BB118-p01-news_09/10 03/07/2014 13:26 Page 1
BUSH MARKETING: Wood you believe it - Paddy Power’s latest stunt has everyone up in arms
LICENSING: Find out the latest developments on the new point of consumption regime
SUSTAINABLE APPROACH: Has Betfair’s short term pain subsided as it pursues only licensed markets?
ESSENTIAL GUIDE 18
BETTING NEWS 12
BUSINESS 42
£5.20 (€8.30) • ISSUE:118 • JULY 2014 • www.betting-business.co.uk
Would-be match fixers jailed
The controversial point of consumption licensing regime looks set for a thorough examination in the law courts, but it could well already be in place by then.
CRIME
T THE GBGA IS PUSHING FOR A JUDICIAL REVIEW OF THE NEW GAMBLING LICENSING LAWS (© LEWIS CLARKE)
LICENSING
GBGA makes good on Judicial Review threat he Gibraltar Betting and Gaming Association (GBGA) has finally made its move against the UK’s planned point of consumption licensing regime by starting a procedure that could lead to a Judicial Review. The GBGA has written to both the government and the Gambling Commission informing them of plans to claim for a judicial review, arguing that the new laws not only ‘threatens the safety of consumers online’ but is unlawful under European Law. It breaches Article 56 of the European Treaty by being a ‘disproportionate and unjustified interference on the free movement of services. There are four key areas of objection laid out: There is no evidence that the current regime fails to protect consumers; The new regime is not capable
T
hree men suspected of trying to manipulate the scorelines of football matches have been found guilty of conspiracy to commit bribery and received sentences totalling in excess of 11 years in prison. The jury at Birmingham Crown Court found that Chann Sankaran, a Singapore national, and Krishna Ganeshan, a UK national originally from Sri Lanka, were the central conspirators in the match fixing plot, and had recruited Michael Boateng, a player from Conference South team Whitehawk FC, to help them. A fourth man, Hakeem Adelakun, was acquitted. There will be a retrial in respect of a fifth man, on whom the jury was unable to reach a verdict. The Gambling Commission’s Sports Betting Intelligence Unit (SBIU) and the Football Association supported the National Crime Agency (NCA) during the investigation. Commission director of regulation Nick Tofiluk said: “We welcome the work of the NCA and we continue to work in partnership with law enforcement agencies, sport and betting operators to ensure that match fixers, whatever the sport, are identified and dealt with.” NCA branch commander Richard Warner said: “This is not sport as a football-loving nation recognises it. It is corruption and bribery linked to serious organised crime, and the NCA is determined to stop criminals benefiting from it.” In an unrelated case, New Zealand cricketer Lou Vincent has been banned from the sport after admitting match fixing. He manipulated results in a Twenty20 match between Lancashire and Durham in June 2008 and two fixtures played at Hove in August 2011, namely a Sussex v Lancashire Twenty20 match and a Sussex v Kent CB40 match.
of providing consumer protection as it is largely unenforceable; It will have negative unintended consequences which will outweigh the benefits; The suggested less onerous ‘Passporting Proposal’ has been rejected without reason; GBGA chief executive Peter Howitt argues that this new law, combined with planned tax changes, will drive consumers to the unregulated or poorly regulated market, and so ensure that a significant proportion of UK consumers will be unprotected when they play and bet with foreign operators. He said: “This is bad for UK consumers, bad for the regulated industry, bad for Gibraltar and is in breach of European law, but fantastic news for operators who choose to avoid proper regulation. “We know of no precedent where any regulator in any industry will be granted the role of
licensing and regulating operators all over the world in this way, threatening to criminalise companies and people who fail to submit to its regime. This is plainly unworkable. The likely impact of this legislation will be to drive UK consumers towards unregulated or poorly regulated operators, leaving them exposed to unnecessary risks. “This Act allows operators from 165 new jurisdictions to gain licences to operate and advertise in the UK and the Gambling Commission is supposed to regulate this industry with no extra-territorial information gathering or enforcement powers. Clearly that spells a new danger for British consumers.” Olswang partner Dan Tench added: “The government announced that this law was introduced with the express intention of addressing concerns it said it had about the protection
of consumers. The measures introduced through this Act are neither reasonable nor proportionate to achieving that goal and are likely to have adverse consequences for consumers. All this Act achieves is a wholly unjustified, disproportionate and discriminatory interference with the right to free movement of services, a right enshrined in European Law. For these reasons the government must reconsider this law or we shall have no option but to ask the courts to review it for them.” With the new licensing regime now due for implementation on 1 October, time is running short for the GBGA, but it is hopeful that by making its concerns heard along with the threat of Judicial Review might at least delay the implementation of the law. PASSPORTING Essential Guide 21