Interactive Gambling Act of 2001

In July 2001, following a year-long moratorium on the development of the interactive gaming industry, the Australian Parliament enacted the Interactive Gambling Act of 2001 that prohibits operators from providing an Internet gambling service to Australian residents. The Act applies to interactive casinos and games on the Internet but does not apply to sports wagering or lotteries, which continue to be regulated by existing state and territorial legislation. It covers all interactive gambling service providers, including those based in Australia and offshore, and both Australian and foreign-owned businesses.

The maximum penalty for violations is $220,000 AUD ($121,000 USD) per day for individuals and $1.1 million AUD ($606,000 USD) per day for corporate bodies. The act also makes it an offense to provide such services to people in a “designated country” &mdash; that is, one that has asked for and received that designation from the Australian Minister of Communication, Information Technology, and the Arts to prohibit interactive gaming operators licensed in Australia from offering services to its citizens.