IMGL Magazine April 2022

Singapore market reform

Penalties Finally, the GCA has introduced a three-tier penalty structure for unlawful gambling offences across both online and terrestrial unlawful gambling activity, differentiating between punters, agents, and operators in increasing order of penalties. This expands the scope of the present legislation, where this three-tier penalty is only applicable to remote gambling activities. In addition, agents and operators who facilitate or operate unlawful gambling services shall be liable more onerous penalties including mandatory imprisonment terms, with aggravated penalties for these classes of repeat offenders: a. An agent who facilitates others to gamble illegally shall be liable on conviction to a fine not exceeding S$200,000 and shall also be punished with imprisonment for a term not exceeding 5 years. A repeat offender shall be liable on conviction to a fine not exceeding S$300,000 and shall also be punished with imprisonment for a term not exceeding 7 years. a. An operator of an illegal gambling service shall be liable on conviction to a fine not exceeding S$700,000 and shall also be punished with imprisonment for a term not exceeding 10 years. A repeat offender shall be liable on conviction to a fine not exceeding S$700,000 and shall also be punished with imprisonment for a term not exceeding 10 years. CONCLUSION The GCA is the culmination of months of assessment, industry recommendations and reform efforts, and marks a significant milestone in the modernisation of Singapore’s regulated gambling regime. Essentially, the GCA will consolidate and replace the BA, CGHA, PLA and the RGA. Permits to operate fruit machines under

the PLA, certificates of exemptions to offer remote gambling services granted under the RGA and website access blocking orders and payment blocking orders made under the RGA will continue to remain in effect save where such permits and exemptions are inconsistent with the provisions of the GCA. Exemptions granted under the BA, CGHA and RGA (save for certificates of exemption) for the provision of gambling services will continue to run for a grace period of five months to 12 months after the repeal of these legislation. It is expected that the GCA will come into force within the next three to six months. The GCA is generally not expected to allow more opportunities for licensed gambling to be offered in Singapore. Unlike jurisdictions where multiple gambling operators may be licensed (whether onshore or offshore), it is unlikely that Singapore will see in the foreseeable future, any additional licensed remote gambling operators other than Singapore Pools, nor additional casinos beyond the current duopoly that Marina Bay Sands and Resorts World Sentosa enjoy. This is notwithstanding that the “not- for-profit entity” consideration (which is relevant to determination of whether it is in the public interest to issue a licence under the Remote Gambling Act) is not expressly included in the list of matters to be taken into consideration in the determination of the suitability of a licensee under the GCA. Gambling is not intended to be a growth sector in Singapore, and any expansion of the sector beyond the current licensed operators, if at all, will likely be limited to situations where there is a demand for the particular gambling service in respect of which the licence application is made, and where it is not contrary to the public interest or national security of Singapore for the licence to be granted.

Kok Keng Lau is head of intellectual property, sports and gaming with Rajah & Tann, Singapore. He can be contact at +65 62320765 or email kok.keng.lau@rajahtann.com

28 • IMGL Magazine • April 2022

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