How Do Different Countries Combat Illegal Gambling?

Publication date: 22 Oct 2024

All over the world, gambling is closely monitored by official authorities. In some countries, all types of betting and gambling are prohibited, while in others they are allowed, actively developing and bringing revenue to the state budget. In any case, however, the “shadow” sector is developing simultaneously, creating a threat to security and economy. For example, according to UN data for 2023, the damage from illegal online gambling in Southeast Asia amounted to 37 billion dollars. And in South Africa’s legal gambling market, 62% of online casinos and bookmakers operate without a license.  To combat illegal gambling, laws are being passed that impose harsh penalties, fines and jail time. On 3S.INFO, let’s look at some of the strictest measures and penalties enacted in different countries.

There are different ways to fight illegal gambling: fines and imprisonment for organizers, blocking of websites, control of payments.

Top 5 strict measures against illegal gambling

1. The Philippines has had POGOs (Philippine Offshore Gaming Operators) – licensed operators offering online gambling to foreign players – since 2003. Despite the legal status of these operators, some companies began operating without licenses or evading taxes. In July 2024, the President of the Philippines decided to ban the creation of new POGOs and the closure of existing ones by the end of this year. The President cited rising cases of financial fraud, the rapid increase in crime, and the reputational cost to the country. Philippine authorities also arrested Liu Dong, a Chinese national and powerful crime boss considered the “boss of all bosses” associated with the POGO sector. Organizing and participating in illegal gambling in the Philippines can result in hefty fines of up to 5 million Philippine pesos (approximately $90,000) and prison sentences ranging from 6 months to 6 years.
2. Gambling, both traditional and online, is strictly illegal in Indonesia. Indonesia has some of the toughest anti-gambling laws in the world. According to the Indonesian Penal Code, organizing or participating in gambling is punishable by up to 10 years in prison. Despite the strict laws, gambling and betting remains a fairly acute problem for Indonesian authorities, with more than 3.2 million citizens gambling online in 2023. As part of the fight against illegal gambling activities, the Indonesian government has blocked about 3.8 million online casino and betting sites in 14 months. An important measure was the cooperation with banks and payment systems, which resulted in the freezing of 7,599 bank accounts and 573 e-wallets involved in illegal transactions.
3. Gambling, with the exception of lotteries, is illegal in mainland China. Participating in or organizing illegal gambling can result in fines of up to 3 million yuan (approximately $460,000) and imprisonment for up to 10 years.  State authorities are working to implement facial recognition and blockchain technology to track transactions. According to China Daily, courts across the country handled nearly 27,000 criminal cases related to illegal gambling between January and September 2024. This is a 10 percent increase from the same period in 2023. In the past four months, Chinese police have busted more than 500 criminal groups involved in illegal betting and gambling operations. In particular, Hong Kong police arrested 12 people suspected of running an international gambling syndicate that spanned Hong Kong and several Southeast Asian countries. These actions underscore the Chinese authorities’ determination to vigorously combat criminal gangs and gambling violations.
4. In India, the fight against gambling is regulated at both the federal and state levels. In recent years, the number of illegal online casinos and betting sites has increased, forcing the authorities in some states to take additional measures. For example, Tamil Nadu state authorities have taken legal action against influencers who promote illegal gambling platforms. State legislation punishes the promotion of illegal gambling with a fine of 5 to 10 lakhs (US$6,000 to US$12,000) and/or imprisonment for up to 3 years.
5. In Kazakhstan, the fight against illegal gambling is conducted at the state level. Since the beginning of 2024, 6008 online casinos have been blocked in Kazakhstan. Moreover, 103 administrative offenses related to gambling were recorded in Kazakhstan from January to August 2024 (4.5 times more than the figure for the same period in 2023). In addition, Kazakhstani authorities regularly conduct raids against underground casinos and gambling halls. Recently, the authorities liquidated a large online casino network. According to the Financial Monitoring Agency of Kazakhstan, 20 citizens of this country were detained, who organized poker games through the free application Club GG and Telegram-channel. Since the beginning of the year, the total amount of online casino income amounted to more than $114 thousand. State bodies also carry out preventive work among the population aimed at raising awareness of the harm of gambling. In particular, the Ministry of Tourism and Sports of the Republic of Kazakhstan approved a “Comprehensive plan to combat illegal gambling and ludomania for 2024-2026”, which provides 42 measures in different areas.

Control over “gray” gambling is strengthening day by day. In October 2024, the results of a large-scale international operation to combat illegal betting, which was conducted by Interpol, were announced. Authorities from 28 countries and territories participated in the SOGA X operation, which took place during Euro 2024. As a result, more than 5,100 arrests were made, the activity of several tens of thousands of online platforms was stopped, and approximately US$60 million was seized.

Nevertheless, liberal gambling regulation is still an effective alternative to strict control, allowing legalization and control of gambling activities, while minimizing illegal operations and social risks.