Section XIX

Act No. 171/2005 Coll. on gambling games (including amendments to certain laws) shall be

amended as follows:

1. In Article 3(1), first sentence, after the word “player” there shall be inserted the words “after placing a

stake”.

2. In Article 3(4)(c), the words “SKK 10” shall be replaced with the words “at the level of 50 euro cents”.

3. In Article 3(4)(f), the words “SKK 50,000” shall be replaced with the words “at the level of EUR

1,500”.

4. In Article 5(1), after the first sentence there shall be inserted a new second sentence reading as follows:

“In each casino there shall be at least five gaming tables.”.

5. In Article 5(1), second sentence, after the word “also” there shall be inserted the words “video

games,”.

6. In Article 10(2), subparagraph (f) shall be deleted.

7. In Article 10(4), there shall be inserted subparagraph (d) reading as follows:

“d) issue the authorization to conduct an inspection, if technical control is a part of such an

inspection.”.

8 In Article 11(1)(e), the full stop at the end shall be replaced with a comma and there shall be added the

following words: “whereas the costs connected with their participation in the technical control shall be

born by the authorized testing laboratory.”.

9. In Article 11(2)(a), after the words “execution of an inspection” there shall be inserted the words “or

the authorization to execute an inspection, if technical control is a part of an inspection.”.

10. In Article 12, there shall be added subparagraph (e) reading as follows:

“e) natural persons and legal persons promoting gambling games, for which no licence was granted or

issued, in the territory of the Slovak Republic.”.

11. In Article 20(6)(j), the words “fulfilment of obligation” shall be replaced with the words “blocking of

financial collateral under Article 36(2) and affirmation that no financial resources delivered from

loans, credits or other sources were used for making a financial collateral”.

12. In Article 23, paragraph (2) shall read as follows:

“(2) A decision on granting individual licence shall, in addition to the particulars set out in a

separate legal provision4), state the type of gambling game for which operation the individual licence is

granted, and the number of the account to which the respective tax shall be paid under Article 37,

approve the gambling plan of the gambling game and a specimen lottery ticket, if such tickets are to be

used by operation of the gambling game, and stipulate the commencement date of operation of the

gambling game and the period for which the individual licence is granted. The statement of the

decision on granting individual licence for operation of gambling games, which license is granted by

the Ministry, may also include other characteristics of technical equipment designated for operation of

gambling games.”.

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13. In Article 23(3), the full stop at the end shall be replaced with a comma and there shall be added the

following words: “or upon request of a gambling operator. If the individual license is withdrawn by a

municipality, the Ministry shall be informed of such withdrawal within 15 days from the date on which

the individual license withdrawal decision becomes final and conclusive.”.

14. In Article 24, paragraph (1) shall read as follows:

“(1) The Tax Authority covering the field of gambling games, having local competence for the

place where the gambling machine will be operated, shall provide the gambling operator, after

granting the licence to operate the gambling game by gambling machines, with an identification card

for each individual gambling machine. The gambling machine operator shall tag the gambling

machines with the identification card on the machine surface accessible to the supervisors in a manner

to prevent damage to the identification card through operation of the gambling machine. Until the

identification card is issued, the gambling machine can not be put into operation. The Tax Authority

covering the field of gambling games, having local competence for the place where the gambling

machine will be situated, shall communicate to the Ministry the number of identification cards issued

to the gambling operator within 15 business days after the end of the calendar month in which they

were issued.

15. In Article 24(3), there shall be inserted a new paragraph 3 reading as follows:

“(3) If the gambling operator relocates the gambling machine to an other municipality, he/she shall

return the issued identification card to the issuing Tax Authority under paragraph 1, and shall do so

before a new identification card is issued under paragraph 1. The Tax Authority under paragraph

1shall not issue the new identification card, until the original identification card is returned by the

gambling operator.”.

16. In Article 30(1), the words “within the scope of authorization” shall be replaced with the words

“performed within the scope of and under the conditions mentioned in authorization.”

17. In Article 30(2), the words “provide for” shall be replaced with the words “apply with the authorized

testing laboratory in writing for”.

18. In Article 32(3), after subparagraph (e) there shall be inserted a new subparagraph f) reading as

follows:

“f) gambling currency,”.

The existing subparagraphs (f) to (l) shall become subparagraphs (g) to (m), respectively.

19. In Article 35, after paragraph (16) a new paragraph (17) shall be inserted as follows:

“(17) The operator of gambling games operated by gambling machines shall submit to the Ministry a

document on making a financial collateral and a confirmation of fulfilment of the obligation under

Article 36(2) before filing an application for granting a licence to operate gambling games by

gambling machines and at each change in the amount of the financial collateral.”

20. In Article 36(1), the following sentence shall be added at the end: “The financial collateral shall not be

subject to execution proceeding under a separate legal provision.18a)”.

