Hungarian Gambling Rules Not CJEU Compliant

Published Saturday, June 24, 2017 -
Hungarian Gambling Rules Not CJEU Compliant

The rules regarding regulated online gambling within the European Union are being ignored by a number of member states. Article 56 of the Treaty on the Functioning of the European Union is constantly being contravened by E.U. members that refuse to create a fair licensing framework for online gambling.

Hungary is latest to be sited for a violation of the Treaty by preventing other member states from participation in the Hungarian online betting industry. Online sports betting has been restricted to the state run monopoly, Szerencsejáték Zrt. while the terrestrial casinos and betting outlets can apply for an online wagering license.
After updated its licensing framework in 2014 Hungary it became embattled in a law suit brought to the court by the Kindred Group through its Unibet brand. The CJEU found the Hungarian licensing regime not compliant with the regulations set out by the organization.

Maarten Haijer, Secretary General of the European Betting and Gaming Association, commented on the issue, “The Court reiterated that member states must guarantee that national regulation on online gambling services meets objective, transparent, non-discriminatory and proportionate criteria.
“Only a properly regulated and transparent online gambling market can ensure that the consumer is channelled to the regulated offer.
“The Court’s ruling is a clear message to other gaming authorities, including the Dutch Gaming Authority, that they must not enforce regulation that does not comply with basic EU law.
“We expect these member states to reconsider and lift these enforcement measures as they are acting in violation of EU law. Their actions do not serve the interest of consumers, they fail to channel the consumers to reliable providers, instead they merely prop up failed regulation.“

The situation is not unique to Hungary which is only one of many E.U. member states that are preserving old monopolies to ensure the revenues generated by gambling doesn’t stray too far from home.


Related news

Return to Latest News