The Council of State’s Administrative Law division in the Netherlands has ruled against Imperial E-Club in an igaming appeal against the Gaming Authority.

In 2014, the Dutch gaming regulator imposed a €200,000 fine on the company for offering online games to home customers without a licence. Imperial E-Club, based in Antigua and Barbuda, did so through seven websites, according to the Dutch regulator.

The Council of State asserted that the Gaming Authority was correct on all fronts, after Imperial E-Club argued during the lawsuit that their policy is in conflict with EU regulations guaranteeing free movement of services. The Council of State did not take part in this argument due to Imperial E-Club’s base outside of the EU.

Imperial E-Club also objected to the prioritisation policy of the Gaming Authority, which places a focus mainly on the Netherlands, claiming that it is contrary to the prohibition of arbitrariness and the principle of equality and proportionality. The Council of State found that this was “not unreasonable.”

Another objection lodged by Imperial E-Club was that the Gaming Authority did not prove beyond any doubt that prohibited behaviour took place. The Administrative Law division rejected this, citing that the websites used icons with the Dutch flag through which the sites could be viewed in the Dutch language. They also used iDeal as a payment method, which is only suitable for transactions between Dutch bank accounts.