GAMBLING (JERSEY) LAW 201- (APPOINTED DAY) ACT 201-
Lodged au Greffe on *th October 2012 by Senator Alan Maclean, Minister for Economic Development
PROPOSITION
THE STATES are asked to decide whether they are of opinion −
to adopt the following Act
Purpose
The purpose of this Act is to bring into force the Gambling (Jersey) Law 2012 on 1st January 2013 together with draft Regulations should they be approved by the States.
Financial and Manpower Implications
There are no financial or manpower implications for the States.
GAMBLING (CHARITABLE AND MEMBERSHIP GAMBLING SERVICES) (JERSEY) REGULATIONS 201-
Lodged au Greffe on *th October 2012 by Senator Alan Maclean, Minister for Economic Development
PROPOSITION
THE STATES are asked to decide whether they are of opinion −
to adopt the following Regulation
Purpose
The purpose of these Regulations is to define and prohibit certain types of membership gambling service so that they cannot involve children and may not include games of unequal chance. The Regulations also provide for registration and permit schemes for charitable gambling services so that regulation can be more effective and proportionate.
Background
On 20th July 2011 the States adopted a new Gambling Law and this Law received Royal Assent 30th May 2012. The Law gives the States the ability to pass Regulations for the provision of non-commercial providers of gambling services who would then have to obtain approvals, registration or permits. This draft Regulation gives effect to the provisions in the new Law. As with the other draft Regulation, this does not cover commercial gambling, that is a gambling service offered directly to a consumer, because these services are covered by the Law and are subject to a full licensing regime.
The first part of the Regulation deals with Membership Gambling. Jersey has long permitted gambling in public and the provisions by which gambling has been permitted are covered by the Gambling (Gaming and Lotteries) (Jersey) Regulations 1965. This Regulation is now completely out of date, being unduly prescriptive, inherently inflexible and difficult to effectively regulate. However, the major part of the Regulation deals with social and charitable gambling. As with the membership category, current regulation of charitable gambling is flawed; being highly bureaucratic, confusing and consequently generally ineffective.
In bringing this new Regulation to the Assembly, the Minister seeks to make regulation more targeted and proportionate, freeing up charities to engage in low value gambling, apply proportionate regulation to membership gambling and common sense while cutting red tape.
In all of its regulatory activity, the Jersey Gambling Commission (JGC) must still follow its guiding principles[1] and act in a manner that does not create unnecessary burdens. This new Regulation, therefore, seeks to achieve a modern, reasonable, flexible and proportionate framework for membership and charitable gambling.
Membership Gambling
Over the past years, Jersey has seen a growth in the formation of membership clubs, most notably poker clubs. Regulation 5 of the current Gaming and Lotteries (Jersey) Regulations 1965, already allows for private gaming. It also provides for the playing of card games in liquor licensed premises for small stakes, where the gaming is of equal chance and where there is no levy or other charge to play. Most importantly, such membership gambling must exclude young persons, that is, anyone under the age of 18. These stipulations remain important in order to preserve a palpable difference between private membership gambling and any commercial equivalent.
Clearly, commercial gambling is undertaken and operated for a profit, but membership gambling must not be organised for profit, other than to benefit the member(s) of the club. In considering the reform of membership gambling, the JGC was thus minded to allow a greater flexibility in the conditions while preserving the overarching principles that differentiate it from the commercial model. To that end it is necessary to revert to the definition in the Gambling (Jersey) Law 2012, where a Membership Gambling Service is interpreted as a service that –
25(2) (a) is provided –
(i) by a group of persons all of whom are natural persons, or
(ii) on behalf of such a group by a member of the group;
(b) is provided to members of that group and to no other person;
(c) is not provided with a view to the profit of any person other than the members of that group; and
(d) is not provided in relation to commercial gambling; and
(e) is not a charitable gambling service.
