German Regulatory Body, the Gambling Authority (GGL), levies a penalty on a licensed gaming operator

German Regulatory Body, the Gambling Authority (GGL), levies a penalty on a licensed gaming operator

In a landmark decision, the Joint Gaming Authority of the States (GJA) has imposed a fine of 17 million GBP on the gaming company Entain, following allegations of advertising on a platform where providers without a German gaming license also advertise. This marks the GJA's first penalty against a gaming company.

The fine imposed on Entain is significantly higher than the one recently imposed by the GJA, suggesting a hard stance against offenses. The UK Gambling Commission (UKGC), known for its regular reports on enforcement of penalties, often takes a similar approach.

Ronald Bentner, one of the presidents of the GJA, has stated that substantial fines could be imposed in case of a violation. He also emphasised that the revocation of a permit is a measure the GJA is not afraid to implement. Bentner's statement indicates a potential escalation in the GJA's actions against gaming companies that violate advertising rules.

The GJA consistently monitors the offers of legal providers and has expressed concern over internet game developers enabling German gaming providers to play on pages not licensed in Germany. The authority's accusation targets unauthorized advertising, which is a key aspect of its regulatory responsibilities.

Meanwhile, a recent court ruling has potentially limited the GJA's ability to enforce certain measures against foreign gaming providers. The ruling rejected the obligation for internet game developers to block foreign gaming providers, which could impact the GJA's future enforcement actions.

Despite this challenge, the GJA remains vigilant. Another president of the GJA, Benjamin Schwanke, has highlighted the risk to the reputation of serious providers if they violate the advertising conditions. This underscores the importance of compliance in the gaming industry.

While specific penalties for advertising violations by gaming companies in Germany are not detailed, it is common for regulatory bodies to impose fines for non-compliance with advertising regulations. Given the trend in European consumer protection and regulatory enforcement, it is likely that any violations would be met with significant fines and demands for compliance.

[1] "GJA imposes first fine on gaming company." (News article, date unspecified) [2] "Romania's gambling fines: What you need to know." (News article, date unspecified) [3] "EU scrutinizes arbitration clauses to protect consumer rights." (News article, date unspecified) [4] "Substantial fines for violating consumer protection laws in Europe." (News article, date unspecified)

What about the potential increase in fines for finance and business entities, especially in the general-news sector like gaming companies, following the landmark decision and the hard stance taken by the Joint Gaming Authority of the States (GJA) against offenses such as unauthorized advertising, as highlighted by Ronald Bentner and Benjamin Schwanke? Moreover, with the GJA's strong emphasis on compliance in the crime-and-justice context, could we expect stricter penalties in the future for crime-related violations, much like the substantial fines imposed for violating consumer protection laws in Europe?

Read also: