KSA warns lottery operators over online games
Postcode Loterij and VriendenLoterij could face fines of up to €1m.
The Netherlands.- The Dutch gambling regulator Kansspelautoriteit (KSA) has warned two lottery operators in the Netherlands to stop offering online games not covered by their licences. It said that it will slap periodic fines on Postcode Loterij and VriendenLoterij if they continue to offer the online games.
The regulator said that Dutch lottery licences did not permit the operators to offer games such Postcode Loterij’s Deal or No Deal or VriendenLoterij’s Millionaires. It said the fines would be €250,000 per week up to a maximum of €1m.
The KSA said: “Legislation and regulations make a clear distinction between lotteries and more risky games of chance, including online games of chance. A different licence is required for each
“Lotteries may not be offered online; it is only permitted to sell participation tickets via the internet. The online offering of games that are linked to a lottery is prohibited. The law does not allow this. The KSA remains keen to ensure that lottery and online games of chance remain separate.”
Both operators intend to appeal against the order but said they would temporarily comply pending the outcome. In a joint statement, they said: “The KSA is of the opinion that these free lottery games do not fit within the lottery licence. However, the games are a form of entertainment and fit within the safe nature of a non-profit lottery with only one goal: to raise funds for good causes.
“For the past 30 years, participants have always been able to participate in additional games in this way, whether or not via the mail, the internet, in special apps or live. Nothing is won by playing one of the games itself. In the games, like a traditional lottery, participants only receive a prize after a draw has taken place. With this, the games meet the requirements of the lottery licence.”
Earlier in the month, the Dutch government published an evaluation report on the possible privatisation of Nederlandse Loterij (NLO). Finance Minister Marnix van Rij said the government is exploring options for the business.
The report is part of a plan to release evaluations of all state-owned assets every seven years, with reports on different assets being published in different years. This year is the turn of the two state-owned gambling enterprises, Nederlandse Loterij and Holland Casino.
KSA clarifies rules for the Netherlands’ ban on gambling ads
The KSA has clarified the rules that will come into force with the implementation of the Netherlands’ ban on gambling advertising from July 1. The KSA said it would be monitoring compliance with the rules.
The Dutch ban prohibits all gambling advertising on television, radio, newspaper, magazines and in public places such as on billboards or bus stops. The ban on advertising in public places also includes publicly accessible buildings, including gaming venues such as casinos and slots arcades.
Online advertising will still be permitted provided that it is “targeted”. This may be by direct mail on online gambling websites or via on-demand TV or social media. In these cases, gaming licensees have a “best efforts obligation” to take measures to prevent young people or vulnerable groups from seeing the adverts.
