09/13/2010

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Piggs Peak Differs - 2


 

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continued from Piggs Peak Differs - 1

Among the companies looking to lose a lot, are at least two television channels associated with SABC and one radio station. Between them the losses could amount to as much as Rands 4 million. But above and beyond, the private satellite television provider MultiChoice, though no statement has been given from the company as of yet. It’s a bit ironic, considering the whole of the case was started by a dispute over media advertising.

Seven years ago, the Gauteng Gambling Board warned three different radio stations that they had no right to air commercials for Piggs Peak online casino. Immediately, the parent company Casino Enterprises contested the demand, saying that because the servers that hosted the internet casino software were based in Swaziland, the online gambling was technically not within the nation’s borders. The case quickly went to court, time and time again, with the most recent decision coming back in favor of the Board, ruling that gambling originates with the player, not the server.

The decision renders online gambling as a whole unacceptable within South Africa, and extends to rule that advertising for Piggs Peak is also prohibited. But its not as simple as that, for in addition to the fact that some bodies (such as the online casinos) disagree with the ruling, yet another factor to the whole issue is lying in wait, a perspective that effectively could perceive online gambling as legal. According to the Interactive Gambling act, made into law in 2008, the government has the power and ability to license up to ten online gaming operators for operation.

Wayne Lurie, an attorney specializing in gambling law, points out that the Act is still active and effective, despite the fact that no licenses have yet been issued. The regulations that will lay out the taxation rules for the management of a liberalized system have yet to be decided, but the fact remains that the National Gambling Board Act – on which the court cases are relying to say that internet gaming is illegal – was designed only as an interim law until online casinos could be regulated. "It was intended to serve as a stop-gap measure while enabling legislation was finalized for the licensing of interactive gambling, which is supposed to have been finalized by 2008," said Lurie.
 

 

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