French respect for EU law to be tested

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FRENCH COURT ORDERS A REALITY CHECK

Senior judicial court wants confirmation that the French government respects EU law

A spokesman for the European Betting and Gaming Association (EGBA) described the online gambling trade organisation as "delighted" today (Friday) following a decision by a senior French judicial court to verify the French government's stance on respecting EU law.

EGBA said in a statement that the Court of Appeal of Versailles had called into question the compatibility of French gaming legislation with EU law, placing the burden of proof on the French authorities to justify that their regulatory framework is consistent, proportionate and justified.

The court's decision today follows a request by Didier Dewyn, ex-CEO of Mr Bookmaker, a gaming company licensed in Malta, to annul criminal proceedings brought against him on 16 April 2007 for allegedly organising an illicit lottery and clandestine betting on horse races.

The Court of Appeal of Versailles requested additional information in order to ascertain whether the criteria used under European Court of Justice case law are respected by the French gaming system. The Court considered that referring a question for a preliminary ruling to the ECJ was also not necessary as EC law was clear enough.

The decision of the Court of Appeal of Versailles, which relies on the consistent jurisprudence of the ECJ and in particular the Placanica ruling of 6 March 2007 was welcomed by EGBA. The decision is in line with the ruling of the Cour de Cassation, Frances Supreme Court, in the Zeturf case of 10 July 2007. The French Supreme Court quashed a decision of the Court of Appeal which condemned private operator Zeturf in proceedings brought by the PMU.

The European Court of Justice has ruled that a betting business legally established in one EU state may offer its services elsewhere in the 27-nation trade alliance and that restrictions can only be for reasons of general public interest.

Sigrid Lign, Secretary General of the EGBA commented: We are delighted with this decision. It is an important one and comes in the general context of the commitment taken by the French authorities to propose a controlled opening of the French gaming market by March 2008.

The outcome could influence the outcome of a case against another online gambling executive, Petter Nylander of Unibet who was arrested at Schipol airport last year on a warrant issued by a French judge at the request of French state gambling monopolies (see previous InfoPowa reports).

European nations who are members of the European Union but continue to support state gambling monopolies are under serious pressure from the courts and Charlie McCreevy's European Commission to comply with the principle of free movement of goods and services between member nations.
 

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