Gaming Licenses Could Be Revoked in Germany


06/24/2012
By Debra SaundersGoogle

Shortly after seven online casino game operators received a license to run their top rated online casinos in the German state of Schleswig-Holstein, plans emerging from a new government could mean the dissolution of the regulated gaming market.

Three of Germany’s political parties, the Social Democrats, Green Party and South Schleswig Voter Federation, formed a coalition after a close election victory over Chancellor Angela Merkel’s Christian Democrats on May 6th. The three parties have made their intentions known of rejoining the gambling treaty of Germany’ other states and find a way to revoke the gaming licenses that were issued without being liable for compensating the seven existing license holders.

On May 3rd, the top online casino companies, Betfair, myBet, and Die NordwestLotto were first to receive a gaming license in Schleswig-Holstein Two weeks later, licenses were issued to bwin.party, bet365, bet-at-home.com and Tipico as well.

The licenses were granted by Klaus Schlie, Interior Minister for Schleswig-Holstein, under an EU-backed law that gave permission for the online casino games operators to offer sports-betting services until license renewal proceedings in May 2018. The plan determined that licenses for poker and other online casino games would be awarded in the coming weeks. More than forty online casino games companies await word on their application. The new political developments can possibly halt any further licensure.  

The country’s new ruling coalition will need the support of the state general assembly in order to repeal the gambling law.

If the coalition moves forward, it is likely that the licensed seven operators will take legal action against the state if their licenses are dissolved. The new government could be held liable for potential lost revenues if their reforms prevent license holders from operating in the state.


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