German Internet Casino Ban Meets Domestic Political Resistance
Germany's gambling monopoly is threatened by a demand by one of its sixteen states to repeal the ban on online casinos.
The German gambling monopoly is already beset by problems with the European Commission and domestic courts, who agree the laws banning online casinos are a violation of EU regulations. Now, one of the 16 states that comprise Germany is calling for an end to the online gambling ban.
According to a report by EGamingReview, Schleswig-Holstein, the nothernmost German state, has demanded the repeal of the German Interstate Treaty on Gambling. If the national online casino block is not lifted, state leaders say they will seek intrastate online gambling licensing.
Germany has defended itself before EC investigators by using the currently popular line that monopolies are the best protection for consumers, children, and problem gambling victims. However, evidence is that the entity that truly receives protection by monopoly is the state revenue system, which profits by the illegal restraint of trade.
Currently, only horse racing is permitted in Germany to online gambling operations.
Even if the national legislature refuses to respond to the gathering forces demanding economic freedom for online casinos, the present treaty expires at the start of 2012, leaving the monopoly unprotected after that date.