Antigua Wins WTO Complaint Against U.S. Online Gambling Ban
c.2004 Bloomberg News
By Warren Giles
March 24 (Bloomberg) -- Antigua and Barbuda, the Caribbean
island nation, has won a World Trade Organization ruling in a
finding that U.S. legislation criminalizing online betting is
illegal under international law.
According to a confidential ruling that was released today,
Antigua, with a population of 68,000, won a complaint that a U.S.
ban on Internet gaming violates WTO commercial-services accords.
The U.S. ban has slashed revenue in Antigua, which developed
online gambling to boost an economy whose main income, tourism,
suffered after a series of hurricanes.
Antigua-based Internet companies handle about a quarter of
online bets in a global industry worth $6.1 billion. The country
has lost more than $90 million in income. About a sixth of the
government's $200 million annual revenue comes from the Internet
gambling industry, Sir Ronald Sanders, Antigua's ambassador to
the WTO, in a telephone interview from London.
``We lost many jobs as a result of the U.S. laws. This is
justice done and a victory for the WTO dispute system,'' Sir
Ronald said. ``This proves that a small country like ours can
take on a big nation and win.''
Citigroup Inc., the world's biggest issuer of credit cards,
agreed in 2002 to stop processing online gambling transactions
using its cards. In most U.S. states, unauthorized betting and
gambling is illegal, regardless of whether it takes place online.
Before the U.S. prohibitions, Antigua's Internet gambling
industry employed 5,000 people in the country in 119 companies.
That dropped over three years to 1,000 people in 30 companies as
a result of the ban, Sir Ronald said.
``The U.S. is under an obligation to repeal their laws, but
they will probably appeal and delay for as long as possible,'' he
said.
The ruling is expected to be made public next month and the
U.S. may appeal against the decision
c.2004 Bloomberg News
By Warren Giles
March 24 (Bloomberg) -- Antigua and Barbuda, the Caribbean
island nation, has won a World Trade Organization ruling in a
finding that U.S. legislation criminalizing online betting is
illegal under international law.
According to a confidential ruling that was released today,
Antigua, with a population of 68,000, won a complaint that a U.S.
ban on Internet gaming violates WTO commercial-services accords.
The U.S. ban has slashed revenue in Antigua, which developed
online gambling to boost an economy whose main income, tourism,
suffered after a series of hurricanes.
Antigua-based Internet companies handle about a quarter of
online bets in a global industry worth $6.1 billion. The country
has lost more than $90 million in income. About a sixth of the
government's $200 million annual revenue comes from the Internet
gambling industry, Sir Ronald Sanders, Antigua's ambassador to
the WTO, in a telephone interview from London.
``We lost many jobs as a result of the U.S. laws. This is
justice done and a victory for the WTO dispute system,'' Sir
Ronald said. ``This proves that a small country like ours can
take on a big nation and win.''
Citigroup Inc., the world's biggest issuer of credit cards,
agreed in 2002 to stop processing online gambling transactions
using its cards. In most U.S. states, unauthorized betting and
gambling is illegal, regardless of whether it takes place online.
Before the U.S. prohibitions, Antigua's Internet gambling
industry employed 5,000 people in the country in 119 companies.
That dropped over three years to 1,000 people in 30 companies as
a result of the ban, Sir Ronald said.
``The U.S. is under an obligation to repeal their laws, but
they will probably appeal and delay for as long as possible,'' he
said.
The ruling is expected to be made public next month and the
U.S. may appeal against the decision
