The issue concerns Greek Law Number 3037, passed on 30th July 2002. According to an English translation of the law, the "operation and installation of any game [including electrical, electromechanical and electronic games] placed in public places such as hotels, cafeterias, organisation halls and in any other public or private place, is prohibited."
The Greek Government has since confirmed that only electronic games related to gambling are prohibited, but the Commission is now questioning the compatibility of the law with the provisions of the EC Treaty on the free movement of goods and services and the freedom of establishment.
On 16th October 2002, the Commission sent the Greek authorities an initial letter of formal notice drawing attention to the fact that prohibiting electrical, electromechanical and electronic games in all public places, with the exception of casinos, could in practice restrict the import of these products in contravention of the rules of the EC Treaty on the free movement of goods.
The Greek response did not satisfy the Commission, and it has therefore sent Greece a further official request for information in the form of a supplementary letter of formal notice, representing the first stage of the infringement procedure provided for by the EC Treaty.
The Commission's biggest concern is that the general ban on games has made it impossible to provide and supply electronic games equipment and programmes, particularly in public places, or to perform related activities (for example, the installation, repair and maintenance of such equipment and programmes).
According to the Commission this may well prevent businesses being set up in the country, or prevent firms from other Member States from carrying out services.
The fact that the law was not notified to the Commission at the draft stage also raises questions concerning a possible infringement of a Directive that provides for prior notification of national regulations laying down technical rules in respect of on-line goods and services.