This week, the Caribbean nation of Antigua and Barbuda officially asked the World Trade Organization's Dispute Resolution Panel for $3.4 billion in trade sanctions against the United States for not complying with a WTO ruling that said the U.S. is in violation of WTO rules by working to prevent its citizen's from playing poker and gambling online.
It said it would seek sanctions last month. An arbitration panel was established this week to take on the matter and is expected to rule in 90 days.
Also, according to reports, an attorney representing the U.S. in this matter told the panel that the U.S. now acknowledges that it's in violation of WTO statutes because its current gambling laws contradict WTO agreements.
This is a stark change to the U.S.'s original opinion of the ruling. After the WTO ruled in May that the U.S. is in violation of the General Agreement on Trade in Services (GATS) because its current anti-gambling laws were used to prosecute proprietors of online gambling sites located in Antigua, the U.S. disagreed, saying it wasn't in violation of WTO rules because it had no idea that online gambling would be included in a clause outlining recreation.
Officials then said by revising the agreement, it would no longer be in violation. The Office of the U.S. Trade Representative is working to revise the code in a way that it says would put the U.S. in compliance with the GATS.
Other WTO members that said they will seek sanctions in support of Antigua and Barbuda - which happens to be the smallest member of the WTO - are the European Union (made up of 28 nations), China, Mexico, and Japan. Their cases will be heard separately.
Calls and emails made this morning to the attorney representing Antigua, the Office of the U.S. Trade Representative, and officials in Antigua were not returned as of press time.
