Proposed Online Gambling Rules for Delaware Released

Published Thursday, July 04, 2013 -
Proposed Online Gambling Rules for Delaware Released

It has taken a long time in Delaware to propose a regulatory platform for the legal offering of internet gambling in the state. The proposed regulations were released recently by Delaware’s officials.

The regulator for the State has chosen 888 Holdings, Scientific Games and Williams Interactive as its online gambling partners but they must still qualify under the terms and conditions set out by the First State for the provision of interactive gaming to its residents.

These regulations are just a proposal and public comments and consultations, which will be listened too until July 31st, and will be considered before the regulations take effect.

The first part of the regulations prohibits anyone that has been convicted of a felony or gaming related crime from participating in the regulated online gambling industry in Delaware. The regulations also exclude any person or company that has failed to follow any applicable tax laws of the federal, state or local governments. Additional examination of firms that failed to pay federal tax or state taxes make the Delaware law exclude offshore operators that did not file tax returns with Delaware or other jurisdictions in America.

Part of the new interactive gaming rules says there is an exception for companies licensed in other states. A company that has already received an interactive gaming license in a jurisdiction with the same stringent requirements as Delaware may be able to receive a waiver for some of the background requirements that other potential licensees may be forced to provide which for some firms this would streamline the process.

Unlike some jurisdictions the proposed Delaware regulations do not require licensees to be located in the State. Primary employees and servers must be located in the United States but non-essential employees and servers that contain personal information may be located in other countries. Primary gaming servers, which compute wager results, must be located in the United States, but these servers are not required to be in Delaware.

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