Ukraine will announce a new state agency, PlayCity, to oversee and regulate gambling activity.
The entity will become the successor to the Commission for the Regulation of Gambling and Lotteries or KRAIL. President Volodymyr Zelenskyy signed off on Law No. 9256-d, leading to its liquidation in early 2024.
Parliamentary cabinet representative Taras Melnychuk disclosed early details in a Telegram message over the weekend. The information revealed that PlayCity will serve as a central executive body, ensuring compliance with Ukraine’s gambling and lottery policies.
Melnychuk added the body will fall under the oversight of the Cabinet and the remit of the Deputy Prime Minister for Innovation, Education, Science, and Technology Development, Mykhailo Fedorov.
Fedorov also serves as the Minister of Digital Transformation.
PlayCity will take on its operational activity with a team of 61 staff, as the effective replacement for KRAIL. This matches the number of employees laid off from the former regulator.
The new entity will be located in the same premises recently occupied by KRAIL.
Heralded the end of KRAIL, Law No. 9256-d will also see the introduction of increased accountability for gambling platforms, as well as an extensive ban on gambling advertising.
Regulators will permit online advertising but prohibit targeting consumers under 21. TV ads will only air between 11 PM and 6 AM.
Regulators will allow limited sponsorship opportunities only in sports.
The sweeping legislation aims to eliminate corruption in the gambling sector, addressing concerns about the regulator’s integrity and performance.
KRAIL faced controversy following allegations of bribery and misconduct involving high-ranking officials.
Ukraine’s Anti-Corruption Bureau or NABU held Yehven Hetman, KRAIL officer in August 2021, on charges relating to a bribe of over $90,000. He allegedly issued licenses for gambling venues in the Chernihiv and Zaporizhzhia regions without following due procedure.
