Revised proposals from 15 German states for a new treaty on internet gambling have been reportedly criticised by the European Commission.

Germany

The EC outlined its criticisims in a letter not yet published but seen by Reuters, saying that it needed evidence that the planned restrictions were justified.

According to Reuters, the EC said that it welcomed changes that the 15 states had made in areas such as stake sizes and the number of licences that could enable companies to operate profitably, but it did not have the information to assess the viability of the proposed system.

It also said that the states had not provided data to support a ban on online casino and poker games on the basis that the games were vulnerable to rigging, had significant potential to become addictive and could be exploited for the purpose of money laundering.

The commission said it could bring infringement procedures if, following the implementations of the law, it proves to unjustifiably restrict competition and a European operator's freedom to provide services.

Germany's 16 states currently have a state monopoly on online gambling. However, in December, 15 of them backed a new gambling law that would award 20 nationwide licences to sports betting companies.

The German state of Schleswig-Holstein last year passed its own gambling legislation.