Minister for Justice Michael McDowell was politically embarrassed last week when his Cabinet colleagues forced him to rescind a decision to ban casinos. In administrative terms, it was no big deal. But it offered opposition parties a golden opportunity to paint a picture of dissension within Government and a Minister out of touch with colleagues.
Behind the political point-scoring, however, a hugely profitable and largely unregulated gaming industry has been lobbying hard against new legislation which would replace the 1956 Gaming and Lotteries Act. The situation is serious. The inability of the Garda Síochána and the Revenue Commissioners to regulate and control the industry in an effective manner led to the establishment of an Interdepartmental Group in 2003. It reported in 2004. And, while major technological and social changes of the past 50 years were recognised, it still advocated firm control of the industry and an outright ban on casinos, foreign lotteries and internet gambling
Mr McDowell accepted the advice of his officials and announced that he would ban casinos before formally securing the approval of Cabinet colleagues. It was a mistake. For, as Fianna Fáil Ministers were happy to point out, it was they - not departmental officials - who decide policy. So now it is back to the drawing board. The Minister will shortly ask the Government to establish another working group to consider legislation for the strict regulation - rather than the banning - of casino-style operations. Fine Gael and the Labour Party have no objection in principle to casinos. A major expansion in legal gambling has taken place throughout the developed world and casinos now operate in all but two EU states. There is, however, a need for controls and strict oversight to ensure they are not used as money-laundering conduits by criminal elements and to protect the public.
On the basis of the 2004 review, there is a compelling need for broader reforms and for new structures. Breaches of the law are widespread in relation to the use of gaming machines and this area requires urgent attention. A proposal for the establishment of a new oversight authority and new consultative machinery linking the various regulatory bodies appears sensible. But there is little point in introducing prohibitions unless they can be enforced. In that regard, a ban on the promotion of foreign lotteries, internet gaming and online lotteries appears problematic, as does the strict enforcement of an age limit of 18 years. A public debate on these issues would be of considerable benefit in advance of any Government decisions.