Australia, Macau Now Want Compensation from US in Online Gambling DisputeThis is literally David fighting Goliath as the tiny Caribbean nation of Antigua with its 60,000 plus population drove after the United States with a dagger in its dispute over a thriving online gambling industry. That dispute was eventually won through the World Trade Organization (WTO). But what was once Antigua verses the United States, has now become the rest of the world verses the United States and that later nation will risk further isolation and disrepair should it choose to ignore the WTO decision.
CasinoCity.com has confirmed that seven compensation claims have been filed against the U.S. in its ongoing WTO case with Antigua and Barbuda.
An official familiar with the case said compensation claims by Antigua and Barbuda, the EU, India, Canada, Macau and Australia were made last week in response to America's decision to exclude online gambling from its General Agreement of Trade in Services Agreement (GATS) schedule.
As widely reported on Gambling911.com, Costa Rica also joined the pact. This is significant since more online gambling businesses operate from this Central American nation than any other country in the world. Most cater to the US market.
Macau has fast become the world's number one gambling destination and now they are looking to be compensated by the US
BetonSports, the biggest of the North American focused online gambling employers based on Costa Rica, was forced to shut down last July after indictments were handed down by the US government against principals in that organization, including its founder Gary Kaplan and former CEO David Carruthers. Thousands of industry employees based in Costa Rica have lost their jobs as a result and countless other businesses were effected as an indirect result.
Japan has also lodged a letter of interest in the case, but has not asked for compensation, the official said.
"It's rather premature to say how things will proceed from here," a source told Casino City, a major player in the online gambling trade business.
Antigua and Barbuda are seeking $3.44 million in compensation. A Costa Rican official confirmed that they were seeking compensation, but declined to offer specifics.
In March, the WTO ruled that the U.S. could not allow domestic companies to offer horse racing wagers and lotteries over the Internet without giving companies from other countries an opportunity to provide those services.
Australia and Macau's entry into the fray will likely raise eyebrows though it is not known what specific complaints they might have at press time.
Australian online gambling firms have catered to US citizens in the past, beginning in 1997 with Mark Reed's International All Sports and Canbet.com. Centrebet left the US market place as a result of its connection to the Hilton Corporation. That company still serves the Canadian market.
Macau has become the biggest gambling destination in the world, this year unseating Las Vegas.
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Christopher Costigan, Gambling911.com
Originally published June 26, 2007 9:53 am ET
