Canadian Online Gambling Mentioned in Budget Speech
When the Canadian government introduced its 2014 federal budget last week, there were no groundbreaking announcements made. However, the Canadian online gambling industry sat up and took note of Finance Minister Jim Flaherty's comments that the government will be introducing commitments that have the potential to threaten Canada's liberal online gaming environment.
Minister Flaherty told the House of Commons that the government will introduce commitments that will "make online casinos subject to the Proceeds of Crime of Terrorist Financing Act".
Flaherty said that the amendments to Canada's current gambling laws will "strengthen Canada's anti money laundering and anti terrorist financing regime."
The Finance Minister is of the opinion that current gambling laws are outdated and are unable to force online casinos to keep strict records or alert authorities about suspicious transactions. He is determined to change all that, by the sounds of things.
Tightening Canadian Gambling Laws
One thing that the Finance Minister did not clarify was whether internationally license online casinos operating in Canada will be in violation of Canada's gambling laws if they do not adjust their recordkeeping policies to suit the new amendments.
What seems to be clear is that government sanctioned casinos such as those online gaming sites powered by provincial government lottery corporations will have to comply.
The government may also be eyeing a way to keep international competition at bay so that provincial sites, such as the BCLC PlayNow.com site, are able to bring in more revenue and benefit Canada's economy. By toughening up laws, the government hopes that operators may think twice about entering the Canadian online gambling market.
Major Online Gambling Operators in Canada
While a number of gambling-related operators have found it difficult to make a base in Canada, many major companies actually call the Maple nation home.
The online payment processors, Skrill and Neteller left the market in recent years, however top companies such as Caesars Interactive Entertainment and Amaya Gaming have their headquarters in Canada.
In addition, following the US government's witch hunt against online poker sites, many online players crossed the border to relocate in Canada so that they could continue their professional poker careers without any threat.
Time will tell him Finance Minister Jim Flaherty's new attention to online casino sites will affect the market, if at all.
