EU are keen to press the action as quickly as possible, and will seek European Commission approval as early as next week.

The move will most likely see the German government be handed a final warning from the EU, who claim that the legislation is discriminatory before finally being taken to the European Court of Justice.

The challenge from the EU surely won’t be a surprise to Germany, as the EU have been consistent in enforcing cross-border competition when it comes to services such as online gaming. The EU Internal Market Commissioner Charlie McCreevy has started proceedings against almost a dozen EU countries over discriminatory policies regarding gaming or lottery sectors.

Germany and the European Union have clashed before when it comes to online gambling policy. Last spring a number of German states imposed regional bans, a move which was challenged and partially repealed by the Austrian company Bwin.

Any legal challenges made by the EU will be fully supported by the European Gaming and Betting Association (EGBA), which represents eight major European online firms and had previously filed a complaint with the European Commission over the German legislation.

CARSTEIN Frein, head of UK betting company MyLotto24.com, a subsidiary of German giant Tipp24, suggests Germany's ban on online gambling is unconstitutional under both German and European Union law.

He has stated: "We consider the state treaty on gambling as clearly illegal and will take legal action if necessary. Reports by notable constitutional lawyers such as Professor Bodo Pieroth or Professor Hermes confirm that the treaty contravenes the German constitution and European law. The European Union and the German Monopolies Commission have also taken up a clear stance in this sense."

It seems that sixteen German states prohibit online gambling.


Source: http://www.bluffeurope.com/newsDetail.aspx?id=16020 & http://betting.betfair.com/casino/german-ban-on-online-gambling-unconstitutional-070108.html

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