SBC News Voice of the Sports Betting Industry
Germany’s federal regulator, the Gluecksspiel (GGL), has issued a ‘severe fine’ against an unnamed licenced online gambling operator for advertising infractions.
According to the GGL, the igaming firm ‘deliberately advertised’ its offering on websites that also promoted illegal offers, something which is prohibited under the marketing provisions of the Fourth Interstate Gambling Treaty (GlüNeuRStv).
The GGL has not named the operator involved or the exact size of the penalty, only describing the charge as a ‘five-digit administrative offence notice’ – regardless, this marks a major milestone as the regulator issues its first severe penalty for licence breaches.
GGL CEO, Ronald Benter, remarked: “We consider these advertising regulations to be very good and justified. GGL consistently monitors offers from legal providers.
“In the event of violations, we levy heavy fines. The withdrawal of permission in the event of repeated violations of the provisions of the State Treaty on Gaming is a measure that we do not shy away from.”
The GGL was first established back in early 2022 as one of the key objectives of the aforementioned GlüNeuRStv gambling regulatory regime, itself first agreed upon by Germany’s 15 federal landers in 2021.
In its statement of the recent enforcement action, the GGL asserted that the intention of the 2021 regulation has been to ‘ensure player protection by strictly separating legal from illegal offers’.
“Legal providers of online gambling are not allowed to advertise on websites that also advertise illegal gambling,” the regulator asserted.
Clamping down on illegal gambling has been a long-term focus of the GGL, with leadership – represented by Benter alongside Board Member Benjamin Schwanke – stating at the turn of the new year that Germany would become a “comprehensively supervised market” under the GGL’s watch.
Upon taking full charge of German gambling on 1 January 2023, the regulator detailed 1,000 websites and 100 marketing campaigns targeting German consumers, adding that it had initiated over 60 prohibition notices and filed more than 30 criminal complaints in courts.
Even before assuming full regulatory responsibility in January, the GGL was beginning to adopt its supervisory mantle, such as targeting Lottoland in July 2022, accusing the Gibraltar-based firm of providing an illegal gambling offer in Germany ‘for years’.
Commenting on the more recent five-digit charge, Schwanke said: “The legal online gambling providers cannot have any interest in advertising on sites that also advertise illegal gambling. This damages the reputation of the providers.”
