It’s interesting to see how different countries across the globe have dealt with the online bingo (and gambling generally) revolution of recent years. The countries that restrict gambling usually make it illegal to accept gambling transactions on the Internet and to operate a gambling site. However the organizations that run gambling sites work around this and continue to offer gambling to these users located in these countries, by going outside of the jurisdiction, where they can continue to operate without being touched by the governments that are holding the restrictions.
What surprised me a lot was that a fellow EU country, Germany, banned online gambling. Under a law that came into effect on January 1 2008, all forms of online gambling are illegal in Germany. The sweeping ban prohibits all traditional online casino games as well as sports betting, online bingo and online lotteries. Under this legislation the government may order German Internet service providers to block customers' access to gambling sites, and to prevent German banks from doing business with gambling companies. Draconian indeed!
The laws are allegedly to protect German citizens from the perils of online gambling, but cynics and critics would say that the laws they safeguard the state-controlled German gambling industry.
Hang on a second, I hear you say… how can Germany be so out of step with its European neighbours- surely there’s EU legislation on this? Yes there is! Germany’s anti-online gambling law is in direct contravention of existing European Union legislation which specifically allows online gambling! So there have been legal challenges? Yes. And from within the country: A German court ruled that under the current legislation Totto-Lotto, the state-run lottery of Saxony, can no longer operate or advertise over the Internet – clearly an unforeseen consequence when Saxony voted in favour of the law in 2007.
In fact the law is difficult to enforce and it is expected that very soon the German online gambling laws will be liberalised. While many gamblers in Germany like Poker, Bingo hasn’t really caught on there like it has in other countries. But there’s still controversy about it being out of step with other countries.
This summer the European Commission announced that following a three month consultation, the legislation that Germany wished to adopt in 2012 must take into consideration factors such as the European Court of Justice’s judgement in September 2010.
The Court ruled that Germany’s public monopoly on lotteries and sporting betting did not set out the objective of combating problem gambling in a consistent and systematic manner. The European Commission have given Germany a short period to respond. Gambling operators are hoping that the EC pressure will see a review of the planned laws and give them greater freedom to operate within Germany. But things are happening already: Last week, one state in Germany changed its laws. Owners of online gambling sites are hailing a decision by the state of Schleswig-Holstein to liberalise gambling regulations, saying the decision could help revolutionise the gaming market.
The decision specifically allows people in the state to use gambling websites, and also opens up the market to operators who will be able to apply for online betting licenses as of next March.
The full implications of the decision are only now beginning to become clear – observers believe the domino effect will kick in trend in and other German states not wanting to be left behind will begin to deregulate online gambling.
So it looks as though before too long Bingo fans in Germany will be able to play online, legally!