Dutch Government Clamps Down on Online Gambling Payment

May 13 - The Netherlands has widened the schism that was created between itself and the European Commission regarding its policy on online gambling, after the government circulated a list of 30 to 50 banned online casino sites to banks and credit card companies in the country.

The banks are meant to block any transactions that take place between those companies that appear on the list and Dutch citizens, in another step towards creating a more restricted Dutch online gambling industry.

The latest move is expected to cause further friction between the government and the European Commission which has already issued its last warning to the country to remove its state-run monopoly on the Dutch online gambling industry and open up its borders to foreign competition.

The government was expected to come up with a solution to the problem by April - a deadline that has come and gone. The European Commission has threatened to take the Netherlands to the European Court of Justice for not honoring trade agreements between member states.

However, the Ministry of Justice has stuck to its guns and said in a statement yesterday: "It is illegal to offer gambling services in the Netherlands without a permit. These companies know they break the law."

Some of Europe's most popular online gaming sites appear on the list, including Oranje Casino and Unibet.

Earlier this year, the Upper House in the Dutch Parliament vetoed by a narrow margin not to allow the formation of a state-owned online gambling site in the country, after it managed to pass a vote in the Lower House.