The Finnish Constitutional Committee has declared that there is no justification for safeguarding Veikkaus’s exclusive rights by enacting a payment blocking amendment to the Lottery Act.
The proposed legislation was introduced in September and encompassed amendments to the Finnish Lottery Act, including a clause that would prohibit payments from operators advertising directly in the Finnish market except for Veikkaus.
Veikkaus is the sole entity in the nation authorized to provide gambling services and operates as a state-owned enterprise with a monopoly.
If the bill were to be approved, payment service providers would be obligated to block payments to and from operators commencing January 1, 2023. However, the committee has expressed substantial reservations regarding this legislative provision.
The committee believes that this would constitute a “widespread restriction on fundamental rights,” which the committee asserts cannot be justified on the grounds of preventing and limiting gambling-related harms.
The committee asserted that payment blocking could infringe upon Article 15 of the Finnish Constitution, which guarantees property protection, and Article 18, which outlines freedom of trade.
The group asserts that the rewards and funds held in gaming accounts automatically fall under safeguards for assets, and hindering legally acquired bonuses infringes upon the rights of businesses to conduct transactions and individuals to claim their winnings.
The group advises that the government contemplate whether the law’s goals can be attained through “less intrusive methods.”
Additional modifications encompass mandatory identification verification for all forms of wagering and new penalties for promotional activities. The legislation stipulates that gambling promotions must be moderate, not glorify wagering, and not portray it as a daily habit or a means of enhancing one’s financial standing.
The group raised inquiries concerning the wording pertaining to marketing. While it acknowledges that extensive restrictions on advertising could be implemented, citing limitations on alcohol marketing, it questions whether authorities possess the authority to impose financial penalties.
It objects to equating this with criminal penalties rather than administrative fines, and cautions that a clearer explanation of the basis for imposing such penalties and the method of calculating the amount is required.
If enacted, the new marketing sanction framework is anticipated to take effect in 2022.
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