Mexico Adapts Online Gambling Laws

A long awaited update to Mexican gambling legislation adapts several essential aspects of existing law to current gambling environments and activities that are rapidly spreading across the country. The legislative update is due to be passed later this month to address a population of 120 million, which makes Mexico North America's second largest online gambling market.

Fast-Tracked Through Congress

The updates have been drafted by the Mexican gaming regulation body: the Association of Licensees, Operators and Suppliers of Gaming and Entertainment in Mexico (AIEJA). The legislative initiative will be introduced to Parliament on September 9; where it must be approved by Mexico's House of Representatives. The full approval and completion of the update's formal course through Parliament is expected as early as September 20th, according to AIEJA President Miguel Angel Ochoa Sanchez.

To Rapidly Regulate Ongoing Activity

The need to update the country's existing gambling code is related to other corrupt activities which have been associated with gambling in a nation that faces an ongoing battle against corruption. Illicit activities which will be addressed with this update include money laundering and illegal trafficking of all kinds, with prohibitions expected to specify the activities which will be prohibited but which have for a long time been funded by (or funded) gambling activities. The new legislation is expected to focus on conditions for provider licenses at this point, with more player-specific conditions added as needed down the road.

The new legislation is designed to address and curtail the cropping up of quasi-illegal (translation: unregulated) side gambling shops, offering gambling outlets with slot machines or sports betting available through in rooms adjacent to legitimate businesses such as drug stores. Measures in the new legislation include confiscation of gaming devices found in these sideshops as well as significant fines. The key to the legislation language is identifying the types of gambling activity that take place in Mexico and will be tabbed for regulation.