Regulation 2 narrows this definition further and specifically prohibits membership gambling services that involve children, or those that do not offer equal chances to all participants, but only in relation to gambling that is done publicly, that is, outside of a private dwelling. Gambling undertaken in private is expressly excluded from the Law (Article 5(1)).
Likewise, under Article 25(2)(c)-(d) of the Law, gambling will be commercial (requiring a licence) rather than membership gambling if it is conducted for the profit of a non-member or by way of business (whether by some or all of the members). In the event that these provisions are contravened, Article 26(4)(a) of the Law creates an offence to provide a prohibited type of membership gambling service, with a penalty of imprisonment for up to 1 year and/or an unlimited fine. Provision of a commercial service without a licence is already outlawed.
The practical effect of this change will see membership clubs being able to operate without a need to obtain a permit or approval, but the Commission will still have its powers as defined in Part 4 of the Law and use this regulatory toolkit to monitor, inspect and request relevant information and records from a club, if it believes that the promoters or organisers are profiting from the undertaking. The easiest way to do this will be for the JGC to issue a voluntary model for membership gambling services and invite such clubs to discuss their activities and procedures with the JGC to ensure compliance. Any club not making such a voluntary submission would by dint of this fact attract the attention of the Commission.
The proposed new model will add some flexibility to current arrangements by allowing a club to charge members to cover the costs of reasonable expenses; room hire for example, where the event takes place. However, other current prohibitions will continue;
- No deductions or levies are made from sums staked or won (i.e. no rake),
- Children and young persons are excluded from participation;
- Licensees of a premises where the club meets to gamble do not promote, organise, or facilitate gambling other than providing the venue, appropriate furnishings (tables and chairs), and the sale of food and beverages.
Any other form of charge or distribution of winnings will cause the fixture suspected to be a commercial gambling service and in the event that the organiser/promoter of such commercial service does not have the relevant licence, they will be guilty of an offence punishable under Article 8(3) of the Law with imprisonment for up to 5 years and/or an unlimited fine.
Charitable Gambling
This Regulation has been developed to help fundraising by the third sector. The Minister and the Commission recognise the importance of charitable gambling as a fundraiser and believe that its special status should be recognised, albeit with sufficient redress available to the JGC where it may be required. Unless provided ‘incidental to an event’ (generally a raffle) charities currently have a significant amount of bureaucracy to negotiate. Gambling is not considered as a service or activity, but each segment is treated individually. Therefore the rules for lotteries are different to cinema racing, bingo is divided into two different types, with different forms and different requirements and charities must register with the JGC for each type of gambling before applying for a permit for each type. Charities may only conduct one lottery at a time, so this has the perverse effect of forcing a charity to rebrand itself in order to hold, for example, a 100 Club for members at the same time as a lottery open to the public. The JGC does not see any great purpose, public protection or other reason why this should continue to be so.
Furthermore, each piece of paperwork comes at a cost – a fee for the charity (each time) and an on-cost to the JGC who have to charge to process and administer a bureaucratic system that has little effective regulatory merit. This system is crying out for reform and should not be allowed to continue as it has little to benefit either charities or the JGC.
To that end, charitable gambling services in this Regulation have been categorised into three types: those that are ad hoc and with low levels of prizes (termed ‘exempt’), those that occur regularly or which have a higher level of prizes such that the JGC believe they should be informed of their activity (termed ‘registered’) and those where the scale of prizes or return is such that they present a clear need for regulatory oversight. This latter category will only be allowed by permit.
Exempt Charitable Gambling
Regulation 4 outlines the boundaries of the exempt category, which has been designed to cater for ad hoc, or ‘one-off’ charitable gambling. To be an exempt charitable gambling service, it can only be offered up to 3 days a year and where the total value of prizes available on any such event is capped at £1,500. These figures have not been picked idly. Currently, charitable gambling is exempt from requiring a permit if it occurs incidental to an event, where the primary reason to attend the event is not to gamble. Through tradition, an event has been accepted as being over two consecutive days. This has been a well used and generally non-contentious form of charitable fund raising and the spirit of the current provision is preserved and slightly extended by allocating up to three events without the need for a registration or permit. To give Members the practical implications, if this Regulation had been adopted in 2012 it would have had the following effect:
- Most current unregulated events would continue to fall outside of the regulatory scope, although an unknown, but certainly lower number would be captured;
- 68% of 2012 charitable lotteries currently requiring a registration, permit and a return form would be exempt;
- 73% of 2012 charitable bingo currently requiring registration, permit (and a return form if public bingo) would be exempt.
