Norway Goes the UIGEA Way
For quite some time the authorities in Norway had been contemplating passing an anti online gambling law along the lines of the UIGEA of the United States. Now the Norwegian government has passed a law banning the processing of online gambling transactions with unauthorized sites. In the context of the online gambling scenario in Norway unauthorized sites refer to any online gambling operator other than the state owned monopoly enterprise. This ban on processing of financial transactions with unauthorized online gambling sites has been incorporated in the Payment Act. After this act had been approved by the Legislature of Norway, it was given Royal assent last week.
Only the state monopoly Norske Spil has been licensed to provide online gambling services in Norway. Operators from other jurisdictions that are offering online gambling services to Norwegian players are doing so in an unauthorized manner. Processing or otherwise facilitating payments to and from these unauthorized operators will make the financial processors accessories in unlawful gambling and liable for prosecution under the Payment Act. However, Pontus Lindwall, the chief executive of the Swedish Betsson group, is not perturbed by this development. He says that online gamblers will find alternative routes for making deposits and withdrawals in Norway as they have done in the United States.
Norway is not a member of the European Union (EU) and therefore it can claim that the EU principle of free trade in goods and services across the countries is not binding on it. However Norway is a participant in the European Economic Area and a member of the European Free Trade Association and is therefore required to follow the legislation created by the EU.
