Online bingo operators are watching closely at the events that are occurring in the struggle between the United States and the World Trade Organization.
The battle began when the United States closed its markets to foreign gambling operators, including online bingo, casino and poker sites, many of whom are located in the Caribbean island of Antigua.
The Unlawful Internet Gambling Enforcement Act, enacted thirteen months ago, made it illegal for any financial company to process financial transactions between United States players and their gambling companies, effectively closing down most of the internet gambling market.
Antigua viewed this banning of foreign competition to be in violation of international trade agreements and complained to the W.T.O. The European Union and some other countries agreed with Antigua and joined the island’s side in the dispute. Now, EU Commissioner Peter Mandelson has arrived in the United States to discuss the situation with U.S. authorities.
The EU views the UIGEA and U.S. policy to be a form of discrimination against foreign operators, many of whom are located in the EU. Mandelson wants a change in the policies that result in the discrimination and want the U.S. to open its markets to foreign gambling operators. Many gambling companies, many of whom offer online bingo, are listed on European stock exchanges and they departed from the U.S. market immediately after the enactment of the legislation. Nations injured by the U.S. actions are seeking compensation through the international trade treaties.