This is very good news for charities and a major de-regulation, allowing the JGC to refocus its priorities according to its risk assessments. Although exempt, charities using this category should still follow the JGC’s published advice on charities so that, as far as is possible, they keep proper records and can ensure that the gambling they undertake complies with the guiding principles.
Regulation 4 further notes that Crown and Anchor or electronic gambling is specifically excluded from the exempt regime for public protection reasons. Electronic Gambling is captured within the Gambling (Ancillary Services and Miscellaneous Provisions) (Jersey) Regulations 201- and is discussed within that Report and Proposition. Crown and Anchor is a rapid action banker’s game where money can change hands very quickly and it occurs, generally speaking, in public arenas where the size of the money awarded is both difficult to control and open to interpretation. It is not a game that the JGC believes should be permitted to operate without supervision. For that reason it is the JGC’s opinion that the offering of Crown and Anchor for charitable purposes should be solely by permit[2], thus ensuring a proper level of control and public protection.
The second level of regulation is registered, whereby a charity will register their intention to hold charitable gambling with the Commission and submit each year a schedule of future or planned events. The registered category is designed to cater for regularly held, but generally small to medium scale fundraising and this requirement is specified in Regulation 4(5). As at present, the JGC will levy a small administrative fee for the registration, but one registration and one fee will cover all types of permitted charitable gambling services and there will be no additional cost for the gambling itself. Members will note that the maximum permitted fee the JGC may charge for registration is stated in the Law, Article 26 (3)(b)(i), as not exceeding £50 in any year, although the Minister may vary this by Order. Given that both the Minister and the Commission wish to see a reduction in overall costs there is no plan to ask the Minister to make such an Order and the JGC believe that the current level of cost at £20 remains appropriate.
To be registered the charity will have to be, as at present, be bone fide and properly constituted. As specified in Regulation 4(2), the Commission must approve a code of practice in relation to charitable gambling services and that Code will spell out the requirements for registration as well as the general advice and information that the Commission believes is appropriate for various types of charitable gambling. Regulation 4(3)(b) thus allows for these policies, codes, information and advice to be provided to a charity in one document, rather than the more confusing plethora of different papers that would otherwise have to be consulted. The Commission has produced a draft document outlining the new regime as it would be applied if the Regulation is passed and the JGC has had exploratory discussions with the Association of Jersey Charities, as the largest stakeholder.
The Commission must still formally consult on this document should the new package be brought into effect and all individual clubs, societies and other charities will have an opportunity to comment on the new regime before it is brought into effect. The JGC intends to offer briefings to interested parties and relevant stakeholders in order to make the transition as smooth as possible.
Registered Charitable Gambling
Regulation 4(4) ensures that charities wishing to undertake a gambling activity that is neither exempt, nor solely subject to registration must obtain a permit from the Commission and Regulation 4(6) notes that Regulations 5 to 8 apply to both registration and permits.
Regulation 5 provides the details that charities must apply in order to qualify for registration. To that end, they must supply relevant information or evidence about their proposed gambling and pay the fee published by the Commission under the authority granted by Articles 46 and 47 of the Law. As previously noted, this stands as a £50 maximum and the JGC has declared its intention to retain the current fee level at £20. The Commission may refuse to register a charity if it believes their conduct would be likely to contravene a Code of Practice issued under Regulation 4(2).
