MGA and KSA Sign Landmark Memorandum of Understanding

One of the online gambling industry’s most renowned regulators and one its most highly anticipated gambling markets have signed a Memorandum of Understanding (MoU) with the intent of ensuring best practices, public safety and a reduction in gambling-related crime.

The MGA’s Chief Executive Officer, Heathcliff Farrugia, expressed his satisfaction with the agreement saying:

“This MoU with the Dutch Gambling Authority is another step in the right direction and follows other similar MoU’s which the MGA signed with other regulators over the past years.  Our relationship and cooperation with Kansspelautoriteit have already yielded tangible results in the past, and with this MoU, apart from formalising such relationship, a stronger collaboration at an international level is also ensured.”

The agreement will allow the Malta Gaming Authority (MGA) and the Dutch Kansspelautoriteit (KSA) to work closely with one another to provide insights on best practices and help each other craft solid gambling policies that serve the marketplace while protecting the individual players.

 What is the Scope of the MoU?

The MoU clarifies that the basis of the agreement is that the “Parties share common objectives and values in regulating the gambling sector” and while this creates a shared desire to work together each jurisdiction is still bound to honour their respective regulatory mandates.

“This MoU does not modify or supersede any laws or regulatory requirements in force in, or applying to, the jurisdiction of the Netherlands or Malta. This MoU shall not create directly or indirectly enforceable rights, torts, actions for damages or a reason to be declared suited in any lawsuit.”

In the interest of sharing knowledge and advancing the industry both parties have agreed to adhere to 5 key tenets:

1. To support each other in the sharing of best practices;
2. To share information in support of each of the parties’ responsibilities at law;
3. To engage in discussions on policy matters of interest to both parties;
4. To provide operational assistance where possible; and
5. To promote a culture of cooperation between the two authorities.

While the agreement falls under the rulings and regulations which govern the EU General Data Protection Regulations (GDPR) the MoU does outline an agreement to share data which concerns criminal activity:

“The Parties acknowledge and agree that the information sharing between them as referred to herein, may involve the sharing by one Party to the other Party of certain personal data, including certain special categories of personal data and personal data relating to criminal convictions and offences (the “Shared Personal Data”) in connection with the relationship.”

To abide by the GDPR in such instances each party will be deemed to be a data controller and need to abide by the GDPR requirements individually even though the data is a shared resource.

 Future of Dutch Gambling

While this agreement is a feather in the cap of both the MGA and KSA it is undoubtedly the Netherlands which gains the most value from the MoU.

The Kansspelautoriteit’s Chairman, René Jansen, said:

“I am delighted that agreements with international regulators, like the Malta Gaming Authority, are formalised and captured in Memorandums of Understanding. These MoU’s are a solid basis to share knowledge, to cooperate, and to smoothly exchange information. At the same time operators will be receiving a clear signal that hands of regulators will be joined internationally.”

With their first Remote Gambling Act launching in the near future having the MGA on hand to advise them on regulatory loopholes, effective administration of operators and players, and the ideal systems for the management of gambling revenues will ensure the Dutch gambling market avoids the pitfalls faced by other new regulators.