Sunday, April 5, 2009
U.S.A online casino gambling laws break WTO
1:39 AM | 
Posted by
coolvision
As part of a formal investigation, the European Commission has issued a preliminary report that finds USA laws on online casino gambling are legally not justified and discriminatory. The report found that the treatment of foreign online casino betting operators by the USA under existing domestic law constituted a barrier to market access for European companies and is inconsistent with World Trade Organization (WTO) rules. Legislation previously introduced by Rep. Barney Frank (D-Mass.) would resolve the trade dispute by regulating Internet gambling and creating a level playing field among domestic and foreign Internet gambling operators.
"The European Commission inquiry further highlights the need for the Obama Administration and Congress to control Internet gambling not only to protect consumers, but in order to restore integrity to the international trade system," said Jeffrey Sandman, spokesperson for the Safe and Secure Internet Gambling Initiative. "The Obama Administration should seek to forge a new direction on Internet gambling, rather than keeping in place a protectionist trade policy that hypocritically discriminates against foreign online gambling operators."
E.U. Trade Commissioner Catherine Ashton released a statement that encourages the USA to control Internet gambling as a way to address this issue. "It is for the US to decide how best to control Internet gambling in its market, but this must be done in a way that fully respects WTO obligations. I am hopeful that we can find a swift, negotiated solution to this issue," said Commissioner Ashton.
Rt Hon. David Blunkett MP, former U.K. Home Secretary and current Member of the U.K. Parliament joined in calling for USA casino regulation, saying, "I fully support the call by the EU Trade Commissioner, Cathy Ashton, for urgent USA action to regularise the trade relationship, respect WTO rules and to control online gambling. This would provide not only fair competition, but protection for individuals and families, and a legal basis on which substantial revenue could be raised at a time of considerable pressure on public finances."
The inquiry by the European Commission is the result of a Trade Barrier Regulation complaint filed by the offshore Gambling Association (RGA), which represents the largest offshore gambling companies in Europe. In its complaint the RGA claims the United States violates international trade law by threatening and pursuing criminal prosecutions, forfeitures and other enforcement actions against foreign Internet gambling operators, while allowing domestic online casinos USA operators, primarily horse betting, to flourish.
At the conclusion of the investigation, the European Commission could pursue talks with the USA to find an appropriate solution to end the discrimination. If the parties cannot settle the matter themselves, the Commission could bring a case against the USA to the WTO.
A recent analysis found that the USA could receive as much as $51.9 billion in federal revenue over the next decade if Internet gambling is regulated as proposed in legislation previously introduced by Representatives Barney Frank (D-Mass.) and Jim McDermott (D-Wash.).
"The European Commission inquiry further highlights the need for the Obama Administration and Congress to control Internet gambling not only to protect consumers, but in order to restore integrity to the international trade system," said Jeffrey Sandman, spokesperson for the Safe and Secure Internet Gambling Initiative. "The Obama Administration should seek to forge a new direction on Internet gambling, rather than keeping in place a protectionist trade policy that hypocritically discriminates against foreign online gambling operators."
E.U. Trade Commissioner Catherine Ashton released a statement that encourages the USA to control Internet gambling as a way to address this issue. "It is for the US to decide how best to control Internet gambling in its market, but this must be done in a way that fully respects WTO obligations. I am hopeful that we can find a swift, negotiated solution to this issue," said Commissioner Ashton.
Rt Hon. David Blunkett MP, former U.K. Home Secretary and current Member of the U.K. Parliament joined in calling for USA casino regulation, saying, "I fully support the call by the EU Trade Commissioner, Cathy Ashton, for urgent USA action to regularise the trade relationship, respect WTO rules and to control online gambling. This would provide not only fair competition, but protection for individuals and families, and a legal basis on which substantial revenue could be raised at a time of considerable pressure on public finances."
The inquiry by the European Commission is the result of a Trade Barrier Regulation complaint filed by the offshore Gambling Association (RGA), which represents the largest offshore gambling companies in Europe. In its complaint the RGA claims the United States violates international trade law by threatening and pursuing criminal prosecutions, forfeitures and other enforcement actions against foreign Internet gambling operators, while allowing domestic online casinos USA operators, primarily horse betting, to flourish.
At the conclusion of the investigation, the European Commission could pursue talks with the USA to find an appropriate solution to end the discrimination. If the parties cannot settle the matter themselves, the Commission could bring a case against the USA to the WTO.
A recent analysis found that the USA could receive as much as $51.9 billion in federal revenue over the next decade if Internet gambling is regulated as proposed in legislation previously introduced by Representatives Barney Frank (D-Mass.) and Jim McDermott (D-Wash.).
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