Date: 18.07.2024

by Adam Dworak

Groothuizen’s Call for Enhanced Regulation to Combat Illegal Gambling

Michel Groothuizen, the newly appointed chairman of the Kansspelautoriteit (KSA), has outlined his strategy to intensify the Dutch regulator’s battle against illegal gambling activities. During his first public address at iGB Live in Amsterdam, he underscored the critical need to shield Dutch citizens from the adverse effects of unlicensed gambling operators.

The Growing Concern of the Black Market

In his speech, Groothuizen expressed significant concern regarding the expansion of the black market within the gambling sector. He described these illegal operators as pirates who flagrantly disregard established standards and regulations.

Highlighting the ethical breaches of these entities, he cited recent advertisements depicting vulnerable young individuals, which starkly revealed the unethical practices prevalent in the black market.

Deceptive Practices by Illegal Operators

Groothuizen brought to light the alarming tactics employed by some illegal operators, including the misuse of the KSA logo to disguise their unlicensed status.

These operators have gone as far as advertising on platforms like Google Maps to target susceptible and self-excluded individuals. He expressed his surprise and dismay at the extent of these deceptive practices.

The Need for Greater Regulatory Authority

Despite the KSA’s ongoing efforts to combat illegal gambling, Groothuizen stressed the necessity of increased regulatory powers. Currently, the KSA lacks the authority to directly block unlicensed operators.

Groothuizen argued that empowering the regulator with such capabilities would significantly enhance its effectiveness and bring about substantial improvements in the industry.

Upcoming Review of the Remote Gambling Act

The possibility of granting the KSA the power to block illegal operators will be a key topic during the forthcoming review of the Remote Gambling Act.

This anticipated discussion has generated optimism about the future of gambling regulation in the Netherlands, potentially leading to more robust regulatory measures.

Balancing the Legal Market and Consumer Protection

While tackling the black market remains a priority, Groothuizen also highlighted the importance of sustaining a healthy legal gambling market.

He advocated for a balanced approach that ensures the market’s sustainability while safeguarding consumer interests. Groothuizen committed to enhancing the supervision of legal gaming operators to ensure strict adherence to Dutch regulations.

Opposition to Increased Gambling Taxes and Advertisement Bans

Groothuizen opposed the ideas of raising the Netherlands’ gambling tax and banning gambling advertisements, arguing that these measures could weaken the competitiveness of the legal market.

He cautioned that such actions might inadvertently drive players towards illegal operators, thus exacerbating the very issues they aim to resolve.