Betfair Not Out Of The Woods Yet

Published: Thursday, November 10, 2005 Online-Casinos.com

BETFAIR NOT OUT OF THE WOODS YET

The license has been promised, but now the politicking gets into gear

The Australian press has been having a field day with the objections of various politicians and horse racing officials to last week's announcement that the Tasmanian authorities would award an operating license to the Betfair-PBL betting exchange joint venture.

Centre-stage has been Betfair Australia's offer of hospitality to Tasmanian politicians which seems to have turned into a rather dangerous boomerang, with several upper house MPs saying it may damage the consortium's standing ahead of a crucial vote.

Premier Paul Lennon was in the firing line, too after confirming that he enjoyed 'a couple of glasses of wine' in the PBL's Crown casino marquee at the Melbourne Cup last week. He apparently stayed at the casino, too although he claims that was for his account.

Two days after the race, Lennon announced his government would introduce legislation clearing the way for a gaming licence to be issued to Betfair Australia to operate an online betting exchange.

Press reports also allege that the consortium offered some upper house independent MPs - whose votes will decide the fate of the legislation - hospitality at PBL's ACP marquee on Derby and Cup days, an offer that was not taken up and was felt by some to negatively influence political perceptions of Betfair.

Betfair needs the votes of at least three of the 10 independent MLCs.

Most press reports quote Betfair Australia spokesman Andrew Twaits saying there was nothing improper in the hospitality offers: "We were keen to talk to interested groups. It was a terrific opportunity to do that in a relaxed, or less formal, environment" he said.