Ladbrokes Poker In Swedish Challenge

Published: Friday, April 07, 2006 Online-Casinos.com

LADBROKES POKER IN SWEDISH CHALLENGE

Svenska Spel monopoly the impetus for new application

The Swedish government's launch through Svenska Spel of the first government owned online poker site has been followed by an application from the UK betting group Ladbrokes for a licence to operate its online poker service in Sweden as it looks to challenge a government monopoly on betting.

Ladbrokes said its application follows the Swedish government's January decision, without reference to any competitive process, to issue an online poker licence to state-run betting monopoly Svenska Spel.

The company said it has given an undertaking to abide by all social commitments as required under Svenska Spel's licence.

Under EU law, countries may use social reasons to prevent competition, but otherwise have to uphold free and fair competition.

"We hope the Swedish government refer to European law when considering our application... If our application is rejected, we will consider legal action," Ladbrokes eGaming managing director John O'Reilly said.

The tide seemed to be turning in favour of trans-border betting services last (March) month. A similar application in Norway has seen that country's betting laws referred to the European Free Trade Area court in Luxembourg, and according to a judgement on March 30 German states must introduce new laws by the end of 2007 - a move welcomed by Ladbrokes as an opportunity to see regulated competition introduced into the German market.