The bill would create a new regulator and give existing operators one year to update licences, documents and technology systems
The Dominican Republic’s gambling reform bill has completed its passage through Congress and is awaiting a decision from the Executive Branch.
Lawyer and gambling specialist Yamile Gutiérrez has urged operators to begin assessing the regulatory, corporate and technological changes they would need to implement if the bill is enacted.
The proposed legislation would establish a consolidated framework covering casinos, lottery outlets, sports betting, horse-racing agencies, bingo, gaming machines, virtual games and online gambling.
At the centre of the new system would be the Dirección General de Juegos de Azar (DGJA), an autonomous authority responsible for regulating, supervising and inspecting the industry.
Yamile Gutiérrez, lawyer and gambling specialist
“This is the moment for every operator to conduct a regulatory assessment of its business.”
Operators would receive one year to comply
Existing operators would have one year from the legislation’s entry into force to regularise their position, update corporate and licensing documents and connect their technology platforms to the required regulatory systems.
Electronic lottery concessionaires operating through government contracts would also have one year to replace those agreements with licences issued under the new framework.
Operators would face increased scrutiny of shareholders, directors, administrators and ultimate beneficial owners. These requirements are intended to provide the regulator with greater visibility of the individuals controlling licensed businesses.
Online gambling would become subject to a specific licensing system and technological controls designed to identify and prevent unauthorised operations.
The proposed licence periods would vary according to activity:
- Three years for bingo operations
- Five years for lottery outlets, virtual games and horse-racing agencies
- Ten years for casinos, sports betting outlets, gaming machines and online gambling
The proposal also introduces responsible gaming requirements, including measures to prevent minors from gambling, mandatory warning notices at gaming establishments and provisions addressing gambling-related harm.
Compliance required throughout licence period
Gutiérrez warned that obtaining a licence would be only the first stage. Operators would be expected to maintain continuous compliance throughout the authorisation period.
The bill includes an enforcement regime ranging from administrative fines and temporary closures to licence withdrawal, disqualification of company directors and criminal penalties.
According to Gutiérrez, directors and shareholders could face prison sentences of up to ten years for certain serious violations.
The bill still requires action from the Executive Branch and its provisions will not take effect unless it is promulgated. Operators should therefore monitor the final text and any implementing regulations before making definitive compliance decisions.
Yamile Gutiérrez, lawyer and gambling specialist
“There will be no real transformation while complying with the law remains more expensive than breaking it. Those who comply operate; those who fail to comply face consequences.”
