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3 years on from its David and Goliath clash with the U.S., tiny Antigua takes the next step in the ongoing dispute
After three years of wrangling in World Trade Organisation procedures with the United States, the island nation of Antigua and Barbuda has initiated investigations into the alleged non-compliance of the US with certain WTO rulings.
A new WTO investigative panel has been requested by the islanders in order to enquire whether US restrictions on internet gambling breach world trade rules. US laws banning interstate betting over the internet will be examined by the investigators, who are required to report back to the WTO within 90 days.
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The Caribbean state of Antigua and Barbuda, host to many online casinos, has been in a long-running battle with the US over the legality of its stance on the industry. The WTO earlier found that some of the US laws were not in line with trade rules, though others were permissible, and it recommended that the non-compliant rules, which referred to Internet horse race betting, be addressed.
Antigua and Barbuda claim the American online gambling prohibitions are hampering the country's economy. The island government has invested heavily in the industry in a bid to lessen its reliance on the tourism sector, and it says three US laws are preventing companies from legally accepting bets from the US.
The announcement of the WTO investigation comes during a month of turmoil for the online gambling industry, with anti-online gaming legislation being passed by the House of Representatives in the USA, and the arrest by the Department of Justice of a senior online gambling executive on his way through the USA to his Costa Rican base.
The Antiguan authorities asked for the panel to be set up after negotiations with the US broke down.
Trade partners who fail to implement WTO rulings often find themselves hit by sanctions - for example, extra tariffs on their exports.
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