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25 May 2001 INTERACTIVE GAMBLING Tom Dale General Manager, Regulatory NATIONAL OFFICE FOR THE INFORMATION ECONOMY KEY ISSUES Policy : What is the Government trying to achieve? Law : How is it trying to achieve it? Technology : Interaction with policy and law. POLICY OBJECTIVES

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interactive gambling

25 May 2001

INTERACTIVE GAMBLING

Tom Dale

General Manager, Regulatory

NATIONAL OFFICE FOR THE INFORMATION ECONOMY

key issues
KEY ISSUES
  • Policy : What is the Government trying to achieve?
  • Law : How is it trying to achieve it?
  • Technology : Interaction with policy and law.
policy objectives
POLICY OBJECTIVES
  • Address a potential area of problem gambling before it starts by curtailing opportunities for it to grow.
  • Moratorium on new Australian services from 18.5.2000 to 18.5.2001.
  • NOIE report on feasibility & consequences of a ban on interactive gambling.
internet gambling
INTERNET GAMBLING
  • 1,400 sites (100% increase in past 12 months).
  • Revenue estimates:

2001 $US2.5 b

2002 $US3.5 b

2003 $US5.0 b

state of play
STATE OF PLAY
  • Moratorium expired 18 May 2001.
  • Interactive Gambling Bill 2001

- Senate Committee scheduled to report by 23 May

- debate sooner rather than later.

  • Offline gambling issues being separately addressed by Commonwealth / States.
interactive gambling bill 2001
INTERACTIVE GAMBLING BILL 2001
  • Prohibits Australian-based interactive gambling services from being provided to customers in Australia.
  • Establishes complaints regime for Internet gambling services : focus is services hosted outside Australia.
main offence created
MAIN OFFENCE CREATED

Cl. 15 A person is guilty of an offence if

(a) the person intentionally provides an Australian-based interactive gambling service; and

(b) the service has an Australian customer link.

what sort of gambling services
WHAT SORT OF GAMBLING SERVICES?
  • Placing, making, receiving or accepting bets
  • Introducing gamblers to providers
  • Lotteries & lottery tickets
  • A game of chance or of mixed chance and skill played for something of value and for consideration
not affected
NOT AFFECTED
  • Contracts that, under Corporations Law, are exempt from a law relating to gaming or wagering.

- options and futures contracts

- online share trading.

  • “Linked jackpot” gaming machines.
  • TV game shows!
australian based interactive g s s
AUSTRALIAN-BASED INTERACTIVE G.S.’s
  • Provided in the course of carrying on a business; and
  • Provided to customers using

- Internet or other listed carriage service

- broadcasting or datacasting service

- any other content service; and

  • Has an Australian-provider link.
australian provider link
AUSTRALIAN-PROVIDER LINK
  • Carrying on a business in Australia; or
  • Central management & control is in Australia; or
  • Provided through an agent in Australia; or
  • Relevant Internet content is hosted in Australia.
australian customer link
AUSTRALIAN CUSTOMER-LINK
  • If, and only if, any or all of the customers of the service are physically present in Australia.
other legal issues
OTHER LEGAL ISSUES
  • Constitutional heads of power.
  • Claims for compensation

- Constitutional issues : is any property being “acquired”?

- broader dimension : a “moral claim”?

technology aspects
TECHNOLOGY ASPECTS
  • Blocking / filtering technologies

- none 100% effective

- all affect Internet performance

- mandatory vs voluntary.

  • Overseas sites

- the online content regime as a model.