Las Vegas Sands hotel and casino company, has gone into the red as a US economic slowdown sees punters stay away from the world's gambling capital.

It has lost $11.2mn in the first quarter of 2008, compared with a $90.9m profit for the same period in 2007.

The casino company says it has been hit by higher construction costs, a weak US economy and tough competition in the Chinese gambling centre of Macau.

Hotel occupancy was lower as fewer tourists came to Las Vegas, it said.

"Our first-quarter operating results reflect both an intensely competitive operating environment in Macau as well as a weaker environment here in the US," said William Weidner, Las Vegas Sands' president and chief operating officer.

The casino sector in Macau has boomed since a 2001 law stripped casino tycoon Stanley Ho's SJM group of its monopoly.

But competition is getting tough and when MGM Mirage opened in Grand Macau in December, some of the island's big spenders went there instead.

Las Vegas Sands' now plans to increase the credit it offers the high rollers in a bid to win them back.

It is also investing between $12bn and $14bn to build 20,000 hotel rooms by 2010 in Macau.

The Las Vegas-based company owns the Venetian Resort & Casino and the Palazzo resort on the Las Vegas Strip.

In Macau, it owns the Sands Macau and Venetian Macau.

The EU has started an enquiry to examine if US policies affecting foreign online gambling firms breach trade rules. The European Commission is to assess European firms' complaints that they have been discriminated against.

A 2006 ruling effectively banned foreign internet firms from operating in the US.

European firms have complained that the US has targeted foreign gambling firms while allowing US rivals to operate.

Industry association the Remote Gambling Association (RGA) lodged a complaint on the topic in December with the European Commission.

It claimed the Department of Justice (DoJ) was trying to prosecute foreign gambling operators while allowing US firms to operate, especially those involved in horse betting.

"As the industry trade association, we cannot simply sit on the sidelines and watch while our members... suffer the double whammy of being prosecuted for activities whilst US industry is not," RGA head Clive Hawkswood said.

The EU said: "Despite statements by the DoJ that internet gambling was not allowed, many local companies were actively supplying this type of service".

"The US has the right to address legitimate public policy concerns relating to internet gambling, but discrimination against EU firms cannot be part of the policy mix," said EU trade commissioner Peter Mandelson.

By stopping US banks and credit card companies from processing payments to online gambling operations outside the country in 2006, the US effectively closed the market for overseas gambling firms.

But in 2007 the WTO ruled that the US was breaking trade laws by targeting online gambling firms, without applying the rule in the same way to US firms offering online betting on horse and dog racing.

The World Trade Organization (WTO) ruled last December that the US ban was illegal in a case taken by Antigua and Barbuda allowing it to impose $21m in annual trade sanctions against the US.

This raised the issue of whether others would also try to challenge the US position.

The EU, which is set to examine the complaints over the next five to eight months, says it is looking forward to debating the issue with the US authorities and reaching a "mutually acceptable solution".

It could trigger the EU to lodge a complaint against the US with the WTO.

Sweeping gambling laws have come into force in Britain bringing casinos, bookmakers and online betting under a new regulatory body. For the first time, operators will be able to advertise on TV and radio.

Opposition parties attacked the measures, saying they would trigger a growth in people addicted to gambling.

But Sports Minister Gerry Sutcliffe said the act provided "unprecedented powers" of control and protection for children and vulnerable gamblers.

All gaming operators based in Britain will be required to show they meet strict conditions to win a licence from the new watchdog - the Gambling Commission - to trade.

Failing to comply with conditions such as prominently displaying information about responsible gambling, will result in steep fines and even prosecution.

Radical upheaval

The act overhauls legislation dating from 1845 and covers all forms of gambling - worth more than £91bn to the UK economy in 2006 - from high-end casinos to arcades.

The Gambling Act allows the creation of more regional casinos, and bigger slot machine payouts. The National Lottery and spread betting will continue to be regulated by separate bodies.

British-based online gaming sites will be governed by the regulator.

But with betting duty set at 15%, doubts have been cast as to how many firms based offshore will relocate.

The Conservative spokesman on gambling Tobias Ellwood questioned whether the act "has the teeth" to manage new types of gambling such as internet gambling and games that could be sent to children's mobile phones.

