In 2001, the Frenchman Emmanuel de Rohan Chabot launched Zeturf together with a group of passionate horse lovers. Eight years later -- and after many a legal battle -- the pool-betting operator has 90,000 active users, a Maltese License and Web sites in French, English and Spanish.
Zeturf's 45-year-old managing director -- a father of three -- studied economics and law in France, worked in accounting, and later managed a French private equity investment fund.
How did you get in touch with the gambling industry?
I realized around 2000 that there were, at least in France, no information sites for horseracing punters, so I started one called Zeturf.com. It was also rather clear then that, one day or another, the European gambling market would have to open (even if, at the time, Pari Mutuel Urbain, or PMU, people were thinking that the monopoly would last for, minimum, one more century). Having a free-information Internet site since the early 2000's was not a really relevant model. So, when I saw the premises of European liberalization (in the Gambelli decision at the European Court of Justice in late 2003) and was contacted by my present investors, I decided to move.
When did Zeturf encounter problems with the French monopoly authorities? And what happened then? A shock?
My first analysis was that France, and PMU, would not attack us, as it might trigger a strong reaction from the European Commission and urge the opening pace. I had been right for less than one week when I received the summons from France -- a shock, yes, but rather exciting.
For a time, PMU had the right to sanction the unauthorized organization of lotteries with two years in prison and a fine of 30,000 euro for each violation. Could you travel to France during that time? For which period you could not enter your country? And how was that period?
No! I didn't, either -- at least not "officially." That lasted from June 2005 'til May 2007. Then the French Police called me to come and explain. Which I did. I spent two days in custody, was charged and then bailed for "illegal gaming."
When did you get involved with Thibault Verbiest’s law firm, Ulys?
At that time, back in 2005 and 2006, T. Verbiest was the only lawyer involved in gaming. This is not the case anymore. He was more an advisor for me than a lawyer. Our principal lawyers are now in Malta, Dr. Farrugia and Dr. Miggiani, and in France Me. Delgrange, Cabinet Wenner, and for the criminal case, Me. Haïk.
Which court cases are still pending?
Two Court cases are still ongoing -- one criminal, against me, and a pending civil appeal.
You must have deep pockets for all the legal costs.
That was, for sure, the first and heaviest line in my expenses.
And what about this Charlie McCreevy, the European Union's internal market commissioner?
He is a strong man, defending what he believes in, even if it is not an easy job to fight against member states, specifically France, who is always good in defending old monopolies.
Do you foresee a free and open cross-border betting market throughout the whole of Europe?
It will come, I think -- when is a very different question.
Where may one find key financial information for your company over the last three years?
Asking us. The rough figures are: In 2005, turnover was 25 million euros; 2006, 55 million euros; 2007, 78 million euros; and 2008, 105 million euros.
How many active users do you have now? And can you split them?
A bit more than that 90,000. Forty percent are French; 15 percent are Belgian; 15 percent are Spanish; 15 percent are other European; and 15 percent hail from the rest of the world.
What is Eturf, and is it still related to you or Zeturf -- or both?
Eturf is what remains from the old information company in France (working for French newspapers). No relations anymore.
Do you really think that sports betting, in France, will be privatized? If so, when will it take place?
There will be an opening of the market, in 2010, probably, for pari-mutuel horseracing -- good for us, as we have the only tote system in private hands in Europe -- sports and poker.
It's been said that the French government is planning a partial privatization of the sports betting industry. Do you have any information on this subject?
They will privatize Française des Jeux, shortly, and the PMU, after.
Could it be a stock-exchange privatization?
Yes, when the market is resuscitated.
Will the owners slice up Française des Jeux?
Will your company be involved in the bidding process, if a privatization occurs?
For sure not! Running an Internet business is fine enough for me, not 45,000 retail shops!
What is your biggest passion or hobby besides your work?
Besides interviewers, what irritates you most in the gambling industry?