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from accessing jurisdiction-based online sites (e.g. Australia prohibits Australians from accessing their online casino site). Several Muslim countries prohibit all forms of gambling, including online gambling (e.g. Pakistan, Saudi Arabia, etc.).‖178
United Kingdom
In the United Kingdom (UK), ―interactive gambling is regulated by the National Gambling commission; online sports betting, horse race betting, betting exchanges, and games of skill can be legally operated in the UK and played by UK residents.‖179 The previous Gaming Act of 1968 and the Lotteries and Amusements Act ―prevented the establishment within the UK of online gambling or other remotely operated casinos; it was widely agreed that new legislation was needed to promote and regulate remote gambling in the UK whilst protecting customers.‖180 However, UK citizens are permitted to place bets at offshore internet casinos of their choice without breaking any British laws according to the Gambling Commission of 2005.181 This new legislation‘s role was to grant licenses to organisations able to meet the licensing objectives.182 Further, ―the legislation introduced the concept of ‗remote gambling‘
which covers not only internet gambling, but also using other devices such as mobile telephones, landlines, television, radio, or ‗any other kind of electronic device or other technology for facilitating communication‘ when playing these games‖.183 Therefore, in terms of its legality, ―there is nothing in the current UK legislation which makes it illegal, or seeks to prevent British residents gambling on the Internet in their own homes.‖184
Other European Countries.
According to eubusiness.com, online gambling is a fast developing business in Europe, with almost 15,000 websites already identified and total annual revenues exceeding EUR 6 billion
178 Wood & Williams (note 127 above) 495.
179 Wood & Williams (note 127 above) 495.
180 Charles Hopper ‗Remote Controlled? An overview of the UK Remote Gambling licensing regime‘ available at www.taylorwessing.com/download/article_remote.html, accessed on 16 August 2012.
181 Wood & Williams (note 127 above) 495.
182 Charles Hopper ‗Remote Controlled? An overview of the UK Remote Gambling licensing regime‘ available at www.taylorwessing.com/download/article_remote.html, accessed on 16 August 2012.
183 Charles Hopper ‗Remote Controlled? An overview of the UK Remote Gambling licensing regime‘ available at www.taylorwessing.com/download/article_remote.html, accessed on 16 August 2012.
184 Amanda Taylor Gambling: ―A Respectable Hell‖ Has the Internet made a traditional pastime too accessible bringing with it inevitable problems? (Unpublished LLM thesis, The University of Westminster, 2005) 12.
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in 2008 and expected to double in size by 2013.185 National legal frameworks vary enormously across the EU, with different rules applying to licensing, related online services, payments, public interest litigation and the fight against fraud.186
Wood and Williams conclude that, ―Online ticket sales are permitted in Sweden, Germany, and Liechtenstein.187 Finland allows online horse race betting; Austria permits online lottery sales, casino games, skill games and bookmaking;188 Holland Casinos was recently granted a license to conduct online gambling in the Netherlands;189 It is unlawful to facilitate participation in ‗foreign games of chance‘ in the Czech Republic, Denmark, Germany, Hungary, the Netherlands, Slovakia and Sweden;190 Cyprus, Greece and Portugal explicitly prohibit the granting of online gambling licenses.‖191 Today online gambling services are widely offered and used in the EU and the economic significance of the sector is growing rapidly.192
Australia
Australia was actually one of the first countries to adopt a regulatory scheme for interactive gambling.193 Online gambling in Australia is regulated at the federal level by the Interactive Gambling Act of 2001; this federal legislation allows Australian residents to legally operate and take part in certain types of games such as online sports books, race books, poker rooms and skill game sites.194 Although online lotteries are permitted, games such as keno-style games, scratch tickets and instant lotteries are not.195 In as much as the different states have the ability to formulate state specific policies and legislation, federal legislation takes
185 Eub2 ‗Online gambling in Europe-guide‘ available
http://www.eubusiness.com/topics/singlemarket/gambling-4, accessed on 16 August 2012.
