RIGA, Feb 5 (LETA) - Riga City Council is planning to ban gambling almost in the entire city, according to a new regulation drafted by the municipality.

The new regulation will define areas in the city where gambling will be banned. The main aim of the regulation is to make Riga gambling-free, Riga Mayor Vilnis Kirsis (New Unity) told a press conference today.

Gambling will not be allowed in municipal properties, neighborhood centers, buildings of cultural significance and adjacent territories, and other certain areas.

Gambling will not be allowed in territories of educational institutions and in an area in a radius of 300 meters around them, railway stations, bus stations, airports, ports and within 500 meters of them, within 300 meters of public transport stops, as well as in territories of private homes, low-rise and high-rise residential buildings and within 300 meters of the boundaries of these areas.

In accordance with the proposed restrictions, gambling may only be organized in certain small areas, such as Dreilini, Mukupurvs, several places near the airport, and several industrial areas.

Kirsis believes that the regulation could be adopted in March. However, decisions on the closure of specific gambling venues will most likely have to be taken by the next Riga City Council.

Olympic Casino Latvia CEO Juris Celmars claims that the proposed restrictions are not aimed at balancing out the interests of gambling businesses and the public, which both the Constitutional Court and the Supreme Court have pointed out in their past judgments.

In his view, such a total ban could encourage the development of a new niche in the underground economy - illegal gambling venues - as many people choose gambling as a pastime, both online and in physical venues.

"This is not a problem at the moment, but by preventing a legal and well monitored industry from operating, consumer demand will be met by illegal venues," says Celmars.

Latvian Interactive Gambling Association reminds that decisions of Riga City Council must be proportionate and legally correct. If not, the industry will have no choice but to turn to courts again to defend its rights and ensure a proportionate solution. "As a result, the industry's losses and legal costs may have to be compensated from the city budget," said the association.

The industry has repeatedly and consistently expressed its willingness to cooperate with Riga City Council to arrive at rational and well thought out solutions and to avoid protracted litigation, but the municipality has so far shown no willingness to listen to or cooperate with the industry, said the Interactive Gambling Association.

As reported, the Constitutional Court ruled on April 4, 2024 that restrictions on gambling halls in the administrative territory of Riga previously proposed by Riga City Council were unconstitutional.

When introducing restrictions on a particular commercial activity, the municipality's decisions must be objectively justified and based on rational considerations, the Constitutional Court pointed out.

The case was examined following complaints filed by several entities that had obtained gambling licenses in the administrative territory of Riga based on permits issued by the municipality.

The contested provision stipulates that providing gambling services is not allowed in the entire administrative territory of Riga, except if such gambling venues are located in four- or five-star hotels.

The Constitutional Court concluded that Riga City Council had failed to justify why organization of a gambling business was prohibited in different areas of the city where commercial activities were otherwise permitted.