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ACCC Seeks Judicial Review OF $11 Billion Merger

by Glenn Baird - July 11, 2017

An attempt to merge two of Australia’s leading gaming companies could become a non-starter as the country’s competition watchdog (ACCC) is questioning one company gaining such a sizeable control of the market.

A decision was made during a tribunal in June to allow the merger to go ahead, despite fears that the $11 billion merger could have a negative impact on the gaming industry in Australia.

Justice John Middleton stated during the tribunal that:

“The tribunal is satisfied that the proposed merger is likely to result in substantial public benefits,” he said, “and the public detriments identified by the [Australian Competition and Consumer Commission] and the interveners are unlikely to either arise or are not of significance.”

However, the ACCC are clearly not “satisfied” and must believe that “the public detriments” are “of significance” after the watchdog revealed on Monday that they have approached the Federal Court and asked for a “judicial review” of the conclusions made during the tribunal.

Chairman Rod Sims has said that, “The ACCC is alleging the tribunal made three reviewable errors,” and that the Commission are “seeking clarification of these three points of law, which are central to the tribunal’s assessment of Tabcorp’s proposed acquisition of Tatts.”

Tatts Group already have a near monopoly on lotteries in Australia, whilst Tabcorp are a huge gaming company who also have fingers in the media pie, owning 3 Sky Racing channels and Sky Sports Radio. Combining the two operators would create one of the largest gambling companies in the world and would, without question, see one company dominate the gaming industry in Australia.

The United Kingdom of Great Britain and Northern Ireland sits to the north-west of mainland Europe. The United Kingdom shares a border with The Republic of Ireland and has coasts on the Atlantic Ocean, Celtic Sea, North Sea, Irish Sea and English Channel. The population of the UK is approaching the 67.6 million mark leading to a fairly densely populated land mass. The gambling sector in the United Kingdom is entirely regulated and licensed by the UKGC – the United Kingdom Gambling Commission. Should players resident In the UK wish to gamble with foreign based operators there is no history of this being treated as a criminal offence, but high levels of protection exist for UK residents playing with UK licensed operators.

Disclaimer:

The above information is what we believe to be the the legal status of online gambling, however information on this topic is limited and hard to find. We accept no liability for any errors or ommissions. It is the reader’s responsibility to ensure that they know the legality of online gambling in their country before engaging with any online gambling service.