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Antigua and USA to End Online Gambling Dispute

Kathleen Girvan January 11, 2016     Comment Closed    

The long running online gambling dispute between the USA and the Caribbean island of Antigua looks soon to be resolved. The contention between the two arose in 2003 when US authorities effectively banned the twin island nation of Antigua and Barbuda from offering their online betting services to US residents. At the time, Antigua’s gambling industry earned around $3 billion from US residents.

The matter was brought before the World Trade Organisation in 2007 which concluded that the US had unfairly discriminated against the licensed gambling sites in Antigua. The WTO ruled that Antigua was entitled to $21 million annually from the US to compensate for the enforced gambling ban, but this money was neither offered by the US nor collected by Antigua. Despite the respected financial organisation’s judgement, the US did not lift their ban on Antiguan gambling transactions.

In 2013, the WTO granted permission for Antigua to take digital content from any U.S. firm, without paying them, in retaliation for the US actions. This was never implemented either, however.

The government in Antigua is seeking an end to the dispute which has had an adverse effect on the island’s economy. Previous to 2003’s ban, the online gambling business in Antigua had been benefiting enormously from the lucrative relationship it had with US customers. When confronted on its decision to implement the ban, the US claimed that it had a responsibility to block international sites to tackle problematic gambling behaviour within the states. The WTO dismissed this defence, deeming the US to be hypocritical in its attitudes.

Local news sources in Antigua have disclosed that the issue is expected to be resolved by January 2016 but eat details of the proposed new agreement haven’t been made clear to the public. The country’s Foreign Affairs Minister Charles Fernandez revealed to a news conference on December 24th that the latest proposal by the US has already been reviewed by Antigua’s Cabinet. It is strongly believed that a resolution will be announced by the end of this month.

 

 

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