- Posted on Thu Mar 26, 2009 9:36AM EDT
"It is for the U.S. to decide how best to regulate Internet gambling in its market, but this must be done in a way that fully respects WTO obligations," EU Trade Commissioner Catherine Ashton said in a statement.
"I am hopeful that we can find a swift, negotiated solution to this issue," she said.
In 2006, the U.S. Congress passed legislation making it illegal for banks and credit card companies to make payments to online gambling sites. The move hit European Internet gambling companies hard, slashing billions of euros off their market value.
While companies such as PartyGaming and 888 dot com subsequently withdrew from the United States, they face possible criminal prosecution for action prior to 2006.
The Commission's report is based on its investigation that followed a complaint by the Remote Gambling Association.
(Reporting by Foo Yun Chee and Dale Hudson)