Weekly
News
Internet Gaming, Mobile
Gaming and Internet Law
Friday, November 11th, 2005
Americas
ILLINOIS HOUSE VOTES TO SINK RIVERBOATS
The Illinois House voted 67-42 in favor of a bill
that would create a statewide ban of riverboat gambling.
The bill now heads to the Senate.
BRITISH COLUMBIA LAUNCHES KENO ONLINE
The British Columbia Lottery Corporation announced
the availability of Keno for play and purchase through
its PlayNow web site located at bclc.com. Keno is
the BCLC’s only lottery that picks 20 numbers
each new draw and gives players the chance to win
up to $100,000 every five minutes. Select lottery
products have been available through PlayNow since
October 2004 when the site launched with Sports Action
products. In July 2005, BCLC launched more of its
most popular lottery products online - Lotto 6/49,
BC/49, Lotto Super 7 and Extra. Since its inception
more than 20,000 lottery players have registered for
an online account.
SCIENTIFIC GAMES THIRD QUARTER REVENUES RISE
10% TO $196.8 MILLION
Scientific reported that third quarter 2005 revenues
increased 10% to $196.8 million from the $179.3 million
reported in the third quarter of 2004. For the nine
months ended September 30, 2005, revenues increased
7% to $578.8 million compared to $542.9 million for
the corresponding period of 2004. Lorne Weil, Chairman
and CEO, commented, “In every important respect
we performed well in the third quarter. Despite continued
sluggishness in the racing business, our overall revenue
growth was 10%. Most importantly, revenue growth in
the Lottery Group was 17%, and if Florida on-line
sales are eliminated from the 2004 figure, Lottery
Group growth was nearly 25%. Performance in our Lottery
Group continues to reflect strength in the overall
market; recently released industry data indicate that
North American lottery sales grew by about 6% overall
for the 12 months ended June 30, 2005, with growth
having been driven largely by instant ticket sales,
which grew by 14% during that 12-month period.”
GTECH AWARDED N.J. LOTTERY CONTRACT DESPITE
HIGHEST BID
The state of New Jersey yesterday signed a five-year
extension with longtime lottery manager GTECH Corp.,
despite a competitor's offer to do the job for $32
million less. State records show that GTECH's bid,
which totaled $107 million over five years, was accepted
because of concerns over the experience and equipment
offered by rival Scientific Games, which said it could
do the job for $75 million. "In general, the
committee bases its recommendation on the overall
technical superiority of GTECH's bid proposal,"
a six-person evaluation committee reported in late
October. In particular, the committee's analysis showed,
the state evaluation team was concerned the system
of terminals and data links proposed by Scientific
Games might be susceptible to breakdowns that would
cut into the $2 billion of revenues the state counts
on from the lottery each year. "Considering all
the risks outlined above, the committee firmly believes
that the difference in cost between the two proposals
is far outweighed by GTECH's clear technical superiority,"
the committee's report concluded.
Europe
PARADISEBET UK TO USE CHARTWELL POKER
Chartwell Technology announced that LuckyBall S.A.,
a licensing provider for Paradisebet UK Ltd. has licensed
Chartwell's multiplayer poker and joined PokerNexus,
Chartwell's poker community. (www.pokernexus.com).
UK BOOKMAKER TO HEDGE BETS ONLINE
Betfred is to use betting exchanges, rather than the
racecourse, to carry out its hedging services. With
William Hill already using the internet for hedging,
Ladbrokes are reported to be monitoring the situation
closely.
UK CLAMPDOWN ON INTERNET CASINO ADS
Internet casino firms are facing a UK government clampdown
over concerns some are breaking strict advertising
laws. Culture Secretary Tessa Jowell plans to stop
gambling firms from advertising free entry to online
tournaments or indicating the value of prizes. Current
laws allow internet casinos to promote their brands
but forbid them from offering inducements to gamble.
The Department for Culture Media & Sport (DCMS)
said it planned to send letters to advertisers, publishers
and gambling firms, warning them that the government
would no longer tolerate advertisements for internet
casinos that offered inducements. http://news.bbc.co.uk/1/hi/business/4424234.stm
NETELLER FOUNDERS’ STOCK PLACED
NETeller is pleased to announce the successful completion
of an underwritten placing by Canaccord Capital (Europe)
Limited of 35,000,000 existing ordinary shares at
£6.25 per share which have been sold by certain
of the Company's founders, as detailed in the announcement
yesterday. The shares were placed with institutional
clients in the UK, Europe and North America. Adams
Harkness Inc. acted as selling agent in the US private
placement of the shares.
Pan
Asia
SINGAPORE TO MAKE FORMAL CASINO REQUEST
Singapore
on Friday said it will issue a formal request for
proposals for a casino resort near the city center
on Nov. 15, and that it will choose the successful
bidder based on the concept. Applications for the
casino resort at Marina Bay, the site of Singapore's
new downtown, are due March 29, 2006, the government
said in a statement distributed at a news conference.
The winning bidder will be chosen based on the quality
of its concept, with the price of the land fixed at
1.2 billion Singapore dollars ($707 million), the
statement said.
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