Czech government is unable to punish illegal online gambling operators

17 October 2018

Local media criticize the government for its inability to fine online gambling operators who operate without a license in the country. According to publications, the government has not developed a system for punishing illegal operators.

The Czech media publisher E15 reported that the Ministry of Finance is not in a position to collect fines imposed on international operators of online gambling games that did not receive Czech licenses in January 2017.

Since the launch of the regulated market, the ministry has lost 24 fines totaling CZK 455 million ($20.4 million). To date, only $10,750 has been collected. The lack of real resources to levy the appropriate fines is considered to be the cause of this unfavorable situation.

The ministry responded to the article with a statement.

“It is extremely difficult to get operators, for example, based in the Caribbean, to pay their penalty payments by sending them “overseas”, - explained in a statement.

The ministry also claims that “the main purpose of the fines is not to enrich the treasury, but to limit the illegal gambling business. Fines have not only a restrictive, but also a preventive effect.” However, if one of the operators who had previously violated the law tries to obtain a Czech license to conduct online gambling, then payment of the debt will be a prerequisite.

The ministry’s black list includes 116 online gambling operators.

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