186 Eub2 ‗Online gambling in Europe-guide‘ available
http://www.eubusiness.com/topics/singlemarket/gambling-4, accessed on 16 August 2012.
187 Wood & Williams (note 127 above) 495.
188 Wood & Williams (note 127 above) 495.
189 Wood & Williams (note 127 above) 495.
190 Wood & Williams (note 127 above) 495.
191 Wood & Williams (note 127 above) 495.
192 Eub2 ‗Online gambling in Europe-guide‘ available
http://www.eubusiness.com/topics/singlemarket/gambling-4, accessed on 16 August 2012.
193 W R Markowitz ‗Internet Gambling: Legal or not?‘ available at
http://www.gamblinglicenses/PDF/Internet%20gambling-%20legal%20or%20%not.pdf, accessed on 15 May 2012.
194 Wood & Williams (note 127 above) 496.
195 Wood & Williams (note 127 above) 496.
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precedent and this includes the fact that Australian residents are not permitted to gamble at government licensed online casino.196
New Zealand
The New Zealand government has granted ―exclusive operating rights for online racebooks and sportsbooks to the Racing Board, formerly known as Totalisator Agency Board (TAB)‖.197 Online lotteries may be run by the Lotteries Commission.198 It is illegal to organise, manage, or promote any other source of online gambling in New Zealand.199 Section 9(2)(b) of the Gambling Act 0f 2003 ―prohibits remote interactive gambling; the definition of remote interactive gambling includes, gambling by a person at a distance by interaction through a communication device.‖200 The prohibition is on remote interactive gambling conducted within New Zealand and therefore does not prohibit gambling conducted overseas; for example, it is not illegal for someone in New Zealand to participate over the internet if that website is based overseas.201
United States of America
The United states has taken a different turn from the rest of the world which is headed to a more accepting, regulatory and more profitable system for interactive gambling, the US opted for the domestic prohibition. The US government takes the view that internet gambling is a
‗vice‘ much like pornography and drugs, and as such it differs fundamentally from other forms of ecommerce.202 According to a study by Mcmillen,203 ―in 1999 the National Gaming Impact Study Commission (NGISC) rejected the idea that prohibition will not deter either operators or players; rather it will make criminals of everyone involved in the activity and that with technology, this prohibition is most likely to be ineffective.‖204 Instead ‗the NGISC
196 Wood & Williams (note 127 above) 496.
197 Wood & Williams (note 127 above) 496.
198 Wood & Williams (note 127 above) 496.
199 Wood & Williams (note 127 above) 496.
200 The Gambling Act 51 of 2003.
201 The Department of Internal Affairs ‗Remote Interactive Gambling prohibited‘ available at
http://www.dia.govt.nz/Services-Casino-and-Non-Casino-Gaming-Prohibited-Gambling#one, accessed on 07 May 2012.
202 Mcmillen (note 63 above) 396.
203 Mcmillen (note 63 above) 396
204 Mcmillen (note 63 above) 396.
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recommended that Congress prohibit all forms of Internet gambling in the US‘.205 The political debates by US analysts suggest that this total prohibition of Internet gambling by federal legislation may be unconstitutional and unenforceable, they have even gone as far as suggesting that such legislation only applies to cross-border wagering and not gaming;
however, many states legal systems have chosen to support this system and thereby strengthening the actions of the US federal enforcement authorities.206 The Unlawful Internet Gambling Amendment Act of 2006 (UIGEA) was passed after congress in the US ignored policy findings that individual states should decide the legality of gambling within their respective borders.207 In passing this Act, the US was sending a clear message: ―they have no interest in a global regulation plan and the United States will no longer be a provider of Internet gambling revenues.‖208 This act basically prevents all American financial institutions from facilitating online wagers.
The technological advancement in America has resulted in Internet gambling activity being specifically high in the U.S. market by making it physically possible and not because of America‘s greater thirst for action.209