The Norwegian gaming authority Lottstift has won a court case on appeal against the Kindred Group Plc. through its subsidiary Trannel International Ltd. for offering illegal online gambling services to Norway’s citizens.
On June 1 the Borgarting Court of Appeal confirmed Lottstift’s original judgment against Trannel where it imposed a fine of NOK 1.2 million (€100,000) to force the company to vacate the market. The government does not accept Trannel’s claim that it is withdrawing from the market when it passively accepts Norwegian customers.
The authority calls this judgment a “decisive victory,” CDC Gaming Reports said June 5. The dispute with Trannel has been going on for five years. It added that the victory “solidifies the expectation for Trannel to completely withdraw from the Norwegian market, marking an essential moment in the country’s crackdown on illegal gambling.”
Kindred’s counter argument is that the authority has no legal precedent under Norwegian or European Economic Area law to restrict its subsidiary. In its appeal it also claimed it followed Norwegian law to ensure minimum exposure to the country’s citizens.
Lottstift Regulatory Director Atle Hamar commented, “The fact that Trannel is not supported on a single point of view, shows that the work we do to get illegal companies out of the Norwegian market is solid and well-established.” He added: “[T]he judgment unequivocally lends support to the Norwegian exclusive rights model and demonstrates its accordance with EEA law.”
