Alderney is one of the British Channel Islands that are self-governing and they are not part of the United Kingdom or European Union. Channel Islands are known as one of the leading centres of world offshore finance and, in the last years, they have turned into an excellent ecommerce centre. Alderney is the third largest of the Channel Islands. It has its own government, laws and corporate regulation and operates in the same Guernsey’s modern system concerning banking laws, insurance and investment. The Guernsey Financial Services Commission is a statutory body which is responsible to assure that the Guernsey’s and Alderney’s financial sector is well regulated. Alderney is subject to the provisions of Guernsey’s tax laws.

The Alderney Gambling Control Commission (AGCC) was established in May 2000. The Commission, composed by the President and three members, is independent and non-political, it regulates the eGambling on behalf of the States of Alderney. The Commission is here to ensure that its regulatory and supervisory approach meets the highest international standards. The Commission's mission is to ensure and maintain the integrity of electronic gambling in Alderney.

Licensees in Alderney are allowed by law to use the Alderney’s and Guernsey’s modern hosting services and reliable telecommunications networks. For international network connections, the telecommunications network of Guernsey and Alderney offers easy access, high reliability and capacity as far as concerns connectivity in the United Kingdom, Europe, USA and Asia.

Goals of the Gambling Control Commission (AGCC)

The Commission's objective is to protect the reputation of Alderney as eGambling first level of jurisdiction, trying to ensure that:

• all the electronic gambling in Alderney are conducted honestly and properly;
• management, financing and working of Alderney’s electronic games are kept safe from criminal influences;
• electronic gambling is regulated and monitored in order to protect licensees and their players’ (specifically younger people) stakes;.
• The Commission has the responsibility to protect player and continue to work with its licensees to develop further measures in order to minimize the risks of underage e-gambling.

In conclusion, AGCC's first mission is to provide a regulatory platform that meets global standards and attracts first class casino operators.

AGCC is strictly connected with other international regulatory bodies, such as the British Gambling Commission, the Nevada Gaming Control Board and the New Jersey Division of Gaming Enforcement, especially regarding probity and due diligence investigations.

The Commission also maintains contacts with many organizations, such as the Guernsey Financial Services Commission (GFSC), the Guernsey Financial Services Intelligence, the Police of Guernsey, the Credit Bureaux and Dixon Wilson, a London-based group of auditors, particularly experienced in the gaming industry.

In 2002, it promoted AGLF Institution (Alderney Gambling Licensees Forum). The forum is open to all licensees. It meets every three months to analyze issues regarding common interests, like system testing, control systems and laws. Mr. Phil Cronin, general manager of Tombola Ltd (Alderney), is currently the chairman of the forum.

Types of Licenses

Applications may be submitted to the Commission for the following types of licenses and certificates:

• License category 1
• License category 2
• A certificate proving you are a service center associate – (it approves the provision of gaming software to a specific Alderney licensee)
• A certificate of association of foreign Gambling – (that is a subject to which a "category 1" eGambling licensee moves customers, or allows them to be moved, in order to enable that entity to conduct gambling transactions with the customer or get those customers ready to play with others)
• A certificate of hosting - (may be obtained from the supplier of the places where gambling facilities of concessionaires and owners of associated certificate are located. Certificates are required for hosting the places where gambling facilities are located if they are based on Guernsey)
• A temporary eGambling license - (A temporary eGambling license has the same obligations and privileges as a full eGambling license, except for what is specified by law or regulation and what is expressly dispensed by the Commission)
• The individual key certificate

As you can see from the list shown above, there are two categories of licensed eGambling:

• Category 1 license authorizes the organization and planning of gaming operations, namely the registration and verification of the players, the contractual relationship with them, and the fund management of the player.
• Category 2 license authorizes to make the game transaction, including the operative management of a gaming platform located in an approved hosting centre.

Depending on the suggested operations, an organization can require one or both types of license.

Application to obtain License and start-up process

Step 1: Question

• * An applicant for a license is required to create a company registered in Alderney and to publish a notice of application in the Official Journal of Alderney. The application form for this notification is provided in Rules Attachment number 1, that you can find on the official website.
• The company registered in Alderney submits an application to AGCC. The question should be composed of:
  • A signed copy of the application form and any relevant supporting documentation
  • Payment of € 10,000 to AGCC for the initial survey
  • After receiving the application, the chief inspector will arrange a meeting with the applicant to improve a better understanding of:
    • Business plan and proposals for eGambling operations;
    • Potential business partners and executives, including third party software suppliers;
    • The business entities involved in the application;
    • People who may need to submit applications for individual key certificate

At this point the Commission will evaluate the application and take its decision. If the request is successful, the license will be issued on payment of the fee for the certificate.

STEP 2: Preparing to launch the operation.

Before a licensee can be fully "active" or operative, there are several areas of activity to be confirmed and approved. Summarizing, the AGCC has to approve:

• An internal control system;
• Gaming platform;;
• The status of the licensee's market capitalization.

Licensees

The Commission has a register of licenses and certificates of eGambling. The register is available by reservation at the offices of the Commission for public inspection.

In the official website you could read up on licenses and certificates currently available:

• eGambling licenses
• Associate Certificates
• Hosting Certificates
• Temporary eGambling licenses

Players

The Commission controls the Gambling industry to ensure that gaming operations are conducted honestly and fairly, remaining free from criminal influences. Gambling may not cause damage to the public in general terms, from families to individuals. The ways in which the Commission defends players are the following:

• It evaluates the background of the various entities involved in gambling products, including the resources of their funding and the final beneficiaries of the authorized person;
• It evaluates internal controls and operational procedures applied by the operator licensee to ensure that controls are sufficient to reduce risks associated with gambling;
• It evaluates safety, accuracy and verifiability of the gaming systems used in the creation of available games;
• It evaluates advertising and marketing policies of licensees;
• It investigates complaints from players injured;
• It evaluates approval and continuing review of policies regarding the protection of the gambler and underage, including:
  • Registration of the customer;
  • Verification of the customer;
  • Client's funds [such as deposits, withdrawals, payments];
  • Limitation of customer's activity;
  • Customer consulting.
  • Customer complaints.