Antigua and Barbuda

On 24 March, 2004, the Directorate of Offshore Gaming Antigua and Barbuda scored a victory previously thought impossible for such a small, developing member of the World Trade Organization. In a landmark case (a first of its kind for online gambling), the Dispute Settlement Body of the WTO found in favor of Antigua and Barbuda after a much publicized and lengthy battle over US restrictions effected on cross-border gambling.

A small twin-state nation, Antigua and Barbuda had relatively little to do with online gambling prior to 1996, however were quick to join the ranks of developed nations as the gaming industry peaked pre-Millennium. Formed in 1994 under the Financial Services Regulatory Commission, the Directorate of Offshore Gaming Antigua and Barbuda became one of the first active licensing and regulatory bodies for offshore gaming and betting services. The economic surge pre-Millennium improved prosperity for the nations, however, also brought with it the issues of increased criminal activity, such as money laundering. Following warnings to investors from both the US and UK, Antigua's Directorate of Offshore Gaming took action, developing significant amendments to the Interactive Gaming and Interactive Wagering Regulations (IGIWR). Despite these changes, the US continued to reform its Federal gaming laws, effectively pushing Antiguan service providers out of the US market.

In light of the publicized economic downturn (which greatly affected Antigua's gabling services industry), the Directorate of Offshore Gaming Antigua and Barbuda called for an official inquiry into the United States ban on cross-border gambling. They highlighted three contributory factors, believed to be responsible for the downturn of Antigua's betting services industry, including: the passing of UIGEA; America's 'self-regulated' credit card industry and the Interstate Wire Act. Antigua said both bans were direct violations of WTO's international trade guidelines, effectively going against the principals of aiding developing member nations.

The Dispute Settlement Body concluded with the very same findings in their interim Appellate Report on March 24, 2004, subsequently ruling in favor of the Antigua Directorate. Antigua submitted a revised request in 2008 to level concessions against the US by introducing trade sanctions, to the tune of $3.4 billion. WTO ruled in favor of Antigua once again, allowing the Directorate to impose $21 million per annum in sanctions in the hope of pushing the US to comply. To date, this enforced compliance remains subject to appeal.

Renowned for its Tier 1 licensing status, Antigua and Barbuda have established both the Money Laundering Prevention Act and Prevention of Terrorism Act, to which all applicants must agree to comply. Regular probes are carried out upon existing licensees to ensure their commercial operations meet with guidelines set out by the Directorate, including those pertaining to fair play, solvency and player protection. While the Directorate of Offshore Gaming honors applications from non blue chip entities, they stipulate that every applicant must be incorporated within the jurisdiction and have appropriate external auditors in place. Additionally, all applicants are required to complete a “Due Diligence” application and investigation process, incurring a non-refundable fee of $15,000. A preliminary decision will then be made, following which the applicant will be required to pay the sums of $100,000 and $75,000, for the Interactive Gaming License Fee and Interactive Wagering License Fee respectively.