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EC: US measures "discriminatory"
The European Commission has finalised its draft report following a year-long investigation into United States measures affecting foreign suppliers of Internet gambling services.
The investigation has found that US laws on remote gambling and their enforcement against EU companies constitute an obstacle to trade that is inconsistent with World Trade Organisation (WTO) rules, and discriminate against foreign suppliers of gambling and betting services inconsistently with US WTO obligations.
The provisional conclusions of the report imply that WTO proceedings against US measures would be justified, but the report indicates that the issue should be taken up with the US Administration, with a view to finding a negotiated solution.
EU Trade Commissioner Catherine Ashton said: "It is for the US to decide how best to regulate Internet gambling in its market, but this must be done in a way that fully respects WTO obligations. "
European companies are still now subject to legal proceedings by US authorities based on their past activities on the US online gambling and betting market. The proceedings are continuing despite the withdrawal of European companies from the US market in 2006. The report comes to the conclusion that these proceedings are legally not justified and discriminatory.
