The Albanese Government has launched a comprehensive review into the regulation of online keno and foreign-matched lotteries as part of its ongoing efforts to minimize the harms associated with online gambling.

This review aims to deepen the Government’s understanding of the impacts these types of lotteries have on the community and to evaluate whether regulatory changes are necessary. An Issues Paper has been released to inform the review process.

Understanding Online Keno and Foreign-Matched Lotteries

Keno is a traditional game of chance where players select numbers to win prizes. Historically played in clubs and pubs, keno is now also available online in some Australian States and Territories. Foreign-matched lotteries allow Australians to participate in lottery draws conducted overseas.

The review follows a recommendation by the Senate Standing Committees on Environment and Communications, which suggested a 12-month review into the regulation of keno-type lotteries under the Interactive Gambling Act 2001 (IGA).

Scope and Consultation of the Review

The Government will conduct targeted consultations as part of this review, seeking input from various stakeholders, including harm minimization advocates, community and charity organizations, academics, State and Territory governments, newsagents, and the wagering industry.

The Issues Paper addresses several key areas:

• The nature and size of the online keno and foreign-matched lotteries market in Australia.
• The impact of existing, new, and emerging keno-type and foreign-matched lotteries.
• Adverse experiences of customers, including loss of deposits or non-payment of winnings.
• The relevance of the definition of an ‘excluded lottery service’ under the IGA.
• Policy options such as credit and digital payment bans or other restrictions to reduce gambling harms.

Ongoing Efforts to Combat Gambling Harm

This review is part of the Government’s broader agenda to tackle online gambling harms in Australia. The Government is also working through its response to the House of Representatives Inquiry into online gambling and its impacts on those experiencing gambling harm.

Recent Measures to Reduce Gambling Harm

Several measures have already been implemented to mitigate gambling harms:

• Launching BetStop, the National Self-Exclusion Register, with over 22,000 Australians self-excluded from online wagering and promotions as of April 2024.
• Mandating customer ID pre-verification for all new online wagering accounts to prevent children from gambling and to protect those registered with BetStop.
• Banning the use of credit cards for online wagering, effective from June 2024.
• Introducing mandatory minimum classifications for gambling-like content in computer games, starting in September 2024.
• Replacing the ‘Gamble Responsibly’ message in wagering advertising with new, evidence-based taglines.
• Implementing nationally consistent staff training for online wagering companies.
• Requiring online wagering companies to send monthly activity statements to their customers, detailing wins and losses.

Government Commitment to Reducing Gambling Harm

Minister for Communications, the Hon Michelle Rowland MP, stated: “The Albanese Government has a comprehensive agenda to minimize online wagering harms. The growth and availability of online keno and foreign-matched lotteries is particularly concerning. It is important to understand the impact these two products are having on the community, including vulnerable Australians and small businesses. Feedback will ensure any changes the Government may make are well-balanced and fit-for-purpose.”

Minister for Social Services, the Hon Amanda Rishworth MP, added: “Our Government takes gambling harm seriously and we are committed to protecting consumers, including their families and the community, from gambling-related harm. This includes continuous review and work to address all drivers of gambling harm such as the regulation of online keno and foreign-matched lotteries. Our Government has already taken major steps to minimize and combat the increasing prevalence of people experiencing gambling harm in Australia and will continue to do so.”

Source:

Review into the impact of online keno and foreign-matched lotteries, minister.infrastructure.gov.au, July 15, 2024.

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A strike by 3,700 casino workers in Detroit has led to the closure of poker rooms at two high-profile casino properties, MotorCity Casino and MGM Grand Detroit. The strike comprises employees from five different unions and has inadvertently bolstered Canadian gambling tourism, as the nearest fully operational venue is just a short border crossing away.

Protests Are Causing Significant Disruptions

Poker rooms at MotorCity Casino and MGM Grand Detroit have been temporarily closed following the strike. An update on MotorCity Casino’s website informed visitors of the poker room’s closure. Similarly, a sign at MGM Grand Detroit notified guests that the poker room was temporarily unavailable. However, Hollywood Casino in Greektown confirmed that the strike had not affected their offerings.

The protests, affecting crucial positions like dealers, food and beverage staff, and engineers, stem from demands for improved healthcare, higher wages, and a return to pre-pandemic staffing levels. Negotiations between the Detroit Casino Council and the casino operators have been ongoing since September, but the two parties have unfortunately made little progress.

Detroit casino workers need a job that respects our health and our future. We now have to stand up and reset the relationship between us and the companies.

Detroit Casino Council strike flier 

The strike launched when the three-year extension to the original five-year contract, agreed upon during the early days of the COVID-19 pandemic, expired on Tuesday. Workers argue that revenue has now returned to pre-pandemic levels, especially with the inclusion of iGaming throughout Michigan. Poker enthusiasts and staff will face an uncertain period until the affected parties reach an agreement.

Caesars Windsor Attracts Americans with Comprehensive Casino Offering

While the three casinos affected by the strike will remain open, the protests have caused noticeable disruptions. Gordon Orr, CEO of Tourism Windsor-Essex Pelee Island (TWEPI), has offered Detroit bettors an alternative, inviting them to take a short trip across the border to Caesars Windsor, a world-class gaming option free of labor disputes.

