Call to freeze Internet betting
Australia's 290,000 problem gamblers each lose $12,000 a year, according to the
Government's online gambling report Netbet.
The problem is destined to get worse as a result of rapid technological development, according to the report.
Instead of going to the club to play the pokies or dropping into the TAB to have a
punt, gamblers will soon be able to get tips, place bets, check their accounts and watch
a horse race from a hand-held device, the report predicts.
Betting on networked games, interactive TV quiz shows and gambling directly over the
phone are also on the way.
The growing ease and lure of betting online prompted the Senate committee, which
wrote the Netbet report, to call for stricter regulation of Internet gambling by limiting the number of online gambling licences to 14 until steps could be taken to protect gamblers.
In addition to banning the use of credit cards for placing an online bet, the report
also recommends limiting gambling times, setting pre-determined betting amounts,
outlawing manipulative messages that entice the players to keep betting, and paying
winners in cheques, rather than cash.
Despite concerns about the growth of chronic gambling among Australians, the
report points out that local online gambling is fuelled by offshore punters.
"Currently Australian-based gamblers comprise a small proportion of the online
gambling market." the report says.
"Locally based operators are experiencing rapid growth mainly due to increasing
gambling activity from overseas- based gamblers."
Centrebet, said to be the second online betting site in the world, is ranked among
the top five world gambling sites, recording between 20,000 and 100,000 hits a day.
Lasseter's Casino in Alice Spring also operates an online gambling outlet which is
expected to rake in $6.6 million this financial year, compared to $22 million it expects to earn through its hotel facilities.
While local players would be restricted if the report's recommendations were introduced, offshore punters would have free rein on Australian Internet sites. And better regulation of online licensing is likely to encourage overseas gamblers.
"A consumer will choose to gamble with an online gambling operator if they feel confident that their winnings will be paid and their personal details are protected,"
the report says.
"A strict regulatory scheme that ensures probity and protects consumers will have strong appeal."
Online gambling operators welcomed the report. Centrebet's sports betting manager, Mr Gerard Duffy, said: "Whether the authorities like it or not, online gaming and wagering is a fact of life, so it may as well be conducted in a regulated environment."
But Liberal members of the committee, Senator Jeannie Ferris and Senator John
Tierney, and Independent Senator Brian Harradine called for online gambling to be banned and for a moratorium on new licences for five years.
It was unacceptable for Australia to be exposed to the new technology before it was
thoroughly assessed, Senator Tierney said..
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