In order to ensure relevant Codes are complied with and as a proportionate measure of public protection, registered charities will be required to provide evidence of their compliance (accounts, reports, information or other evidence) either on the renewal of their registration or when the proposed gambling takes place, or where the Commission reasonably suspects there may be grounds for revocation. In practice, therefore, the registered category will have a very light touch applied and the JGC will only become involved where it has received a complaint or when the registration or re-registration is being considered. Having a registered category, the JGC must have the power of revocation as a matter of last resort and Regulation 5(5) captures those eventualities.
The detail of what charitable gambling qualifies to be registered, rather than exempt or by permit will be noted in the JGC’s published Code. As the Commission wishes to ensure a broad level of support for what is the single largest change to charitable gambling in the Island for 50 years, the Commission has provided a draft outlining its intentions. The JGC expects charities to register if they hold 4 or more gambling events (regardless of the prizes on offer) or if a prize fund on offer at any one event is greater than £1,500, up to a maximum in any one year of £12,000. It is important to stress that the prize fund is what goes to players and the amount generated by the charity will in normal conditions be many times greater than the sum of all prizes. The JGC believe and the Minister agrees that this represents a significant increase in deregulation and that it will be monitored to ensure that this category is set at an appropriate level. Although the Commission believes that the prize boundaries noted in the draft will be effective, they can be altered based on experience by issuing proposed changes and then undertaking the appropriate consultation exercise.
The Commission believes that where players meet regularly (4 or more times) for the purpose of charitable gambling they must register so that the JGC is aware of their activities. The playing of charitable bingo will be simplified by abolishing the differences between the current ‘public’ and private’ categories and registration will allow prize funds of £1,500 per event or £12,000 per calendar year. If a bingo event is expected to generate prizes in excess of these amounts then the charity must contact the Commission regarding the necessity of obtaining a permit. For Lotteries, registration will be required for any charity wishing to offer 4 or more events per year, or any lottery where the combined value of prizes is in excess of £1,500 but no greater than £12,000 per single lottery event. No charity will be allowed to hold lotteries generating a combined total in excess of £30,000 per year in prizes without a permit.
The requirement for registration includes the provision of a schedule of events by the charity in question and additional events may be added by prior arrangement and with the agreement of the Commission. While there is no routine requirement to provide the Commission with an official return regarding outcomes, the Commission reserves the right to inspect the records of registered charities for sampling, audit, or compliance reasons. To that end all charities undertaking registered charitable gambling must keep proper records to prove that they have complied with the tenets of the guiding principles. The Commission will work with charities to advise them on the type of records they should keep.
Charitable Gambling by Permit
The provision of a permit to undertake charitable gambling is reserved for those types of gambling that either appear as if they are of a scale to warrant being classed as commercial (other than not being for private gain) or for such reasons as the Commission may specify in a Code of Practice, normally based on a risk assessment or prior regulatory action. Permits issued by the Commission are subject to a similar level of oversight as commercial licences and are subject to the licence conditions noted in Articles 16 – 18, albeit the JGC will have greater flexibility regarding the conditions to apply and that none are mandatory.
A permit would be required for charitable bingo where the maximum prize fund per session (single event) exceeds £1,000 or where the total prize money in any one calendar year exceeds £12,000. A permit would also be required for charitable lotteries where the combined value of prizes in any one draw is in excess of £12,000 or where the combined value of prizes offered by lottery or succession of lotteries in any one year is in excess of £30,000. To understand the impact of this provision, if it had been in effect in 2012, only 2 charities would have required a permit, while charitable bingo would either be totally exempt (73%) or registered (27%).
The imposition of charitable gambling by permit will represent a significant increase in the level of regulation compared to the present regime, but the JGC believes this is appropriate given the scale of funds involved and it is certainly proportionate. The Commission should not inflict unnecessary burdens on its licensees (including permit holders) and the discretion to apply conditions from the Law as seems reasonable, instead of their being mandatory, means that the Commission can treat each application on its merits. This level of oversight will only apply to charitable gambling of a significant nature, such as the ‘Hospice Million Pound Draw’ as it is self-evident that this represents a higher level of risk than gambling at the exempt or registered level.
