KSA ramps up efforts to block ‘dipping’ lottery games

‘Dipping’ lotteries are games where players can pay to enter prize draws for cash and other prizes, for which entrance fees are paid via internet banking to operators based in the Netherlands and other countries.

The KSA has already reported a violation to Facebook with a request to remove a group in which the lotteries take place, for which Facebook has a procedure in place.

The regulator has been receiving reports of illegal online lotteries for some time, and gave a warning to players to avoid them in February this year, reminding them that such activities are not legal in the jurisdiction.

It has opened thirteen investigations in recent months and, in search of the most effective way to act, reached out to Facebook to collaborate.

The social network has shown itself to be keen to stamp out illegal gambling activities, the KSA noted, and is therefore collaborating with the regulator to combat any illegal gambling promotion.

If the KSA reports an illegal lottery to Facebook because Dutch law is being violated, Facebook can remove the group in question in accordance with its own guidelines.

The KSA has already reported several groups with Facebook, which, after inspection, were removed. The regulator considers this the fastest and most effective way to stop violations of its Gambling Act.

Online gambling regulation is expected to come into force in the Netherlands from 1 July 2021 after being delayed from its originally intended date of 1 January.

The KSA recently set out the details of its licence application process, as well as publishing the standards it will use for inspections of prospective licensees.