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Blow to Malta as ECJ upholds ban on gambling websites advertising

The European Court of Justice (ECJ) today upheld a Swedish ban on the advertising of gambling websites hosted in other EU member states, including Malta.

The court said such a ban was legal as long as the penalties are the same as for the organisers of illegal gambling within the country.

The case is being considered as ground-breaking because it effectively allows a national government to stop its citizens advertising services which are legal in other EU states but illegal at home, as long as it can prove that this is in the public interest.

Swedish law bans the organisation of gambling for profit. The only groups which are allowed to run betting in the country are those which use the money for "socially beneficial objectives." But in 2003 and 2004, Swedish papers Expressen and Aftonbladet advertised online betting on four commercial websites in Britain and Malta. The Swedish government therefore fined the chief editor and publisher of the papers, Otto Sjoberg and Anders Gerdin, 50,000 crowns (roughly 6,500 dollars) each.

Both men appealed against the fines, and the Swedish appeals court asked the ECJ whether the Swedish law was in line with EU rulings.

In a statement, European Lotteries, a grouping which represents state lotteries and opposes cross-border online gambling, welcomed the ECJ decision describing it as "another serious blow to the commercial online gambling industry."

Malta and the UK currently host the majority of online gaming operators in the EU.

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William Sciberras

Jul 9th 2010, 12:37

First of all i-gaming services are regulated and almost all of them carry warnings against excessive gambling (you can check that out yourself). If the state ever tries to stop i-gaming it will only drive it underground, and that's where things get bad. Also keep in mind that the services offered by all the i-gaming companies present in Malta cannot be used by the Maltese - So they really don't affect Malta negatively, just POSITIVELY! Ever talked to an excessive gambler? Ask him if removing all ILLEGAL gambling arcades helped! Ask him if he would still gamble on relatively anything, say the weather (sounds stupid but it's true)! Ask him who's fault is it that they became excessive gamblers, and you'll see that in most cases they admit it's only their fault and no one else! The help they need lies in their reintegration into society - something which unfortunately lacks.

Tommy Lee

Jul 8th 2010, 20:58

Millions of Adults gamble,life is a lottery, luck accounts for most things in life.
Consenting adults who want to gamble should be allowed to freely without busybodies telling them what not to do.

William Sciberras

Jul 8th 2010, 21:45

Gambling is an entertainment industry like many others where money is spent. It becomes a social ill when a person thinks that gambling is an alternative source of income. I like many others use gambling services moderatly. Why should anyone stop me from using such services? Am I harming anyone? Am I putting myself to risk? Remove all sources of gambling and you'll see how the compulsive gambler will find an alternative source for gambling - they will gamble on EVERYTHING that comes to mind - literaly. Also.. Do you know how many i-gaming companies are here in Malta? And the amount of locals they employ? Giving that up is just insane! These services are not guilty of excessive gambling. Gulity is the state in failing to provide proper education about the consequences of excessive gambling - that is where action is needed!

Gordon Farrugia

Jul 9th 2010, 00:38

What you don't realise is that life is inherently tied to chance. The stock market is gambling fullstops. This news is a blow to Malta indeed as it restricts movement of free trade and restricts us access to country members markets. The online gambling (say gaming!) market in Malta employs thousands of people today with good paying jobs + add to that the taxes that these companies pay to the local government. For instance such companies generated some EUR90 million if I'm not mistaken for Guernsey in 2009 so they can be very lucrative for the local economy.

M Palermo

Jul 8th 2010, 23:59

Mr Pace,

If you think its a blow and would rather Malta remove all gambling companies here say bye bye to tens of millions of EUR per year in revenue for Malta. Apart from this, thousands of job losses and the gambling companies will still set up shop somewhere else and find an alternative... but they will still be open for maltese to play on wherever they are. Just cause malta is a gambling hub for COMPANIES does not mean people are forced or will gamble more...

Use some common sense guys on this subject....

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