He told BBC Radio 4's Today programme: "Many online gambling companies will be advertising on our TVs, probably from 9pm tonight, but will already have moved to Gibraltar."

The Liberal Democrat culture spokesman, Don Foster, said the government had "failed at every opportunity" to bring internet gambling companies onshore where they would pay tax and face proper regulation.

But Peter Dean, chairman of the Gambling Commission, said the act aims to tighten industry regulation and ensure the young and vulnerable are not exploited.

He said gambling services would "have to satisfy us that their games are fair and open and crime is kept out, and that there is proper protection for children".

£1m prize

The act will see 6,000 fruit machines in premises such as takeaway food shops and mini cab offices, where children could play with them unsupervised, be phased out by 2009.

Casinos said the act was an chance to clear up misconceptions

Bingo halls will also no longer have to return all stakes as prize money. They will now be able to keep some money behind to offer as rollover prizes. A top prize of at least £1m has already been announced as a result of the new laws.

But the biggest change is the lifting of the ban on TV and radio adverts, which allows gambling emporiums to reach bigger audiences.

They will be subject to a code of practice, including a 2100 watershed.

National helpline

One casino operator said the changes were a chance to clear up some of the "misconceptions about the industry" that have been allowed to fester.

However, the new act has attracted criticism from charities including the Salvation Army which said it feared the changes would "normalise" an addictive activity.

"The results can be devastating on the individual, their friends, family, and on society," a spokesman said.

The new ads will carry the address of a website promoting responsible gambling.

But charity GamCare, which runs the only national helpline for problem gamblers, said the government "missed an opportunity" and should have insisted its telephone number was also included.

The new laws come two months after plans for a super-casino in Manchester were put on hold due concerns over its impact.

Online gambling is becoming more popular, surveys suggest About 1,000 gambling websites based overseas are to be banned from advertising in the UK. Littlewoodscasino.com, Betfred Casino and Interpoker.com are among those subject to the ban, which comes into force next month.

Culture Secretary James Purnell said protecting the public from sites operating without the UK's "strict standards" was a "priority".

Broadcasters and publishers breaching the rules could face fines or prison.

The Department for Culture, Media and Sport (DCMS) said the aim was to stop unregulated gambling sites trying to attract UK punters.

Sites in the UK, Europe and other "white list" areas can advertise on TV, radio and in print media, subject to UK advertising rules.

'No apology'

To make it on to this list, companies must show they are subject to a suitably stringent regulatory regime.

This includes measures on stopping children gambling, protecting vulnerable people, ensuring games are fair and keeping out organised crime

Mr Purnell said: "I make no apology for banning adverts for websites operating from places that don't meet our strict standards. Protection is my number one priority."

The new rules take effect on 1 September , when the Gambling Act comes fully into force.

The legislation also brings a relaxation of the current rules surrounding adverts for all types of gambling companies, including casinos and betting shops.

Gambling sites operating from the EU, Iceland, Liechtenstein, Norway, Gibraltar, the Isle of Man, Alderney and other white-listed countries will still be allowed to advertise in the UK.

Littlewoodscasino.com, Interpoker.com, Betfred Casino and Poker are among the sites subject to the new advertising ban because they are all currently based in Caribbean islands the Netherlands Antilles, the DCMS said.

The Gambling Commission has compiled figures that suggest the number of people going online to place a bet in the UK is increasing.

Surveys carried out in the year to June 2007 indicated that 8.6% of adults had taken part in at least one form of "remote gambling" during the previous month, up from the 7.4% seen in 2006 polls.

A Taiwan internet service provider (ISP) has found a new lease of life as an internet gambling operator.

Gigamedia, which was one of the first Asian ISPs to list on the Nasdaq market, is generating most of its profits through its gaming websites, reports VNUnet.com.

The company's revenues rose by an annualized 88 per cent in the second quarter of the year, thanks in part to poker players in the US and around the world.

"Growth was driven by increases in real money players on Everest Poker," said Gigamedia president Thomas Hui.

"Approximately 154,000 active depositing real money customers played Everest Poker during the second quarter, up 254 per cent year on year and 12 per cent sequentially."

Among the games offered by Everest Poker are Texas Hold'em, Omaha and 7-Card Stud.