Regulation 7 provides that the Commission must publish a Statement of Policy in respect of registrations and permits (as described above) and provides that it may be contained within a Statement applying to commercial operations under Article 9 of the Law, or in a separate document. Regulation 8 provides for appeals against any decision by the JGC in respect of registration and permits and Regulation 9 provides for the citation and commencement provisions.
The final matter worthy of mention is with regard to offences. While these are set in the Regulation, the penalties are found in the Law. No penalty is applicable to an exempt charitable service for obvious reasons, but providing a charitable gambling service that should be registered, but without such registration carries the penalty of a fine of up to £5,000, or Level 4 on the standard scale. There is no penalty for a breach of registration itself, save that the Commission may de-register a charity or insist they be subject to a permit. A person is, however, guilty of an offence and liable to imprisonment for a term of one year and to a fine if they provide a service for which a permit is required without holding such a permit.
Financial and Manpower Implications
There are no financial or manpower implications for the States.
Report: Gambling (Ancillary Services and Miscellaneous Provisions) (Jersey) Regulations 201-
PURPOSE
The purpose of these Regulations is to identify those commercial undertakings that provide services to gambling operators (both remote and terrestrial) provided in or from Jersey and should be regulated by Permit granted by the Jersey Gambling Commission (the Commission). The Regulation details the application methods for a Permit, and sets the terms by which the Commission may grant or refuse an application or revoke a permit.
LEGAL AUTHORITY
These Regulations are pursuant of Articles 23, 24 and 56 (Regulations & Orders) of the Gambling (Jersey) Law 2012.
Article 23 defines ancillary services as gambling services that are provided by way of business, but only to other businesses.
Article 24 allows the States, by Regulations, to prohibit the provision of types of ancillary service or require providers to obtain a Permit from the Commission. The wide definition of type in Article 3 means that Regulations could prohibit, or require a Permit for an entire form of ancillary service or just the provision of that service in particular circumstances. A Permit scheme can be given some or all of the features of the licensing regime approved by the Assembly under the Gambling Law.
What are Ancillary Services?
This Regulation is devised to set out those activities that cannot be undertaken without a Permit in relation to those commercial businesses that offer or wish to offer services to commercial gambling operators. This kind of service is generally know as a Business-to-Business service and commonly referred to in an abbreviated form as a B2B. The Gambling Law clearly defines commercial gambling as a business which deals directly with a customer and for profit; an ancillary service under this Regulation captures those firms which perform certain services for a gambling operator, but do not directly offer gambling services to or contract with the public.
A distinction is made between those types of ancillary services particular to the operation of gambling and those other services, such as accounting or legal advice for example, required by the business world as a whole and which would not ordinarily require a Permit to conduct such a service.
“Facilitating” the other company’s gambling is defined as providing, operating or administering arrangements for, or participating in the operation/administration of the commercial provider’s gambling. This may also be expanded under Regulation 2 (using
Article 23(2)(a) of the Law) so that the targeted service only needs to be “related to gambling” in some way.
The Regulation, therefore, identifies those commercial undertakings that provide services to gambling operators and can only be undertaken provided in or from Jersey by a Permit. Services provided to a commercial operation in Jersey from a business outside of the Island will be subject to an approval by the Commission; this will be achieved by imposing a condition on the commercial licence, subjecting any rollout of games or other service, for example, to Commission approval.
Why Regulate Ancillary Services?
An industry has emerged supplying services to the gambling industry and these services (detailed further on) include software designers, along with the creators of games sold or ‘licensed’ to gambling operators. In certain circumstances it is possible that these games may not be released within Jersey for the public to play, but sold or licensed externally; the fact they are gambling games designed in the Island catches upon a Gambling Law ethos to protect the Island’s reputation and integrity. It is therefore proportionate to allow gambling games to be created in the Island by Permit and ensure they comply with the technical standards issued by the Commission; these standards exact fairness and transparency from all gambling offerings.
