English abstract
This survey analyses the arguments for regulating online
gambling and the advantages and disadvantages of the available
methods. Online gambling refers to gambling in different forms,
such as poker, played over telecommunication channels, such as the
Internet. The focus of the survey is on the possibilities to
regulate online gambling (operators and players) crossing national
borders.
Several reasons present themselves for the regulation of online
gambling operations and online gambling. Firstly, the risk of
problem gambling and gambling addiction must be contained.
Secondly, there are problems caused by underage gambling. Thirdly,
online gambling can be used for money laundering, and there is also
a risk of other criminal activity. Furthermore, several studies in
the fields of psychology and behavioural economics demonstrate the
necessity of regulation.
In Finland, the current legal situation provides a statutory
frame of reference for developing national rules aiming to control
online gambling that crosses national borders. Such rules can be
derived from e.g. the Lotteries Act and the Consumer Protection
Act. On the other hand, the current legislation is virtually
ineffective in regulating online gambling due, for example, to the
principle of non-intervention which, for gambling, means that
gambling debts are not collectable in a court of law, and lost
money cannot be recovered from the winner through legal
actions.
Regulation methods which have been considered internationally,
or which are currently implemented in some form, were selected for
detailed analysis. The following alternatives were analysed:
• Should the rules only apply to problem gambling and underage
gambling (limited control)?
• Should the national gambling community be permitted to offer
online gambling?
• Prohibiting private online gambling; is this a viable
option?
• Could taxation be used as a regulating factor?
• What would be the benefits and disadvantages of blocking the
communication channels used for online gambling?
• What would be the benefits and disadvantages of impeding
payment transactions relating to online gambling?
• Could the grounds of invalidity be enhanced by regulating the
return policy for stakes?
The last three alternatives were analysed in detail, and have
been included in draft legislation. In the draft version, blocking
communication channels and impeding payment transactions have been
combined for simultaneous implementation.
There are similar problems in developing national rules, since
the sources of the problem are global whereas the effects are
reflected on national level. Two very basic issues should be given
further consideration. First, would it be possible to draft the
legislation so that its evasion would not void the objectives? And
secondly, will such legislation conform with EU legislation?