A Vancouver announcement by ESI Entertainment Systems Inc. said last Monday that its Citadel Commerce subsidiary, which does payment processing for the online gaming industry, is moving its primary data centre from Vancouver to Malta. In recent years, Malta has become an increasingly important centre for online gambling companies licensed and regulated under its laws.

The company, which has been downsizing and restructuring its business following a change in US law that has forced Citadel to pull out of that market, also revealed that Citadel is reducing its North American marketing personnel further, while its call centre in Costa Rica has been enhanced to support additional operational responsibilities as well as local accounting capability. UK operational and sales staff has been increased, and software development has been outsourced to India.

Coming against a backdrop of increasing US official interference in online gambling, and this week’s NETeller pull-out from the Canadian and Turkish markets, the Citadel move suggests a new strategy to tap into the significant demand for reliable and experienced third party processing on the online gambling world scene.

ESI has not disclosed how many jobs are involved in the various restructuring activities.

However, the company said Chief Financial Officer Mark Bains has agreed to resign from ESI, and chief executive officer Tony Greening will resume responsibility for the CFO role.

The Unlawful Internet Gambling Enforcement Act, passed last autumn by the US government, contains a provision that prohibits Internet gamblers in the United States from using credit cards, cheques or electronic fund transfers to settle their wagers.

ESI announced on 18 January that Citadel would stop providing such services in the United States. Since then, it has undergone at least two downsizings prior to the restructuring announced Monday.