Jersey also has long established firms that supply and maintain a range of gaming machines, and while these firms have voluntarily submitted to vetting in the past, the opportunity to formalise this relationship with the Commission is presented by the adoption of this Regulation. Subjecting these firms to a Permit will establish accountability and allow the Commission to examine and monitor the extent of game distribution, the types of machines sited in venues across the Island and assess how compliant these machines are with the Technical Standards Code of Practice.
Referring to the Transitional Provisions of this Regulation, it should be noted that hosting providers were captured under previous regulations, but permission was given in the form of a licence. The thrust of the new Gambling Law reserves licensing for the commercial sector, but a Permit may attract all or some of those licence conditions where appropriate.
How will this sector be regulated?
The Regulation creates a Permit scheme for several categories of service providers and these are set under Part 2, Regulation 3. Broadly the regulated ancillary services sector will comprise:
- Manufacturing/importing/selling/leasing gambling equipment (software/hardware, machines - electronic);
- Headquarters & Overseas Services
- Supplying gambling specific services to an operator who gambles electronically;
- Advertising/supplying physical hosting services.
It should be noted that some business models might have operational crossovers, presenting a conglomerate of these business types. If this is the case and depending on the corporate structure a company could require more than one Permit.
The following headings, expanded from the services sectors, discuss the types of businesses that will or may require Permits.
Head-Quartering/Overseas services (Regulation 3(3))
If it is a business in Jersey of whatever structure, and it is a principal/associate of an overseas commercial operator (which is not just a branch of a Jersey-incorporated body) and it provides a service that “facilitates” gambling by the overseas operator – the Jersey business will need a Permit. Under the law passed by the States, if the Jersey business counts as doing business with the public it will need a licence.
Manufacturers
A Permit is required for the manufactures of electronic gambling equipment (Regulation 3(4)). Manufacturers will need to ensure that their gaming machines and equipment comply with the Commission’s Technical Standards Code of Practice at the point of sale. Machines will have to been tested and approved by either an independent testing house against the Commission’s criteria or by the manufacturers’ own strictly controlled processes. Larger scale manufacturers will have in-house testing capabilities and in such cases it would be disproportionate for the Commission to insist on further independent testing. However, proof of competence and capability must be a point to prove on application for a Permit.
Supply and Sale of gaming machines in Jersey (selling/leasing);
Under Regulation 3(4) the sale, supply and maintenance of gaming machines becomes subject to a Permit. Machine Suppliers, as the title suggests, can own gaming machines and by arrangement site them in various places around the Island. The machines may be hired from Suppliers as distractions/entertainment by these venues, or be supplied and maintained on a rolling profit share arrangement.
Importation of Machines
It is important to establish a link between importation and the requirement to have a testing certificate and machines should have an accompanying testing certificate linked to a Commission approval. Clearly this should not apply to a private purchase for non-commercial use. (Regulation 3(4))
Game Designers/Producers
A Jersey based software designer requires a Permit if it creates a gambling game because the regulation of gambling software produced in Jersey is a reputational matter, especially as the market for these products will generally be for export. Therefore, Jersey produced gambling products must conform to the Commission’s licensing principles. (Regulation 3(4))
Turnkey Services (Regulation 3 (2))
The most common form of B2B is what is termed ‘a turnkey’ service which is the provision of a complete product or service that is ready for immediate use. Any firm wishing to offer B2B services from Jersey must apply for Permit to do so. Variations of the services these firms may offer are outlined below:
Advisory Services: such a service would be dedicated to the provision of business advice for gambling companies (other than legal and compliance) and may include the provision of information in respect of processing, payments, risk management and financial performance.
Network Management Services: may include collusion checks for cash outs, jackpot claims, tournament set-ups and a constant level technical support and data analysis.
Cross-platform Services: from land-based to mobile to internet gambling; a cross-platform service offers and enables online, broadcast, mobile and land-based platforms to be run through a unified administrative system.
