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German SportsBetting Monopoly

A legal request by an as yet unidentified German gambling group that it be granted an interim dispensation to accept bets as long as a lawsuit against state gambling restrictions is pending in a lower court has been rejected by the German Federal Constitutional Court in Karlsruhe, reports Bloombergs news service.
 
Although the ruling was based on  technicalities, it will be disappointing for online gambling companies fighting the monopolistic protection afforded to state governments by the German Treaty on Gambling.
 
The unidentified plaintiff in case BVerfG, 1 BvR 2410/08 is fighting a 2005 order by the state of Lower Saxony that it stop taking bets offered by a Malta-based gambling company. The plaintiff, still awaiting a lower court action, asked to be allowed to accept bets as long as the lawsuit against the restrictions is pending. This week his case was rejected by the higher Federal Constitutional Court.
 
Ronald Reichert, who represented the plaintiff, commented: “This was just an interim ruling concerning preliminary procedures and its importance is limited to that. We expect the Federal Administrative Court to soon get the chance to fully scrutinize the rules in a new landmark sport-betting judgment.”
 
Reichert's firm represents several gambling industry associations and broker companies, but he declined to identify his client in the current case, revealing only that he is a businessman who has a betting shop in Lower Saxony.
 
“The court impressively backed the Germany gambling rules and clearly rebuffed the commercial sport-betting industry,” Erwin Horak, spokesman for the state monopoly Oddset, told Bloombergs in an e-mailed statement.
 
Interestingly, the same [Constitutional] court in 2006 struck down German’s former sports-gambling monopoly, saying the rules were inconsistent.
 
Germany’s 16 states then reinstated the monopoly and banned online betting at the beginning of 2009 in a state treaty. The ruling puts the country at odds with European Union regulators, who threatened to sue Germany in the European Court of Justice over the law last year.
 
“The new sports-betting rules have repaired the deficits of the old monopoly,” the court wrote in its current judgment, remarking that the preliminary assessment shows that the monopoly is constructed in “a consistent manner both in terms of law and fact to prevent gambling addiction.”
 
Betting firms like Bwin Interactive Entertainment AG, have been fighting protectionist gambling restrictions in Germany for several years, arguing that these are illegal under European Union law and invoking the Constitutional Court’s 2006 ruling. Several German courts have also sent cases to the European Court of Justice to look into the matter.
 
The companies are also arguing that the new German system isn’t consistent, because it bans private sport bets while allowing slot machines to be run by private gambling halls. The judges said today that its 2006 ruling doesn’t require the government to regulate slot machines and sport bets under an identical regime.

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Gambling News :

Interwetten 2016 Earnings Results - Privately-owned online sports betting operator Interwetten delivered robust full year results for the 2016 fiscal period, in which the company has almost achieved doubling its revenues over the past four years, success it attributes to its in-house developed platform

EU Online Gambling Tax Harmoney Dead - Tax expert says European Court of Justice Attorney General's opinion on UK-Gibraltar litigation signals that EU courts are happy for individual member states to impose their own laws on online gambling.

Jack Lam Facing Big Fines in the Philippines - It's going to be costly for Macau online gambling and junket tycoon Jack Lam to return to the Philippines following his rather hurried departure last year with allegations of economic sabotage, bribery and tax evasion swirling around him.

Walter Merricks Term As Gambing Commissioner Extended - The UK Government has extended Walter Merricks’ term as Commissioner of the Gambling Commission for a further year, ending December 31, 2017.

Loot’enKhamun Pays $3.8 Million Jackpot - A London-based construction worker’s year got off to a great start when he hit the Loot’enKhamun jackpot at bwin casino.

PlaySugarHouse To Carry Konami Content - Content provider Konami will provide its Gypsy Fire and Fortune Stacks slot games to Rush Street Interactive-operated PlaySugarHouse.com on an exclusive basis in the New Jersey real-money online and mobile wagering market.

ITF TERMINATES BETWAY SPONSORSHIP DEAL - The International Tennis Federation (ITF) has reportedly terminated Betway’s three-year sponsorship partnership as an extension to their anti-match fixing and sports integrity policy.

GSA To Launch European division - The expansion enables the GSA to better focus on the regional needs of its members outside of North America and underscores its recognition and commitment to growing European membership.

Paddy Power Trading Update - Company prevails despite adverse sports and US election results; Trump success cost the group GBP 5 million, whilst punter successes took another GBP 40 million in Q4-2016.

Tabcorp SunBets project - The details were revealed this week in an IT News article quoting Tabcorp's chief information officer, Kim Wenn, who described the SunBets project as Tabcorp's biggest global venture yet.

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