Aussie Google Investigated?
Published: Friday, August 19, 2005 Online-Casinos.com
AUSSIE GOOGLE INVESTIGATED?
Authorities reported to be investigating for breaches of interactive gaming laws
Australian media are reporting that search engines with Australian domains, including Google, are being investigated by the authorities for possible breaches of interactive gambling laws.
The Interactive Gambling Act 2001 in Australia prohibits advertising of gambling services on Web sites where "...it is likely that the majority of that site’s users are physically present in Australia". Banned services include online casino-style gaming services such as roulette, poker, craps, online poker machines and blackjack.
Breaching the Act carries a maximum penalty of AU$220,000 per day for individuals and AU$1.1 million per day for corporations.
Alexandra Mason, spokesperson for the Department of Communications, Information Technology and the Arts, told ZDNet Australia the alleged illegal practice by Google and other search engine operators were being looked into.
Google Australia displays advertising links to online gambling sites when certain keywords are misspelt. But the Internet giant isn't alone -- little-known Melbourne-based search engine company Web Wombat has admitted to such activities.
Justine Munsie, senior associate at leading Asia-Pacific law firm Mallesons Stephen Jaques, told ZDNet Australia that she found "a lot of potential breaches of the Act" on sites such as Google Australia and Web Wombat.
According to Munsie, any gambling advertisement which appears on an Australian Web site is considered published in Australia.
"If a Web site that is targeting Australian users publishes an advert for a Web site offering online gambling services, regardless of where that gambling site is located, because the advert is published in Australia, the law is broken," she said.
Michael Tancredi, Web Wombat managing director, confessed that his Web site contains links that are illegal. However, he claims the company is "fire fighting" all the time in order to keep the site above board.
"What we are trying to do is fire fight, we know it is illegal and we are trying to get rid of them as they come out," said Tancredi.
Tancredi said the problem stems from an automated feature on Web Wombat which online gambling sites have abused. "This feature was originally designed for companies outside Australia to sponsor links on our site and attract Australian eyeballs.
While looking into potential breaches, Munsie discovered that although Google Australia did not display any sponsored links to gambling Web sites when results for terms such as "online casino" were displayed, such companies had managed to sponsor links for misspellings.
Google spokesperson Debbie Frost said the company will not comment on the issue, and there have been no prosecutions to date.
Peter Coroneos, chief executive of the Internet Industry Association, told ZDNet Australia that he believes the law is generally being adhered to.
"This is the first time this has come to our attention. The law is largely being adhered to. I am not aware of any interactive casino sites in Australia that are offering services to Australians," said Coroneos.
Google's closest competitor in Australia, Yahoo.com.au, displays search results for gambling sites but not advertisements.
"Although our Directory site does include links to gambling-related sites, our legal department has said that they are "editorial links" and "fall under the exemptions" provided by the Act," said Tamsin Smith, Yahoo Australia and New Zealand spokesperson.
