The Finnish Constitutional Committee has declared that there is no valid justification for altering the lottery legislation to safeguard Veikkaus’s exclusive rights, thus hindering payments.
The proposed legislation, introduced in September, contains suggested modifications to the Finnish Lottery Act, one of which prohibits payments from operators advertising directly within the Finnish market, barring Veikkaus.
Veikkaus, a state-owned venture, holds the sole license to provide gambling services in the nation as a monopoly holder.
Should the bill be enacted, payment service providers will be obligated to prevent payments to and from operators commencing January 1, 2023. However, the committee has expressed substantial reservations regarding this legislative provision.
The committee asserts that this would constitute a “widespread limitation on fundamental liberties” and emphasizes that such a restriction cannot be justified on the basis of preventing and mitigating gambling-related harm.
The committee highlights that the payment block could infringe upon Article 15 of the Finnish Constitution, which guarantees property protection, and Article 18, which outlines freedom of commerce.
The group stated that the extra payments and funds in gaming accounts are automatically shielded by property protection procedures, and stopping players from accessing legally obtained extra payments infringes on the rights of companies to engage in transactions and individuals to receive their rightful winnings.
The group proposed that the government consider whether the objectives of the legislation could be achieved through “less invasive methods.”
The group also expressed concerns about other changes proposed in the legislation, including mandatory identification verification for all forms of gambling and new punishments for advertising. The legislation states that gambling promotions must be moderate, not glorify gambling, and not portray it as a regular activity or a way to improve one’s financial standing.
The group questioned the wording of the legislation regarding advertising. While the group acknowledged that broad restrictions on advertising are possible, citing restrictions on alcohol advertising, it questioned the principle of authorities imposing financial penalties for violations.
The group objected to equating this with criminal punishments instead of administrative fines, warning that clarification is needed on the basis for imposing such punishments and how the amount of the fine is determined.
If approved, the new advertising sanction framework is expected to take effect in 2022.
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