In May, the Oslo District Court will hear arguments whether Unibet can continue operating in Norway. The government wants to stop Kindred subsidiary Trannel International from offering gambling without a license. Unibet operates through Trannel.
The Norwegian Gambling Authority ordered Kindred to stop offering services in Norway. Kindred responded that Unibet is not violating Norwegian law and thus will not leave, according to iGaming Business.
The authority threatened Kindred with a daily fine of NOK1.2 million (US$133,477) if it did not get out of Norway until the amount meets Kindred’s annual gross profit from the country, which it has estimated to be NOK437 million. The fine will begin two weeks after the authority comes to a decision on whether to implement it, The fine will be revoked if Trannel submits a proposal on how it plans to stop offering illegal gambling in Norway.
Kindred published an interview on its site with Rolf Sims, its public affairs manager for Norway. Sims said Norwegian state-owned company Norsk Tipping and private trust Norsk Rikstoto are the only operators to offer gambling services in the country, under its Gambling Act.
Sims said it isn’t illegal for Norwegians to play using Kindred’s operators, “in the same way that it is not illegal for Norwegians to shop with eBay or Amazon.”
“In failing to organize a transparent licensing regime and conducting a truly consistent gambling policy, we feel that the fundamental freedoms within European Economic Area (EEA) law are systematically being violated by Norway, to the Norwegian Government’s advantage,” said Sims.
The Authority first issued cease and desist order in 2019. This was appealed to, but not upheld by, the Ministry of Culture and the Lottery Authority Board. The Authority said Norwegian currency and customer support was available on Kindred’s website. Kindred also had advertisements broadcast in Norway. At the time, the regulator noted that the sites can be viewed in Norwegian, with deposits and bonuses in Norwegian currency, and pointed out Kindred offers Norwegian-language customer support.
“The illegal gambling offer has not yet ended. We take that seriously. Therefore, the Authority warns that it will now make a decision on a coercive fine if Trannel does not stop offering illegal gambling in Norway,” said Atle Hamar, director of the Norwegian Gambling Authority.
“Ensuring compliance with national and international laws contributes to a sustainable society,” said Sims. “This also extends to Norway. A comprehensive judicial review of the legality of the order issued in 2019 and the gambling monopoly is for the benefit of Norwegian society, consumers and vulnerable players.”
