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Senior Partner
Senior Partner, Solicitor
Category: UK Law
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Experience:  30 years experience in business law and related topics such as employment law
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We are a U.K. Company. This U.K. company has been currently

Resolved Question:

We are a U.K. Company. This U.K. company has been currently granted a gambling license by a foreign government. According to UK Gambling Act 2005, do we still need to apply for a UK gambling operating license if we have no remote gambling equipment being located in the UK provided that we are accepting UK customers and having registered office at London.
Submitted: 11 months ago.
Category: UK Law
Expert:  Senior Partner replied 11 months ago.
Thank you for your question. Can you tell me where the company is licensed and where it principle place of business is?
Customer: replied 11 months ago.

Thank you for your reply.

We are licensed in Belize and the license allowing us to provide online gambling services. All of our servers are located in Belize. We take bets from customer all over the world, provided that the customer's jurisdiction allow online gambling.

My question is, since we are operating through a UK company and accepting bets from UK customers as well. I want to double check if this would be an offences mention in Gambling Act 2005, Section 33.

To be specific, I would like you to help me to interpret Gambling Act 2005 section 36, Territorial application (http://www.legislation.gov.uk/ukpga/2005/19/section/36)

our situation satisfy the requirements there, i.e. we don't have a single equipment located in UK. However, the Act is not clear in indicating whether it is legal for a UK company like us to provide online gambling services in UK, but who has all the equipments located overseas.

 

 

Expert:  Senior Partner replied 11 months ago.
It seems pretty clear from the act that if you have no equipment whatsoever in the uk then you will not be providing facilities for remote gambling at least in relation to the prohibition is s33. The intent of this clause is to exclude uk jurisdiction for overseas businesses who simply provide services to uk based customers.

However there are other thing s comprised within the definition under s5 apart from the equipment - so advertising for example would be an offence. Essentially you cannot really safely carry on any activity in the uk in relation to the gambling business. Even administration could fall within the s5.

I am not sure why you need to have a UK company - it would seem to me to be sensible to have an offshore operating company and if you want to keep ultimate ownership in the UK you can do that without having any of the operations here.
Customer: replied 11 months ago.

If we don't advertise at all and have all operation to overseas, will it be okay if we still use a UK company?

Expert:  Senior Partner replied 11 months ago.
Advertising was only an example. As I said strictly speaking any activity in connection with the gambling business could fall within the definition under s 5 so to be safe you should not run the business out of the UK at all.
Senior Partner, Solicitor
Category: UK Law
Satisfied Customers: 13255
Experience: 30 years experience in business law and related topics such as employment law
Senior Partner and 3 other UK Law Specialists are ready to help you

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