1 / 18

THE NATIONAL GAMBLING AMENDMENT BILL, 2007

Presentation to Select Committee on Economic and Foreign Affairs 21 February 2007. THE NATIONAL GAMBLING AMENDMENT BILL, 2007. Objectives. Considerable number of South Africans participate in IG with international online gambling sites Recommended policy option support regulating IG:

ezra
Download Presentation

THE NATIONAL GAMBLING AMENDMENT BILL, 2007

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Presentation to Select Committee on Economic and Foreign Affairs 21 February 2007 THE NATIONAL GAMBLING AMENDMENT BILL, 2007

  2. Objectives • Considerable number of South Africans participate in IG with international online gambling sites • Recommended policy option support regulating IG: • Cost of prohibiting high (e.g policing) • Protection of players • Loss of revenue to the fiscus

  3. Introduction • The National Gambling Act, 2004 (“the NGA”) requires the Minister to introduce into Parliament, within two years of the effective date, i.e. 1 November 2004, legislation for the regulation of interactive gambling (IG). • A research committee was established by the National Gambling Board (NGB) to investigate the implications of the regulation of IG within the Republic. • The research report was finalised in October 2005, and tabled before the National Gambling Policy Council (NGPC).

  4. Introduction cont. • The NGPC resolved that the Dti prepare a draft policy framework and legislation to regulate IG. • Draft Bill was approved by Cabinet in December 2006 • Bill published for comment on 18 December 2006, closing date for comments was 12 February 2007

  5. Background • The key impact areas identified by the report included: • Competitiveness with global gambling jurisdictions; • Flow of funds; • Employment; • Protection of vulnerable persons; • Addiction to gambling; • Exposure to money laundering and organised crime; • Competition within local gambling industry; • Cost of regulation and monitoring

  6. Approach • To introduce IG by way of an amendment to the NGA as opposed to a separate piece of legislation. • Policy on IG recommended that IG should form part of the broad policy for the regulation of all forms of gambling and be subjected to the general administrative and oversight role of the Board, rather than creating a separate regulatory authority for IG. • Existing regulatory regime i.t.o the NGA largely applies to all forms of gambling including IG.

  7. Scheme of the Bill • Definitions • Provision of IG games • Player protection • Advertising • Licensing • Compliance and enforcement • Problem gambling • Money Laundering • Empowerment

  8. Definitions • Insertion of a number of new definitions relating to IG including: - IG equipment and software; - registered player; - nominated account; - player account; - ensure consistency with definitions in the Electronic Communications and Transactions Act (ECTA).

  9. Provision of IG games • Establishes a lawful basis for provision, regulation and control of IGwithin the Republic • Provides for authorised forms of electronic communication for purposes of IG • Provides for authorised IG games, systems and methods

  10. Player protection • Registration of players • Establishment of player account for payment of monies • Payment of wagers and prizes to players • Remittance to foreign players and external companies • Dispute resolution

  11. Advertising • Existing provisions i.r.o advertising in NGA apply to IG, e.g. advertisement to carry notice of dangers of addictive and compulsive gambling • Only licensed IG providers are permitted to advertise IG • The Minister to prescribe the content which may be reflected on the IG website

  12. Licensing • IG licences to be issued as national licences due to the borderless nature of IG • IG licences include: - operator licences; and - personnel licences (key employees and management staff); • Licences for gambling devices • IG software • IG equipment

  13. Compliance and enforcement • NGB is responsible to: - ensure compliance with the NGA and conditions of licence; - supervise and enforce compliance by licensees with FICA etc. - conduct inspections i.r.o IG websites and premises where IG equipment and software is located • NGB may revoke or suspend licences i.r.o IG for non-compliance • NGB may delegate it’s enforcement and compliance powers to the Provincial Licensing Authorities (PLAs).

  14. Problem Gambling • Electronic system for the monitoring and reporting of registered players • Self-diagnosis system • Notice on website of IG provider i.r.o: - voluntary player exclusion - treatment of addictive gambling (National Responsible Gambling Programme)

  15. Money laundering • Registration of players and verification of player identity • Establishment of player account and verification of nominated accounts • Obligation on IG provider to report suspicious and illegal activities • Provision for control systems to be prescribed

  16. Empowerment • Conditions for awarding of IG licenses subject to commitment to: - socio economic upliftment - BBBEE requirements

  17. Conclusion • Regulation of IG will: - provide certainty and thereby enhance; international competitiveness; - provide revenue to the fiscus; - ensure accountability by IG industry; - eliminate illegal IG operations; - protection of players; and - provide for effective and transparent licensing.

  18. THANK YOU

More Related