It's really interesting to see what sort of ancillary services emerge in a new industry. There's one which came to the attention of IGN recently which illustrates the lengths to which some consumers may go to participate in an activity considered by some to be "gray."
One of these ancillary services is offered by a Panamanian company which offers a variety of "offshore" services." They've developed a new service called MODEL INTERNATIONAL GAMING SERVICE PACKAGES (MIGS). The service is offered by The Harris Organization (THO).
The rationale for the services offered to consumers is that various state and federal restrictions in some jurisdictions restrict patrons from making use of online gaming services. According to the Harris Organization, this keeps many international gaming establishments from offering their services over the Internet to qualified customers. In addition, many financial establishments are unwilling to provide direct transactional service to Internet Gaming establishments (IGE's).
The Harris Organisation has developed a strategy which they say is designed "to circumvent the tyranny of some governments who attempt to export their provincial regulations and inhibit the legitimate conduct of business in other sovereign nations."
They lay out to patrons a step by step sequence of events which allow them to partake in these activities. We'll let the instructions speak for themselves.
For First Time, Time Sensitive Customers. Incoming Only:
Internet Gaming establishments establish a correspondent account with an international financial institution associated with The Harris Organisation. The usual account opening and due diligence requirements apply.
The Internet Gaming Establishments agree to abide by a code of conduct established by The Harris Organisation. More detailed information on this Code of Conduct was not offered by the company. The Harris Organisation establishes a special incoming e mail address for the IGE's which continue to solicit business in the traditional and customary manner.
For first time customers with time sensitive needs, the clients are requested to transfer funds via Western Union to an affiliated Western Union correspondent account. (Special coding is established with the IGE in advance for their own convenience and protection.)
The IGE forwards a preadvice to the dedicated e mail address noted above indicating the amount expected. The Harris Organisation's around the clock IGE service center then awaits confirmation from Western Union. Upon receipt of confirmation from Western Union, THO forwards tentative confirmation to the IGE to confirm receipt of payment at Western Union. On a regular basis, Western Union forwards the accumulated funds to THO's affiliated financial institution and THO credits the IGE's account at the international financial institution affiliated with The Harris Organisation. The IGE can withdraw funds on a regular basis from the financial institution for operating needs in their home jurisdiction.
There is, of course, a fee for this service plus any out of pocket expenses.
For First Time, Non-Time Sensitive Customers And Regular Clients. Incoming Only:
Many of these steps appear to be similar to those in the first category. Internet Gaming establishments establish a correspondent account with an international financial institution associated with The Harris Organisation. The usual account opening and due diligence requirements apply with the IGE's agreement to abide by a code of conduct established by The Harris Organisation. At that point, the Harris Organisation establishes a special incoming e mail address for the IGE. The IGE's continue to solicit business in the traditional and customary manner.
For first time customers with non-time sensitive needs, the clients are requested to complete a Harris Mini-Trust Application over the Internet. The Harris Mini-Trust Application is then transmitted electronically to THO service centre where preliminary approval is granted as well as a preliminary THO account number.
The client then transfers funds via Western Union to a THO affiliated Western Union correspondent account. Alternatively, funds can be sent by cheque, wire transfer, etc. Upon receipt of the original application and a nominal deposit, permanent approval is granted along with a permanent account number. Complete mini trust documents are then forwarded to the client. In addition to conducting business with the IGE, the individual is entitled to purchase The Harris Organisation's entire line of products and services.
When the client wishes to place a bet, he contacts the IGE. The IGE forwards a preadvice to the dedicated e mail address noted above indicating the amount expected. The client then forwards an e mail instruction to THO's IGE service center requesting the placement of a bet on their behalf with the IGE. Upon receipt of both advices, The Harris Organisation's around the clock IGE service center then confirms the transaction to both parties. Immediately, THO's IGE service center deducts the funds from the client and then credit's the IGE's account with THO.
In addition to the transaction advices, THO forwards a daily statement to the IGE for reconciliation purposes. The IGE can withdraw funds on a regular basis from the financial institution for operating needs in their home jurisdiction. There is a fee for this service with the addition of any out of pocket expenses.
MIGS - A STEP BY STEP SOLUTION
Then what???? For regular clients, they cash out on winnings in the following manner:
Upon confirmation of a "win", the IGE forwards an advice to the THO IGE service centre. THO IGE will then credit the international fiduciary account of the "winner". The winner is then provided with an advice from the THO IGO service centre. From time to time, the winner may request withdrawals from the account, access his funds via an international debit/credit card, and/or continue to invest the funds directly offshore.
Statements are provided to THO mini trust clients on a regular basis. Hold mail is also available. Mini trust clients pay US$10 per month for this service.
The company, in their materials, offer a laundry list of what they feel are the primary benefits to their clients.
BENEFITS TO CLIENTS OF IGE WHO ESTABLISH A MINI TRUST
- A client obtains the benefit of an international fiduciary and discount brokerage accounts with a major international financial institution.
- The client is able to receive a full line of international investment and financial planning products.
- The client receives regular statements of his account activity.
- The client can determine when he wishes to repatriate his funds.
- The client can confidentially direct funds from his account including to IGE's.
- The client receives at no additional charge subscriptions to The Marc M. Harris Analysis and The Harris Investment News.
- The client receives additional THO benefits.
- Qualified clients are able to obtain an offshore debit and/or offshore credit card to facilitate their international dealings.
The company has additional information located on their website at www.marc-harris.com.
The growth of the interactive gaming industry certainly offers new twists and turns every day. These and other services which will likely emerge make it clear that it's offering entrepreneurial and money-making opportunities for all kinds of businesses around the world.