Orr emphasized that the Canadian offering provided a quality gaming experience without crossing picket lines, making it a suitable alternative for US casino-goers who wish to avoid the Detroit labor strike. Caesars Windsor manager of PR and communications Susanne Tompkins was also excited to welcome foreign visitors, highlighting the venue’s world-class amenities.

Caesars Windsor is our number one tourist attraction. We’ve got it all… world-class gaming, a 5,000-seat Coliseum with A-List entertainment, gaming, and, of course, restaurants.

Susanne Tompkins, Caesars Windsor manager of PR and communications

While the strike’s future remains uncertain, the impact on Detroit’s poker rooms is a stark reminder of the ongoing challenges faced by the casino industry amid calls for better worker conditions and the return to pre-pandemic norms. Unlike Nevada residents, Michiganders have a viable alternative nearby, exacerbating the pressure for casinos to reach an agreement with protesters.

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An increase in the number of lawsuits levied abroad against Malta-based operators has prompted the government to consider introducing additional legal protections. The proposed amendment aims to shield businesses from potential liability arising from legal actions initiated in foreign jurisdictions. However, European lawyers heavily criticized the new measures, arguing Malta was trying to circumvent local courts.

Gaming Companies Will Have Another Layer of Protection

The proposed amendment is a response to growing concerns within the industry about the potential risks associated with cross-border legal actions against operators. By establishing clear guidelines and limitations, Malta aims to provide operators with greater regulatory certainty, enabling them to focus on growing their businesses and delivering safe and responsible gambling services.

Introducing such legislation would primarily benefit operators offering their services in Europe’s gray market, skirting local restrictions to provide an alternative to regulated companies. These operators often have significantly fewer restrictions and frequently draw the ire of local regulators. If the new bill passes, such businesses will operate with relative impunity.

The Court shall refuse recognition and, or enforcement in Malta of any foreign judgment and, or decision.

Malta Bill 55 Gaming Amendment

The bill also addresses the issue of “forum shopping,” wherein plaintiffs deliberately choose jurisdictions that may be more favorable to their claims, irrespective of the operator’s primary licensing jurisdiction. By setting explicit criteria for foreign jurisdiction enforcement, Malta intends to discourage such practices and promote a fair and balanced legal landscape for operators.

The Bill Can Obstruct EU Judiciaries

Malta’s decision to proceed with the legislation had an immediate impact abroad. Austrian and German lawyers have approached the European Commission, arguing Malta was attempting to obstruct European courts. If successful, the amendment will immediately interfere with enforcing past and present offenses, potentially nullifying several verdicts against Maltese operators.

Karim Weber and Benedikt Quarch represent clients engaged in legal battles against Maltese operators violating local regulations. If successful, the operators must reimburse the plaintiffs’ deposits and possibly suffer additional sanctions. According to the lawyers, the amendment would deprive EU citizens of their fundamental right to legal protection.

The government of Malta has no right to intervene in the independent arm of the judiciary…, especially when (it) has a vested biased interest totally in favor of gaming companies.

Lawyers Karim Weber and Benedikt Quarch

In 2021 Malta was put on FATF’s greylist for systemic regulatory and enforcement failings. Even though the country eventually appeased the financial watchdog through substantial reforms, corruption, and money laundering remain endemic issues that still plague the nation’s reputation. With tensions quickly rising, the European Commission should soon settle the matter and prevent potential escalation.

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Steve Wynn, the former CEO of Wynn Resorts, may have to defend himself in court once again.

An earlier case against the real estate developer accused him of lobbying the Trump administration on behalf of China and asked him to register under the Foreign Agent Registration Act. According to the allegations, Wynn had asked ex-POTUS Donald Trump to deport Guo Wengui, a known dissident, back to his home country.

The eventual federal court ruling stated that the casino magnate does not have to register as a foreign agent. Even if Wynn used to have ties with the Chinese government, they must have ended in 2017, US District Judge James E. Boasberg said.

However, the case is being revived once again as the US Government seeks to appeal this decision. The government claimed that Boasberg’s decision sets a dangerous precedent as fewer people would be inclined to register under FARA if they have stopped their work for another country.

In addition, Steve Wynn was still a finance chairman of the Republican National Committee at the time of the Guo situation.

Wynn Asked Trump to Deport Guo

Guo Wengui is a Chinese billionaire who fled the country in 2014 after coming under fire for alleged participation in corruption. He blasted the allegations for being untruthful and claimed that they are the result of corruption within the government.

Guo was sentenced to death in China. According to the Chinese government, he is guilty of corruption, stock market manipulations and abandonment of his post amid the pandemic.

During his exile in the US, Guo became the target of Sun Lijun, former vice minister of China’s Ministry of Public Security. According to the previous lawsuit, the lobbyist Elliot Broidy introduced Wynn to Sun. As a result, Wynn decided to help the Chinese diplomat get Guo back to China, the allegations say.

Some speculate that Wynn might have sought to maintain а favorable relationship with the Chinese government, hoping that this would benefit his business in Macau. The lawsuit claimed that Wynn contacted Trump personally, dined with him and even contacted him on the phone multiple times, discussing the Guo matter.

This is not the only case against Wynn and his company to be brought up in recent times. Last year, he was accused of intimidating Angelica Limcaco, who testified against him and his company and claimed that he raped one of her salon employees in 2005.

The latter case, however, was dismissed as unviable and outdated.

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