Online Gambling Company Warns Over Manx E-Commerce

by Jason Gorringe, Tax-News.com, London

30 May 2002

The Managing Director of home-grown online gambling company, betinternet.com has warned that the Isle of Man's burgeoning e-commerce sector risks being strangled by government bureaucracy.

In an interview with the Isle of Man Online this week, Vincent Caldwell, who is also the Chairman of the internet wagering company, expressed his frustration at the long delays following betinternet's application for an online casino licence.

According to the IOM Online report, last September the Island's Department of Home Affairs (DHA) granted licences to international players such as MGM Mirage, Sun International, and Littlewoods, and in January of this year, a second tranche of applications from Rank Interactive Gaming and Action Online Entertainment were approved.

Mr Caldwell told the news service that he had been informed that betinternet.com's first application for a licence was rejected by the DHA because the brand was not considered sufficiently strong, but that he is in the dark as to why the company's subsequent applications were ignored, and that daily enquiries to the department have not made the situation any clearer:

'I have put in between two or three calls every day to the minister (Phil Braidwood) for the past 30 days,' he told IOM Online, adding that: 'I have also put in calls to David Killip (chief executive of the Department of Home Affairs).'

Betinternet's Technical Director, Bill Mummery, told the news service that although the company itself is 'very frustrated', the same concerns with regard to the level of bureaucracy in the Manx e-commerce sector are shared by other industry players:

'My fear is that having identified the opportunity, (and) created the legislation roll-out and implementation, (the government) is in danger of sabotaging the end result,' he observed.

Both men suggested to the IOM Online that e-commerce responsibilities should be in the hands of the Department of Trade and Industry, rather than the Department of Home Affairs, and Mr Mummery went on to warn that if something is not done soon, the wrong message could be sent to the international business community.

'The home team should not have a peculiar advantage but it should not be disregarded either. There is a danger that a perception will grow that companies are given all the incentives and assistance to come to the Island but once they are here, the impression prevails that things brought into the Island from outside are inherently better than anything we do here.'

He added wryly: 'If e-commerce is going to be a flagship in the Isle of Man then we've got to move with the times and that means you've got to move quicker than 11 months.'

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