SWITZERLAND Law and Practice Contributed by: Simon Planzer and Florian Furger, PLANZER LAW
ited, as is indirect advertisement (ie, the advertising of free gaming offers). According to Article 76 of the Gaming Ordinance, advertising for games that do not require any stake or do not result in the distribution of prizes is subject to the restrictions and prohibitions set forth in Article 74 of the Gaming Act if: • the games are offered by an operator whose main offer consists of games involving stakes and prizes; and • the player can detect a connection between games without stakes and prizes and games including stakes and prizes offered by the same operator. In addition to the legal framework, which imposes some advertising restrictions, the Swiss casinos have voluntarily opted to commit to abstain from television advertisements prior to 10 pm. Online casinos use the slogan “Gamble responsibly” in their advertising. 9.5 Sanctions/Penalties Pursuant to Article 131 (1) of the Gaming Act, a fine of up to CHF500,000 can be imposed on anyone who intentionally advertises games that are not authorised in Switzerland or who advertises licensed games by aiming the advertising at minors or persons who are barred from playing. 10. Acquisitions and Changes of Control 10.1 Disclosure Requirements According to Article 13 of the Gaming Act, the licen- see must notify the ESBK of: • all significant changes to the licensing conditions; • the name or company name and address of share- holders holding more than 5% of the shareholder capital or the votes; and • any changes in shareholder capital or voting rights, or in the identity information referred to under 4.6 Application Requirements . 10.2 Change of Corporate Control Triggers Article 13 (b) of the Gaming Act requires the licensee to notify the ESBK of the name or company name and address of shareholders holding more than 5% of the
shareholder capital or votes. Furthermore, Article 7 (1) of the Gaming Ordinance holds that “beneficial own- ers” are persons whose direct or indirect participation in the applicant’s shareholder capital amounts to at least 5%, as well as persons or groups of persons associated with voting rights who hold at least 5% of all voting rights. The same provision requires that persons holding such a participation shall inform the ESBK of whether they hold the participation for them- selves or on a fiduciary basis for third parties, and whether they have granted options or similar rights to others for such participation. 10.3 Passive Investor Requirements See 10.2 Change of Corporate Control Triggers . The ESBK is the supervisory authority in the casino sector and monitors compliance with casino regula- tions and licensing requirements; it also takes enforce- ment actions against illegal gambling. Pursuant to Arti- cle 97 (1)(d) of the Gaming Act, the ESBK co-operates with domestic and foreign supervisory authorities. Its powers of enforcement are of both an administrative law and a criminal law nature. As per administrative law, the ESBK can send warning letters to unlicensed online operators and put their websites on a blacklist; ISPs are then required to block these websites. As per criminal law, the ESBK can prosecute illegal gambling offers by opening criminal proceedings and collaborating with other domestic enforcement offices. 11. Enforcement 11.1 Powers In the lottery, betting, and skill gaming market, similar legal norms exist for Gespa. According to Article 107 (1) of the Gaming Act, Gespa takes actions against illegal gambling and co-operates with domestic and foreign supervisory authorities. It can take the same enforcement actions of an administrative law nature as the ESBK (warning letter, blacklisting, and domain blocking). While Gespa can conduct administrative proceedings independently (eg, in relation to compli- ance with AML rules and the security concept and social concept), it cannot do so in the field of criminal proceedings; it can only inform and support the law enforcement authorities.
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