Reports
DENMARK
violation of the Danish Marketing Act and Danish Trademark Act.
Nothing really changed until 2008 when Denmark shocked the gambling nation and announced that it would open its doors to outside gaming vendors and put a free- trade online gaming practice in place within the next two years.
It all reality the monopoly was under increasing attack from the European commission and the 200,000 plus Danish players who were gambling on unlicensed sites which were advertising illegally via the Danish media.
In addition Danish politicians and TV broadcaster TV2 all wanted a piece of the Danish gaming market pie. State owned broadcasting company TV2 had already launched its own website offering games of skill such as poker, Ludo, chess and sudoku. Players can set up accounts and deposit money and use it to play.
And so Danish Tax Minister Kristian Jensen proposed a bid for opening the gaming market with the aim of regulating and taxing the gaming activities. The proposal was met with enthusiasm.
Despite the government’s defence of the monopoly the Danish were still continuing to gamble on illegal sites and the concern over lack of control had been growing.
Finally in April 2009 the Danish government (Liberal and Conservative party), the Social Democrats, Danish People’s Party, Socialist People’s Party, Liberal Party and Liberal Alliance put forth a draft legislation to partially liberalise and modernise the Danish gaming market.
The idea was the give players a choice between several game companies with the aim that the competition between the new providers would create better products for the players.
It wanted Danish games to be channelled into a regulated and controlled environment and put more focus on player protection.
The new legislation proposes that internet casino games can now be offered in a free market competition to commercial gaming operators with a Danish licence. In doing so, the government is aiming to put a stop to illegal marketing and game supply from foreign providers without a licence.
In April 2009 the
Danish government (Liberal and
Conservative party), the Social
Democrats,Danish People’sParty, Socialist People’s
Party, Liberal Party and Liberal Alliance put forth a draft legislation to
partially liberalise andmodernise the Danish gaming market.
The government felt that the number of people playing foreign online gaming sites was growing and because it was not regulated could have an adverse effect on its society.
The gambling reform should provide a profit for the Danish state and ‘non profit’ organisations equal to the level it currently provides. Online gaming will be taxed at 20 per cent
It seems both private operators and Danske Spil are pleased with the new changes permitting Danske Spil to now operate poker and online gaming. In addition the company was hoping its 30 per cent of its intake payable to the state would be reduced if deregulation went ahead. Meanwhile the charities have seen declining revenues over the last couple of years and welcome a long term solution to reform the market.
It has been suggested in the proposals that gaming operators will pay a total application and authorisation fee of between DKK650,000 to DKK1m for authorised betting and online gaming whilst licensees will then pay an annual fee of around DKK2m.
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