The footnote to reference 18a shall read as follows:

18a) Act of the National Council of the Slovak Republic No. 233/1995 Coll. on court distrainers and

distraint – the Distress Act - (including amendments to certain laws), as amended.”.

21. In Article 36(2), the introductory sentences shall read as follows:

“The applicant shall make the financial collateral to a separate account in bank or branch of foreign

bank, and the security deposit shall be blocked in favour of the Ministry during the whole validity

period of the licence. The applicant is not allowed to use as financial collateral the financial resources

coming from loans, credits or other external sources. The blockage can be cancelled only by a previous

written consent of the Ministry, if”.

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22. In Article 36(2)(c), the words “authority which granted individual licence to the operator or which

issued general licence” shall be replaced with the word “Ministry”.

23. In Article 36 (3), the words “or municipalities” shall be deleted.

24. In Article 36(4)(a), after the words “ticket lotteries” there shall be inserted a comma and the words

“instant lotteries”.

25. In Article 36(4)(d), the words “SKK 10,000,000” shall be replaced with the words “at the level of

EUR 750,000”.

26. In Article 36(4), subparagraph (e) shall read as follows:

“e) gambling machines, at the level of EUR 150 per each gambling machine but at least at the level of

EUR 60,000 for one gambling operator,”.

27. In Article 36(4)(f), the comma shall be replaced with the words “in a single casino,”.

28. In Article 36(4), subparagraph (g) shall read as follows:

“g) gambling games listed in Article 3(2)(e), at the level of EUR 750,000.”.

29. In Article 37(1)(k), the number “3” shall be replaced with the number “5”.

30. In Article 37(4), the words “SKK 100” shall be replaced with the words “at the level of EUR 5”.

31. In Article 37, after paragraph (7) there shall be inserted a new paragraph (8) reading as follows:

“(8) If the taxes under paragraph (1) were not paid within the maturity period, the supervisory

authority which administers the taxes shall begin to collect the overdue payment.”.

The existing paragraphs (8) to (11) shall become paragraphs (9) to (12), respectively.

32. In Article 40(4), the words “up to SKK 200,000” shall be replaced with the words “not exceeding the

level of EUR 5,000”.

33. In Article 41(2), introductory sentence, the words “over SKK 200,000” shall be replaced with the

words “exceeding the level of EUR 5,000”.

34. In Article 41(2)(b), the words “entry into force” shall be replaced with the word “issuance”.

35. In Article 42(1), at the end of the introductory sentence there shall be added the words “at the level”

and in subparagraphs a) and b) the words “SKK 200,000” shall be replaced with the words “EUR

5,000”.

36. In Article 48, paragraph (3) shall read as follows:

“(3) The stake per gambling game must not exceed 10 euro cents and the winnings per gambling

game must not exceed the amount at the level of EUR 15; this shall not apply to gambling machines

operated in casinos.”.

37. In Article 50(2), the words “SKK 100,000” shall be replaced with the words “amount at the level of

EUR 3,000”.

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38. In Article 51, paragraphs (2) and (3) shall read as follows:

“(2) For gambling games played through technical equipment operated directly by the players, the

minimum stake shall be the amount at the level of 10 euro cents and the maximum stake per position

must not exceed the amount at the level of EUR 10. The jackpot must not exceed the amount at the

level of EUR 3,000. These restrictions shall not apply to gambling games played through technical

equipment operated directly by the players in casino.

(3) For operation of video games, the minimum stake shall correspond to the amount at the level

of 10 euro cents and the maximum stake must not exceed the amount at the level of EUR 10 per

gambling game. The jackpot must not exceed the amount at the level of EUR 3,000. These restrictions

shall not apply to operation of video games in casino.”.

39. In Article 51(6), after the words “operated directly by players” there shall be inserted the words “or

five and more video game terminals”.

40. In Article 54(2), the words “SKK 100” shall be replaced with the words “at the level of EUR 5”.

41. In Article 54(7), the following sentence shall be added at the end: “Liability for any damage caused by

suspension of operation of a gambling game due to failure of the supervised entity to provide

cooperation shall be born by the respective supervised entity.”.

42. In Article 54, there shall be added paragraph 13 reading as follows:

“(13) If the fines or default interest under paragraph (1) were not paid within the maturity period,

the supervisory authority which imposed the fine or which administers the taxes shall begin to collect

the overdue payments.”.

43. In Article 56(1), the words “a gambling operator” shall be replaced with the words “a supervised entity

under Article 12(d)”.

44. In Article 56(2), the words “a gambling operator” shall be replaced with the words “a supervised entity

under Article 12(a), (b) and (e)”, after the word “plan” there shall be inserted a comma and the words

“the record of suspension of operation of a gambling game”, and the following words shall be added at

the end: “or promote gambling games, for which no licence was granted or issued, in the territory of

the Slovak Republic.”.

