Substantial fine for Greek gaming giant by Hellenic Competition Commission

Lea Hogg October 2, 2023
Substantial fine for Greek gaming giant by Hellenic Competition Commission

The Hellenic Competition Commission (HCC) has imposed a substantial fine of €24.6 million on OPAP, Greece’s prominent gaming company, for violating competition laws. The investigation, spanning the years 2017 to 2021, was triggered by complaints lodged by two parties: the Hellenic Cooperative of Professional Lotteries’ Agents (SEPPP) and a coalition of other agents. The complaints allege that OPAP’s 2017 exclusivity agreement contained “non-compete clauses” under Article 13, which extended to ancillary activities.

The accusations included charges of anti-competitive practices and the exploitation of market dominance, prompting concerns over potential violations of both the Greek Competition Act and European Union competition regulations.

Contravention of Greek and EU competition law

The HCC’s investigation took a comprehensive approach, encompassing OPAP’s land-based gaming activities, which include sports betting, lotteries, gaming machines (including OPAP Video Lottery Terminals and casino slot machines), state lotteries, and horse-race betting. Additionally, it scrutinized ancillary services such as bill payment, money remittance, and distribution of third-party products.

Following a thorough examination, the HCC reached the conclusion that OPAP had indeed engaged in non-compete and tying practices across all relevant markets, thereby contravening both Greek and EU competition law. Moreover, OPAP’s contractual commitments in ancillary markets were found to obstruct competition and innovation, potentially affecting the availability of products and services. Consequently, OPAP has been ordered to cease these practices and has been cautioned about facing a daily fine of €10,000 for non-compliance.

Discrepancy in allegations

In response to the HCC’s decision, OPAP expressed strong disagreement, characterizing it as “fully baseless.” The company released a statement categorically denying the alleged practices and announced its immediate intention to appeal the decision before the relevant courts. OPAP stated that the HCC’s decision pertains specifically to bill payment services and mobile top-up services offered by its agencies, rather than its core gaming business. Additionally, OPAP pointed out discrepancies between this decision and one of the authority’s prior rulings, as well as numerous judgments by civil courts.

OPAP argued that the HCC’s decision was founded on flawed assessments of market conditions, a deficient data collection process, insufficient examination of evidence, and an arbitrary interpretation of regulatory frameworks governing its agency operations. Furthermore, OPAP criticized the calculation of the imposed fine, contending that it was based on the company’s total turnover rather than the smaller turnover specific to the markets where the alleged violations occurred.

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