Bank Customer in Austria Aims to Recover Online Gambling Losses from Financial Institution
Player Challenges Maltese Law Seeking Refund of €27,000 Lost in Illegal Online Casino
Published on: 06.05.2025. Last updated: 22.05.2025.
An Austrian gambler is seeking a refund of €27,000 lost at an illegal online casino based in Austria, despite Maltese law preventing such refunds. The saga, reported by Der Standard, unfolds as the player plans a third-party liability lawsuit against the bank holding the gambling enterprise's funds.
The illegal status of the online casino, operating both in Austria and numerous other jurisdictions, is undisputed. However, gambling companies headquartered in Malta are sheltered from foreign litigation by Bill No. 55, a law often criticized for its protective stance. This law, currently under EU Commission scrutiny, prohibits Maltese online casinos from being compelled to refund losses resulting from illegal activities.
In December 2024, the Austrian Supreme Court (OGH), under case number 3 Nc 72/24d, ruled that such refunds could be enforced within Austria. However, the operator of the online casino in question is not expected to comply with this legal decision.
In response, the player has turned to the bank where the gambling company's funds are held, but so far, the bank has declined to release the money voluntarily. To strengthen her claim, the player has decided to sue the bank, seeking a third-party liability lawsuit. This strategy, also being pursued by German lawyers, targets companies indirectly involved in illegal activities.
The question of whether foreign online casinos can legally operate in the EU without a local license was due to be addressed by the European Court of Justice on 09. April 2025. While the ruling referred specifically to Germany, it is expected to have implications across the EU. The debate centers around whether national gambling laws within the EU are more pertinent than the framework provided by the freedom to provide services. A final decision, however, is not expected until 10. July 2025. Furthermore, the case refers to a past period, and it remains uncertain if this will lead to any future guidance.
If the lawsuit against the bank fails or the payout is delayed, the plaintiff has considered claiming bank deposits held at the European Central Bank (ECB). However, experts believe that such a process could drag on for years, as the verdict could set a precedent that requires careful preparation. Since such cases in Austria last for 30 years, there seems to be no rush to expedite a decision.
It is noteworthy that the player has assigned her claim to litigation funder Jufina and may have already received a portion of her money.
The Maltese Gaming Authority (MGA) is focusing its regulatory actions on eliminating unauthorized gambling operators, issuing public warnings and penalties for false license claims, as demonstrated with platforms like Casinowinner.io. The Authority emphasizes protecting players by removing bad actors from the market, but does not typically involve banks in these actions. Players losing money on unauthorized platforms should seek redress from the operator, although recovery is often challenging due to the operators' unauthorized or fraudulent nature.
- What if the bank's release of the funds doesn't materialize as planned, could the player potentially claim bank deposits held at the European Central Bank (ECB)?
- Despite Maltese law prohibiting Maltese online casinos from refunding losses resulting from illegal activities, the Austrian player plans to sue the bank holding the gambling enterprise's funds, following the example of German lawyers targeting companies indirectly involved in illegal activities.
- As the Maltese Gaming Authority (MGA) focuses on eliminating unauthorized gambling operators and penalizing false license claims, it's the responsibility of players to seek redress from the operators when losing money on unauthorized platforms, even though recovery can be challenging due to the operators' unauthorized or fraudulent nature.
