Georgia Proposes Steep Increase in Fines for Gambling Licence Violations

The Georgian government has put forward draft amendments to Parliament that would significantly raise financial penalties for breaches of gambling licence conditions, signaling a tougher stance on regulatory enforcement across the sector.

The proposed changes fall under the law “On Arranging Lotteries, Gambling and Prize Games,” and lawmakers are expected to examine the bill in the coming weeks.

Under the draft legislation, fines for casino operators and online gambling providers would jump considerably, increasing from €2,200 to €6,300. Slot machine salon operators would face an even more dramatic rise, with penalties climbing from €300 to €3,100.

Authorities say the current system has proven ineffective, as some operators find it cheaper to pay fines than to comply with regulatory requirements.

The reforms aim to tighten oversight across both land-based and digital gambling operations. In particular, casino operators would see their fines for violating licensing conditions increase from 7,000 Georgian lari (GEL) to 20,000 GEL.

Slot machine salons, which currently face relatively modest penalties, would experience one of the steepest hikes, with fines rising from €316 to €3,160. Similarly, gambling clubs and operators of prize games would see their penalties increase from €632 to €3,160.

The proposed amendments also extend to online and system-based gambling formats, including casino-style games, slot machines, and totalizators—a pooled betting system commonly used for sports and racing events. For these operators, fines would rise from €2,210 to €6,320, aligning them with the highest penalty tiers outlined in the bill.

In its explanatory note, the government argues that existing sanctions have failed to ensure compliance. Officials describe the current fines as insufficient, stating they are “too low to serve as an effective deterrent.” The note further explains that some licence holders deliberately weigh “the cost of compliance against the cost of punishment” and opt for whichever is less expensive, a practice the new measures aim to eliminate.

By sharply increasing penalties across all major categories, the government intends to close this gap and reinforce adherence to licensing rules throughout Georgia’s gambling industry.

By fLEXI tEAM