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Crackdown on unlicensed gambling sites imminent in France

Published on: 08/03/2022

The French Gambling regulator, the ANJ, has been granted new powers that will enable it to block unlicensed websites. L’Authorité National des Jeux, the body responsible for regulating gambling in France, has been granted additional powers, strengthening its abilities to prevent online gambling sites that are not licensed from operating in France. This includes websites that do not advertise to a French audience.

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French regulator will have new powers to close down unlicensed gambling sites operating in France. ?Atypeek Dgn from Pexels

The Law for the Democratization of Sport in France

A new law known as ‘The Law for The Democratization of Sport in France’ has been adopted by the French Parliament. The law is intended to be a new model for sport covering both its practice and its governance. It follows a three-year consultation and includes 59 separate articles. The most relevant element to the gambling industry is the measures available to prevent match-fixing. Alongside these new powers have been granted to the ANJ which will allow them to continue its mission to protect French gamblers.

A Victory for France’s Sports Minister

Roxana Maracineanu, France’s Sports Minister says the new law will create:

“as many advances in terms of access to sport for the greatest number of our fellow citizens, strengthening democracy within the sports movement and protecting the economic model of sport. The law was adopted on the last day of the parliamentary session by 67 votes out of 73 votes cast”

Similar Footing to Other European Countries

The introduction of the new law and the powers it delivers to the ANJ put it on an equal footing with the Dutch gambling regulator, the KSA. In the Netherlands, the KSA, has the power to block all unlicensed sites operating in the country. The ANJ had already closed down 250 unlicensed sites before the new law passed and it can now move against all unregulated operators in France even if they are not targeting French gamblers. Sweden published a report last year proposing that its regulatory body has similar powers, as well as tougher advertising restrictions.

How Will the legislation Work?

The wording in the legislation says that “The president of the ANJ may address to any person whose online gambling offer is accessible on French territory a formal notice to cease this activity”. This will be issued as a formal notification and the operator will have five days in which to respond to the regulator. If there is no satisfactory response after the notice period, the regulator can instruct internet service providers and web browsers to take any necessary measures to prevent access. These measures could also include the blocking of payment access. One of the aims of the legislation is to ensure compliance with the EU’s anti-money laundering directives.

How Will it be Implemented?

The ANJ has been developing a strategy of working in cooperation with major digital players for several months now. They are aiming to hold them accountable for the proliferation of illegal offerings which are available to gamblers in France. They are working with social networks, content exchange platforms, payment solution providers, and search engines. The ANJ is an independent body that reports directly to the French Parliament.

Who are the ANJ and What is Their Remit?

The ANJ regulates licensed gambling and betting games in France both online and at racecourses. It is also responsible for the gambling policies of casinos. It is a proactive organization whose stated aims are to ensure that the legal gambling offer is fair and recreational. They say that they will hunt down fraudsters and fight against illegal websites and money laundering operations. There is also a Sanction Committee that can take action against authorized operators who are failing in their duty to comply with legislative and regulatory obligations.

The ANJ Missions

The missions of the ANJ are structured around the following four key points: To protect minors and prevent pathological and addictive gambling. To ensure that there is transparency, integrity, and reliability with the gaming. To prevent criminal and fraudulent business including money laundering and terrorism. To make sure that games that are developed are fair and balanced so that there is no economic destabilization within the sectors that they regulate.

The Internal Security Code

The missions reflect what is written in Article L. 320-3 of the Internal Security Code, which states that

“The objective of State policy on gambling and games of chance is to limit and control the offer and consumption of gambling and to control its operation in order to prevent excessive or pathological gambling and protect players; ensure the integrity, reliability, and transparency of gambling operations; prevent criminal and fraudulent activities as well as money laundering and terrorist financing, and ensure the balanced and equitable development of the various types of games in order to avoid any economic destabilization of the sectors concerned”

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The French Legal Landscape

France is a paradox when it comes to gambling. Roulette was invented in the country in the 17th century, but it is a game that cannot legally be played online there. The lawmakers consider it, along with online slots and other casino games to be too addictive as they are games of chance. Online poker, sports betting, and horse racing were all legalized in the 2010 Gambling Act. It is deemed that these require knowledge or skillful play for the participants to win.

France is home to several world-famous land-based Casinos. For the French to legally participate in any of the casino games, they do need to go to a physical land-based casino. There has been considerable pressure for the market to be opened up but there has been no move to do so. The new powers enshrined in the latest sports law will see the ANJ continuing with its mission to limit access to online gambling in France.

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