- The National Gambling Office (NGO) is scheduled to take on the responsibility of facilitating Romania’s internet gambling program on April 15.
- Gambling legislation covering online gaming was passed in December 2010, but has not been put it into effect because the law required a monitoring and reporting agency.
Romania has created a regulating body as part of its efforts to regulate online gambling in the country. The National Gambling Office (NGO) is scheduled to take on the responsibility of facilitating Romania’s internet gambling program on April 15.
Gambling legislation covering online gaming was passed in December 2010, but has not been put it into effect because the law required a monitoring and reporting agency. The NGO will take on that responsibility.
Operators will be able to apply for licenses after the NGO begins operating, but the conditions under the Romanian legislation are onerous. The EU Commission has twice rejected the Romanian proposals for non-compliance with EU law.
Under earlier versions of the law, tax calculation for online poker would have seen every bet on every street taxed; however, the tax scheme for poker has been rewritten to reflect Gross Gaming Revenue rather than total amount wagered. Still, the overall provisions are unlikely to have altered sufficiently to overcome all the EU Commission objections.
The 2010 law criminalizes players for playing on unlicensed sites and the creation of the NGO may see attempts to enforce this provision. Criminal penalties for players carry a maximum of two years in prison.
The law also requires that all licensed operating companies be legally based in Romania. Companies legally established in the EU but unlicensed in Romania face strict restrictions on advertising. It is likely that only the largest gaming operators will see value in securing licenses.
The judicial system in Romania has come under regular attack from other EU member states for its high levels of corruption. They vetoed the recent application to join the Schengen agreement which provides free movement between 26 European countries including all EU member states except the UK and Ireland. Romania has also been criticized for the extensive influence of organized crime.