Bwin, the Austrian bookmaker, has announced that it will launch a multiplayer poker product for mobile phone users. The company, partnered by Cellectivity, will enable the current PokerRoom product on a mobile platform.

PokerRoom was launched in 2005, and has since become a favourite with online poker players.

The first phone networks to push the application will be T-Mobile and 3.

The product is not only for the hardened poker player, as the mobile version will also include free play for those wanting to test their skills before parting with any cash.

Excitement mounts as the world’s biggest online casino jackpot is won. Intercasino's Millionaire’s Club jackpot was reset earlier this week, indicating that some lucky winner has bagged over $5.9 million.

The progressive jackpot has become a popular choice for serious online casino players. Previously the record stood at $3 million.

Staff at Intercasino confirm a substantial win, yet refuse to release any details. Reports suggest the winner goes by the screen name ‘obaesso’ but are hesitant to confirm such speculation.

A further mystery is the winner’s preferred currency or place of residence. The jackpot had grown to $5 million for over a month with many players claiming to have come close.

One thing is for certain is the win marks a new world record in online casino jackpots!

Tony Blair has told MPs both Manchester and Blackpool should get super-casinos, if there was sufficient investment. In January Manchester was named the preferred site for such an attraction at the expense of Blackpool, whose supporters said it would benefit more.

Peers rejected plans for 17 casinos, including one super-casino, in March.

But at prime minister's questions, Mr Blair said the government hoped to bring forward proposals "very shortly" to introduce regional casinos.

When Manchester was recommended by the Casino Advisory Panel, it was much to the shock of two frontrunners - Blackpool and the site of the former Millennium Dome in London.

Trial plan

Both houses of Parliament have already passed the Gambling Act - paving the way for the new casinos - into law with the plan for one trial super-casino.

But peers rejected the Gambling Order backing the decision to build the super-casino in Manchester, by just three votes.

On Wednesday, Labour MP Graham Stringer, who represents Manchester Blackley, urged the government to ensure the casinos were built.

Mr Blair said: "Personally I have never seen the reason why we should have Blackpool and Manchester pitted against each other," he said at question time.

"If the investment is there and able to be done, let's do both of them."

He said only Conservative intervention had jeopardised the Manchester casino, whereas Labour's original plan would have allowed super-casinos at both Manchester and Blackpool.

Initially the government had said there would be up to 40 regional casinos, but that was scaled down - first to eight, then to one - in the face of strong opposition and concerns about gambling addiction.

Manchester's backers remain confident they will get the UK's first super-casino, but main rival Blackpool believes it has been given an opportunity to alter the decision on the attraction's location.

Some critics had argued that Blackpool was a more suitable venue, with greater need for a super-casino, while others said it could increase problem gambling in a deprived part of Manchester.

But supporters of the Manchester bid said the chosen area in the east of the city was in need of the investment and renewal the project would bring.

The current ban on TV and radio advertising concerning casinos, bookmakers and gambling online is to be scrapped in the UK this September, in line with the implementation of the Gambling Act 2005.

The new rules will promote socially responsible gambling advertising; prohibiting publicity during shows geared towards under 18s, containing under 25s in their promotions, or depicting gambling as a debt solution. Similarly to that of alcohol advertising, the linking of gambling with improved sexual image is also banned, so scantily-clad hostesses drapped over geeky roulette winners are strictly off the menu.

Already exempt from the ban are lotteries, bingo halls and football pools that must follow a similar set of promotion guidelines.

The rules follow public collaborations between the committees responsible for advertising practice in the UK (CAP and BCAP) last September and will allow those companies who were previously heavily restricted in both non-broadcast and broadcast media to advertise more freely - a move that is sure to ruffle some feathers amongst those opposed to gambling activities.

The Advertising Standards Authority (ASA) will be responsible for the policing of the rules, ensuring the complete compliance of the media, and responding to any public concerns. Any serious or repeat breaches of the regulations will be referred to the Gambling Commission and Ofcom.

Roger Wisbey (Secretary of CAP and BCAP) says, “These changes to gambling regulation mark a significant milestone in the way betting and gaming can be advertised in the UK. Of paramount importance is making sure that the advertising gambling restrictions provide a high-level of consumer protection.”