Online operators leave Australia
Vera&John the online gaming provider have stated that they will wind up their operations in Australia after the state adopted a new legislation for online gambling that states that foreign casinos cannot provide services to resident gamers. The Australian government implemented the interactive Gambling Amendment law in November with an aim of shutting down unauthorized foreign operators. The gaming company stated that all accounts will be shut within a week while remaining funds in the Australian account will be passed on to their owners.
The new legislation is meant to strip online gaming operators an opportunity to do business in Australia unless they bear a local license. There is a steep penalty for those who violate the rules, US$1 million. Another online gaming company is PokerStars, it announced that they’re considering the idea of exiting the Australian market in the near future.
PokerStars is one of the prominent web-based poker operators in the world. PokerStars earlier on had indicated that it may cease to provide services if the Australian government implement its new anti-gambling legislation. The PokerStars’ parent company Amaya, had confirmed that Australian online poker players may be blocked from utilizing its services given that the proposed laws to online gambling law pass.
The Australian market has been considered as an unpredictable market for online casino operators such as gambling over the internet because it was neither illegal nor legal. However, this is not the case now after the passing of contentious laws.
In November the new amendment to the Interactive Gambling Act of 2011 was presented in the Australian parliament. The new legislation would ultimately start a restriction on the locally unlicensed gambling benefactors, among them PokerStars.
According to the Australian officials who gave an opinion on the subject said that government aimed at adopting the severe measure in order to deter unlicensed foreign gaming companies from providing their services to Australian gamers. Based on the official’s comment that was the reason for the adoption of the amendment.
PokerStars was inclined toward exiting it services from the Australian however before the legislation was passed, Amaya was examining the relevance of amendment before it was passed to players games of skill. Even then the company had made its initial steps toward shutting its operation in the Australian market, this is after it terminated its support of Aussie Millions Poker Championship held annually in the Melbourne’s Crown Casino.
If PokerStars decides to operate while it is unlicensed in Australia, the poker provider will be jeopardizing it licenses in other jurisdictions such as New Jersey. On other hand obtaining licensing in Australia for most of the online gambling services is next to impossible the Interactive gaming Act only permit restricted forms of sports betting and lotteries. The Act prohibits alternative gambling solution such as poker and online casino games.
