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NEWS | Wednesday, 21 October 2009

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MRGC: ‘Gaming licences are not illegal’

The Malta Remote Gaming Council (MRGC) has the duty to protect the industry and its membership and feels that it has no option but to speak out after a series of attacks by Member States on operators who hold a license to operate an online gaming service in other Member States.
In a statement issued by MRGC, its General Secretary Alan Alden, said that the European Court of Justice (ECJ) has ruled on a number of occasions that Member States cannot stop cross border gaming services offered by private companies licensed in other Member States as they would be in breach of EC Treaty, Article 49.
This was also re-affirmed in the now infamous ECJ’s BWIN/LIGA vs. Santa Casa ruling. Yet these rulings are repeatedly ignored by these same jurisdictions who are continuing to refer to legal licenses issued in other Member States as being illegal. These accusations are frivolous and unfounded, moreover, most of the Member States that are making these claims have infringement procedures against them and therefore are themselves not conformant to EU laws or treaties.
Maltese license holders are subject to strict anti-money laundering procedures before being issued a license to operate and are required themselves to comply with a number of measures: - responsible gaming and player protection measures superior to those implemented by most monopolies; stringent fraud, Know your Customer (KYC) and Anti-Money Laundering (AML) procedures; fair play; advertising code of conduct; and, are subject to rigorous monitoring and controls by the regulator. What is so illegal about this licensing process asked MRGC.
The EU was set up as an economic zone for the benefit of all its members. MRGC believes that if barriers start going up and protectionism sets in, the EU will have failed to achieve its objectives. The ECJ has recognized this and repeatedly ruled against monopolies.
Accusations that all licenses are illegal unless they are issued in the jurisdiction where the market is a very dangerous game to play, and the main aim is just to try and frighten off players from playing with such private companies to the detriment of their legitimate business.
The MRGC enquired about who is going to be held responsible for any potential losses incurred due to these unfounded accusations. The MRGC reiterated that the Council intends to use every means available to it under the Law to protect its members and the industry.

 


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