tough rules for on-line gambling
22 October 2007

The department has briefed the economic and foreign affairs select committee of the National Council of Provinces (NCOP) on the Bill that has already passed the National Assembly, or lower house. Once the NCOP approves the Bill, it will go to president Thabo Mbeki for his signature.

The focus of the Bill is “regulating interactive gambling”, defined as all forms of remote gambling taking place via the Internet, or other related forms of telecommunication.

Muthwa says the Bill will aim to protect society against the over-stimulation of demand for gambling, protect minors and other vulnerable persons; provide for the registration of players and the licensing of vendors; ensure compliance with Financial Intelligence Centre Act (FICA); and prevent gambling to be associated with crime, money laundering, or financing of terrorist and related activities.

The Bill requires that all interactive gamblers register with a licensed vendor and establish a player account. “The Bill will make any gambling activity provided by an unlicensed provider unlawful and will prohibit South African players from engaging in interactive gambling activities with unlicensed providers,” Muthwa says.  The Bill also contains provisions to ensure registered players are treated fairly by vendors, “hence there will be strict probity of interactive providers”.

The Bill makes advertising and promotion of interactive gambling unlawful. “It will also be unlawful for offshore operators to advertise interactive gambling in the republic. Any person who provides advertising facilities to such off-shore operators will be committing an offence,” Muthwa said.

However, the department said interactive gambling did not affect poor communities, as they did not have access to Internet facilities.

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