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What is the law on gambling and how will it affect the Odessa region?


The Verkhovna Rada of Ukraine adopted the Law "On State Regulation of Activities Concerning the Organization and Conduct of Gambling" on Legalization of the Gambling Business. Odessa Regional State Administration explains the details of the document and tells how this area of business will be conducted in our region.


Why is this law necessary?

Legalization is the best way to protect society from gambling abuse. The adopted law provides a clear mechanism for preventing adolescents and people suffering from addiction from entering gambling establishments. The document creates such conditions in which the entrepreneurs who will work in this field will be interested in ensuring that the requirements of the law are observed throughout the territory and do not create any black competition.

People spend money in this area, illegally and without any control over the age or health of the players. So you need to bring this business, like any other, to light and see what is really going on and be able to control it.

Without the legalization of the gambling business, when the sphere of gambling remained underground, there could be no real control by definition. The sphere of excitement is very old and has already gone through many prohibitions. The only civilized way to regulate it is to create clear rules that will allow us to play without harming society.


What are the main provisions of the law?

The law introduces criminal liability for organizing gambling without a license. The document allows to place halls with slot machines only in hotels that have three to five stars, and in four-five-star - casinos. It will be possible to place gambling establishments at a distance of at least 500 meters from educational establishments. The number of people who could apply to the court for a restriction has also been expanded. The law provides for an online slot machine monitoring system.

Persons under the age of 21 will not be able to enter gambling establishments (identification will also be required on the Internet).

A register of people with limited access to gambling establishments and participation in gambling will be created. The law also provides for the use of an online system by game organizers, which will record each transaction and transmit information to the state monitoring system.

The gambling organizer is prohibited from giving the player the opportunity to play in debt or in installments.

Criminal liability is provided for conducting a gambling business without a license. The fine is from 170 to 680 thousand hryvnias, for repeated violation - from 680 to 850 thousand hryvnias (or imprisonment). Fines are also possible for a number of violations by the organizers, for example, admission to the game of people under the age of 21 - a fine of about 2 million 360 thousand hryvnias, and for repeated violations - revocation of the license.

It will be possible to provide gambling services after obtaining a license, which is issued for five years. A legal entity with a share capital of over UAH 30 million, which has no criminal record in the field of economic activity and is not a resident or ultimate beneficiary of the aggressor state, will be able to obtain a permit.

The area of the hotel should be more than 10 thousand square meters, the play area has more than 200 employees.

The state budget will have a special fund to support medicine, sports and culture, which will receive payments for licenses.

The law defines the special status of the authorized body - the Commission for the Regulation of Gambling and Lotteries. The document prescribes the procedure for competitive selection, appointment and dismissal of its members, the procedure for their decision-making.

Law enforcement officers will be held responsible for inaction in conducting illegal gambling or lotteries. They face up to 6 to 8 years in prison.


Why was the gambling business banned in 2009?

Gambling in Ukraine was banned in 2009 for political reasons. Neighboring Russia in the late 2000s decided to limit the gambling business in several artificial zones and demanded that Russian players not take money from Russia to Ukraine. The ban became a joint action between the then Ukrainian and Russian authorities. The experiment in Russia with the localization of the gambling business in some areas failed, and the ban in Ukraine remained.


Does the adoption of the law mean the emergence of Ukrainian Las Vegas?

Creating a single place for the whole territory, where there could be a gambling business, is an approach that is not universal, it could work in America, but has repeatedly lost in other countries. Many have already tried to concentrate the gambling business in a separate area or in one locality. But the thing is, Las Vegas is not just gambling, it's also a cultural phenomenon. They go there not so much for the game, but for certain impressions.

Ukraine needs to bring order to this area and take control of gambling. In particular, establishing strict liability for violations, including for law enforcement.


Regional State Administration
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