3 ways to ban online
gambling
Block access payment methods
advertising
Report by
ELIZABETH LAW
Singapore may
consider banning remote gambling because current laws "do not
expressly address remote gambling as they were enacted before the
Internet era", said Second Minister for Home Affairs, and Trade and
Industry S. Iswaran.
He was speaking at the Third Singapore Symposium on Casino
Regulation and crime yesterday.
The Government is looking at three different
approaches when it comes to banning online gambling - blocking
access to websites, blocking payment methods and blocking
advertising of such sites.
"We have sought expert advice on this and if we are
serious about this, we want to implement all three (methods of
blocking) to the best of our ability," Mr Iswaran said.
But he admitted that this might result in illegal
operations springing up on the ground, which can be especially
dangerous since they would likely be based overseas and out of
Singapore's jurisdiction.
He pointed out that remote gambling operations can
be potential avenues for money laundering.
Law will be introduced to give enforcement agencies
the powers to act against such facilitators, intermediaries and
providers of such services.
He also said that officials will consider "very
carefully" if provisions could be made to allow a licensed operator
who offers a limited range of online gambling products, which is
also tightly regulated.
While there are no Singapore-based online gambling
websites, other methods of remote gambling are still available.
Singapore Pools runs the only legitimate phone betting service
here.
Remote gambling is any form of betting that is done
offsite, such as online gambling and phone betting.
WORTH BILLIONS
The global remote gambling industry is worth an estimated US$35
billion (S$44 billion). Analysts estimate the remote gambling
market here to be worth US$30 million and expect it to grow by 6 to
7 per cent yearly.
Mr Iswaran said that as games simulating gambling
are gaining popularity online, there will be increased public
education on these too.
Public consultation on this issue will start today
through the government feedback portal. Reach (Reaching Everyone
for Active Citizenry @ Home).
PAYMENT METHODS
Report by RENNIE WHANG
CREDIT CARD TRANSACTIONS
Governments have worked with credit card companies which can
disallow charges from being processed, said Dr Vijay Sethi,
Professor in Information Technology and Operations Management at
Nanyang Business School.
INTERMEDIARIES DEALING WITH DIGITAL CASH
SUCH AS PAYPAL
The only way to block such intermediaries is if they voluntarily
agree to stop processing such payments, said Dr Sethi, adding that
many US states and European countries have worked with PayPal in
such initiatives. For example, intermediaries can work with
Singapore Government in blocking payments of Singapore residents to
gambling sites.
A PayPal spokesman said: "Paypal is committed to complying with
all applicable laws and regulations in Singapore, and in every
jurisdiction that we do business in. In line with our internet
policies, Paypal blocks payments from Singapore-registered PayPal
accounts to online gambling sites. We will continue to work closely
with regulators in Singapore to ensure compliance."
NETS
A Nets Spokesman said that as a company operating in Singapore,
Nets is governed by and adheres to the laws of Singapore. "Nets
will not support remote gambling if it is illegal," she said.
PRE-PAID COUPONS
Users can buy coupons and use them for gambling payments - the
method Dr Sethi said is toughest to block. This is because the
coupons may not pertain specifically to the gambling industry, but
can also be accepted by other legitimate businesses, similar to
point card or reward cards.
- Additional Reporting by Elizabeth Law
ONLINE GAMBLING LAWS IN OTHER
COUNTRIES
France
Blocks access to unauthorised gaming websites, but has 20 remote
gambling operators offering products like poker, sports betting
(such as football) and horse racing.
Norway
Two state-owned operators provide remote gambling services, but
they channel surpluses to social causes like charities, sports and
culture.
Hong Kong
The Hong Kong Jockey Club is the online licensee that offers
both onsite and remote betting for horse racing, the lottery and
football. It is a not-for-profit organisation that uses surpluses
to support charitable and community projects, as well as social
welfare initiatives.
THE UK
According to figures from the UK Gambling Commission, there are
some 208 remote gambling operators in the country as of March 31.
These operators are licensed by the Gambling Commission and have to
adhere to strict standards. It is illegal for them to target
residents or advertise on any platform.
THE US
The government works with financial institutions such as banks
and credit card companies to block payment transactions with
unauthorised online gambling operators.
What online gambling companies
say
A spokesman for Singapore Pools, the only licensed remote
gambling operator here, said it has in place a comprehensive
responsible gaming framework covering all aspects of its phone
betting system, starting from registration.
"At the point of account setup, age and identity
checks (such as minimum age of 21 and bankruptcy) and means testing
are conducted," she said, adding that after the account is set up,
other measures such as self-exclusion and fmaily exclusion are
verified.
As for how it would support the Government in the
regulations, she said it would comment after studying the
legislation, when more details are available. A spokesman for 888,
an online casino with eNets payment, said: "We are committed to
monitoring closely and addressing regulatory changes as they occur
and to fostering, so far as possible, the trend towards
liberalisation and regulation of online gaming throughout the
world," he said.
News, The New Paper, Friday 29 2013, Pg 4