45. In Article 57(2), there shall be added subparagraph (e) reading as follows:

“e) the collection of overdue payments under Article 37(8) and Article 54(13).”.

46. In Article 57, after paragraph (2) there shall be added a new paragraph (3) reading as follows:

“(3) The collection of overdue payments under Article 37(8) and Article 54(13) shall be subject,

as appropriate, to the provisions of a separate legal provision on tax execution proceedings.22)”.

The existing paragraphs (3) and (4) shall become paragraphs (4) and (5), respectively.

The footnote to reference 22 shall read as follows:

22) Act of the National Council of the Slovak Republic No. 511/1992 Coll. as amended.”.

47. After Article 57, there shall be inserted Article 57a reading as follows:

Article 57a

The Ministry may issue a generally binding legal regulation laying down

a) requirements for equipment and systems used in operation of gambling games,

b) elements of application for expert examination of equipment and systems used in operation of

gambling games.”.

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48. After Article 58, there shall be inserted Article 58a which, including the heading, shall read as follows:

Article 58a

Transitional provisions

effective as of 1 January 2008

(1) Gambling operators and authorized testing laboratories shall ensure compliance of their legal

relations with this Act by the euro introduction date pursuant to separate legal provision.23)

(2) In a case of change in information and facts according to this Act, operators of gambling

games other than games referred to in Article 3(2)(d) who were granted individual licence under

existing provisions shall apply for amendment to the granted individual licence in accordance with

Article 21(13) by 30 June 2008 at the latest, otherwise the individual licence granted under existing

provisions shall expire at the end of the term for which it was granted but not later than as at the euro

introduction date laid down by a separate legal provision.23) Individual licence of the gambling

operators whose application for amendment to the granted individual licence according to the first

sentence was not approved shall also expire as at this date.

(3) For the purposes of proceedings on granting of individual licence to operate gambling games

through gambling machines in the year 2009, which license is granted by municipality, the euro shall

not be treated as a foreign currency; it shall apply also to proceedings initiated before 1 January 2009.

The provisions of Articles 36(17) and 36(2), first sentence, in the wording effective as of 1 January

2008, shall be for the first time applied before filing an application for granting a licence to operate

gambling games by the gambling machines for the year 2009.

(4) Expert examination documents concerning the equipment and systems specified in Article

30(2), which are certificates under Article 32 attached to application for granting or amending

individual licence in proceedings under paragraphs (2) or (3), shall state also information on the

gambling currency. Such certificates shall come into force on the date on which the decision on

granting or amending of individual licence which was issued in proceeding under paragraphs (2) or (3)

becomes final and conclusive. Upon the application of gambling operator, authorized testing

laboratory shall be entitled until 31 December 2010 to attest repeatedly the validity of such certificates.

Should an authorized testing laboratory not attest repeatedly the validity of such certificates as of 31

December 2010 at the latest, such certificates shall expire.

(5) Certificates issued under existing provisions shall expire as at the euro introduction date in the

Slovak Republic.23) Certificates expiring, according to the validity date stated therein, earlier than on

the euro introduction date in the Slovak Republic shall expire as at the date stated on the certificate.

(6) Proceedings under paragraphs (2) and (3) shall not be subject to time limits laid down by

existing provisions. The decisions of the Ministry or a municipality regarding the applications under

paragraphs (2) and (3) shall be adopted within 30 days from the date of filing of a complete

application.

(7) Proceedings on granting of individual licence, which were commenced but not validly

concluded before 1 January 2008, shall be concluded in accordance with the existing provisions.

(8) Proceedings on collection of overdue payments of taxes under Article 37 or sanctions under

Article 54(1)(e) and (f), which were commenced but not validly concluded before 1 January 2008,

shall be concluded in accordance with the existing provisions.

(9) For the purpose of conversion, to the Slovak korunas, of monetary rates which are stated in

euro cents or euros in this Act, during the period from 1 January 2008 to the date immediately

preceding the euro introduction date in the Slovak Republic the foreign exchange reference rate set and

published by the National Bank of Slovakia shall be used, whereas within the individual calendar

months the exchange rate ruling on the first day of the respective calendar month shall apply, and the

rate resulting from the conversion shall be rounded to whole korunas.

(10) The Tax Authority according to Article 24(1), in the wording effective as of 1 January 2008,

shall for the first time communicate to the Ministry the number of identification cards issued to the

gambling operator after granting the licence to operate gambling games by the gambling machines for

the year 2009.

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(11) The procedure to cancel the blockage of financial collateral and to use financial collateral in

operation of gambling games by gambling machines blocked in favour of the municipality shall be

governed by the existing provisions.”

The footnote to reference 23 shall read as follows:

23) Act No.  659/2007 Coll. on the introduction of the euro currency in the Slovak Republic

(including amendments to certain laws).”.