Gambling.co.uk: Gambling News Archive

EU Gambling Firms Issue US with $100bn IOU

European gaming industry steps up compensation bid

Friday 28th September 2007

Leading figures from Europe’s online gambling industry have compelled the EU to pursue a $100 billion compensation bid from the US, after the losses incurred as a result of the Unlawful Internet Gambling Act (UIGEA) 2006.

Since its introduction in October last year the UIGEA, which makes it illegal for banking facilities to accept US money transfers to and from online gambling sites, has forced European gaming giants including PartyGaming and Sportingbet to exit the US market.

Clive Hawkswood, CEO of The Remote Gambling Association (RGA), whose members include prominent bookmakers Ladbrokes and William Hill, commenting on the renewed action, said:

‘The US has used an illegal trade barrier. This sets a precedent. If the EU does not act, it could encourage the US to do the same elsewhere.’

Last week’s offer of compensation from the US to the EU was rejected and a deadline of October 22nd has been given for the America to deliver a suitable reparation package.

‘The offer made by the US so far is insufficient. We are continuing to negotiate to secure improvements,’ said a spokesman for the EU Trade Commission Peter Mandelson.

 


Source: OnlineCasinoNews