Advertising/supplying physical hosting services
Not all data centres will require a Permit: only those businesses advertising for and consequentially hosting remote gambling companies within Jersey will need a Permit to do so. This category is applicable to those Jersey based data-centres promoting themselves as equipped to host remote gambling operators. Requirements placed on hosting providers under the current licensing regime will be transferred to the Permit scheme. These hosting companies have a number of duties and obligations placed upon them to show that they are ‘fit and proper’ and report gambling activity to the Commission to ensure that only licensed activity can take place. Hosting companies will still be subject to probity investigations and financial ‘health’ checks. (Regulation 3(5) to (6)). Part 3, Regulation 9 provides transitional provisions dedicated to preserve the rights of current licensees.
Permits (Regulation 4)
A Permit will naturally attract conditions in respect of the gambling service supplied, such as what it is and how it is managed. Permit conditions will, therefore, differ to reflect these different types of services. The regulation allows conditions from the palette provided under the Law for governance of commercial licensing to apply to Permits. The Assembly has already approved the range of conditions as outlined under Articles 16 to 20 of the Gambling (Jersey) Law 2012 and in the case of Permits all conditions are discretionary rather than mandatory. The Gambling Commission (Jersey) Law 2010 imposes a duty on the regulator to ensure that no unnecessary burden is placed upon the industry it regulates, therefore the Commission would not apply all conditions in every case. But at a minimum it will be a condition of a Permit that a company must operate its business from the premises prescribed on the Permit.
Grant of a Permit
The Assembly has already approved minimum criteria that must be met for the grant of a licence (Article12). Vitally, it also mandates the Commission to ensure the grant of a Permit will not be harmful to the integrity and reputation of Jersey in gambling, commercial or financial matters. Here in relation to standard due diligence, the applicant must be a fit and proper person to hold a Permit, and the Commission must consider the applicant’s history and systems, and whether investigations should be made into principal persons of the applicant. Fees for a Permit have also been adopted from provisions set out under the Gambling Law and this will also include the investigation fee, annual fee and 5 year life cycle of a Permit.
Enforcement
The Regulation applies the range of enforcement and compliance tools supplied by the Gambling Law to the governance of the Permit regime and these include directions, notifications and civil penalties. As a matter of course the appeals process also applies to Permits.
Miscellaneous
Regulation 7 makes plain the distinction between an employee and a Licence or Permit. The current scheme presented by the Gambling Law does not require vast amounts of paper in that it is the businesses entity that is licenced or approved and not the work force.
The Regulation makes it a requirement for the business to have a Permit and limits any spread to individuals. In relation to the remainder of the Regulation, representatives of the Trust Company Business presented a scenario where they may seek to offer corporate management packages to gambling operators. Trust Company Business is exempt from regulation by the Commission, but this Regulation allows employees of a Trust Company to act in the capacity of a director of a gambling company or ancillary service, but places a requirement that he or she will need to obtain their own licence or Permit, above that held or required by the gambling company they plan to administer or serve.
Regulation 8 is retained from the existing Gambling (Remote Gambling) (Jersey) Regulations 2008. This provides that regardless of where else in the world an operator is located, if they have physical equipment in Jersey that controls or influences the outcome of remote gambling or of a site operating remote gambling, then it is considered to be operating from Jersey and subject to the new licensing and Permit regimes.
As mentioned previously, Regulation 9 is the one form of B2B regulation extant under Jersey legislation. The Commission has granted Hosting Facilities Providers Licences allowing firms to host both disaster recovery provisions and fully operable remote gambling sites; therefore, regulation of this service remains valid. This Regulation preserves those licences currently issued under the Gambling (Remote Gambling Jersey) Regulations 2008 and states that they should be treated as if the licence were a Permit granted under this legislation. Conditions on the licence are also preserved and treated as if awarded by virtue of this Regulation.
Financial and Manpower Implications
There are no financial or manpower implications for the States.
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