John Lyons (Dublin North West, Labour)
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Question 405: To ask the Minister for Justice and Equality, further to Parliamentary Question No. 120 of 21 April 2011, if his attention has been drawn to the recent withdrawal of a gaming operating licence in Alderney for a company (details supplied), a subsidiary of which employes 700 people here; if he has had any contact with his counterpart with responsibility for that jurisdiction in respect of this action; and if he will make a statement on the matter. [21219/11]

John Lyons (Dublin North West, Labour)
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Question 406: To ask the Minister for Justice and Equality if, in view of the numbers employed in support services for on-line gaming companies in Ireland, many of which have their gaming licences in other jurisdictions, he has any advanced proposals for a revised regulatory architecture for such gaming operations here; and if he will make a statement on the matter. [21220/11]

Alan Shatter (Dublin South, Fine Gael)
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I propose to take Questions Nos. 405 and 406 together.

I am aware that the authorities in Alderney issued a Suspension Notice to the company in question on 29 June requiring it to suspend all operations with immediate effect. The company provides on-line gambling services and it holds a licence from the Alderney Gambling Control Commission (AGCC) in respect of those services. According to the AGCC, the licence was suspended following an indictment by the United States government and the company's "subsequent failure to satisfy AGCC that its activities inside and outside the US were in order".

As the Deputy points out, a company with, I understand, close links to the company whose licence has been suspended by the AGCC has a substantial operation here which provides back-up support for on-line gambling. I would point out, however, that the position here is very different to the position under Alderney law. As I said in my reply of 21 April to the Deputy's previous Question on this matter, unlike Alderney, Irish law currently makes no provision for licensing on-line gambling. As a result, those companies that provide or support their on-line services from facilities based here do not require a licence under our betting or gaming laws.

My Department has contact from time to time with the AGCC but not in relation to this case. I know the AGCC is actively following a formal process with the company and I feel it would be inappropriate for me to make enquiries while that process is still underway.

I agree that this case once again demonstrates the need to update our laws on gambling, be it in the form of betting or gaming. I am pleased to be able to tell the Deputy that I am at an advanced stage in preparing a comprehensive package of proposals that will address, inter alia, on-line gambling. The promotion of the employment potential in this sector will be a major consideration when drawing up a new framework but the Deputy will agree that the first priority must be public safety and the maintenance of clear, transparent controls. I believe we can have a system that accommodates all of those considerations.