Citadel relocates to better serve online gambling market

ESI Entertainment Systems Inc. announced Monday its subsidiary Citadel Commerce is moving its primary data center from Vancouver to Malta. Citadel does payment processing for the online gaming industry and is restructuring in the aftermath of online gambling issues in the United States.

Malta, located in the Mediterranean, has been licensing online gambling sites since 2000, and was the first European Union member state to regulate remote gambling.

Moving to a country that has already established itself in the online gambling market, and so close to Europe, will allow Citadel to optimize its operations and to build a strong foundation for future growth in the region.

While this means that the company's sales staff in North America has been further reduced, the staff in the U.K. and the call center in Costa Rica have all been enhanced.

Citadel had already begun restructuring and downsizing after it stopped taking online gambling transactions from U.S. customers in January.

Because of the reduction of accounting support required in Canada, ESI CFO Mark Bains has also agreed to resign, and CEO Tony Greening will resume responsibility for the role.

"As a result of the further restructuring and continued conservative use of its accumulated capital, ESI expects to generate increased sales in Europe and better position the company to serve its customers," said ESI in a press release.

courtesy of Sarah Polson

News Added: 27 March, 2007

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