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Argentina – Online gambling regulations published in Mendoza

By - 24 October 2022

The government of Mendoza has published a resolution in the Official Gazette regulating online gambling. Both online sports betting and online casinos will be permitted.

Among the arguments for taking the measure the resolution states: “It is necessary to regularize and regulate online gambling activity in order to combat illegal gambling, protect the rights of minors, consumers and users, promote responsible gambling and prevent money laundering.”

The 130 page long document (Resolution 554/22) puts in place technical requirements for the development of online gaming activity in the province and puts the Provincial Institute of Games and Casinos of Mendoza (IPJyC) in charge of supervising the newly regulated industry. The regulations were drawn up by the IPJyC Online Gaming Commission, an interdisciplinary team that received training from GLI.

Now that the regulation has been published and approved, it is understood that the bidding for operating permits will proceed.  According to local press award priority will be given to companies that already have a permit and/or concession for the installation and operation of game rooms or are service providers of slot machines. However other companies may take part in the bidding process, alone or via a Temporary Union of Companies (UTE) with national and international operators. UTE is a legal term meaning that two or more companies or individuals submit a joint offer to a public bid. They expressly commit themselves to incorporate a UTE in case they are finally awarded the contract. Operators will be able to offer casino games and sports betting, but they will be unable to run lottery games.

In October 2020, the government of Mendoza approved online gambling bill (Law 9,267). Seven licences will be allowed. The bidders must be located in the province and unlicensed operators will be blocked through requests to the National Communications Agency (Ena. com). Although no official date has been set for the launch according to press it should launch before the start of the World Cup in Qatar.

Permits are valid for a period of up to 10 years, with the possibility of a one year extension. The operators will have to pay an initial one-time fee for the license, and then they will have to pay a monthly fee. In addition they will pay taxes of 12 per cent of GGR.

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