U.S. authorities have dismissed claims by the European Commission that the country is discriminating against European online gambling operators according to the Financial Times. The newspaper says the Commission wrote to U.S. officials with a number of questions relating to the Unlawful internet Gambling Enforcement Act 2006 but was told that there was “no basis for any allegation of ‘discriminatory enforcement’ of US gambling laws”.

The Commission claims the act discriminates against European operators, many of whom pulled out of the U.S market in the aftermath of the legislation at a cost of billions of dollars in lost revenue, citing that U.S.-based gaming industries such as horse racing were not targeted by the legal clampdown.

According to the FT the U.S. has responded by saying the Commission had made mistaken assumptions and that the 2006 legislation did not change which gambling activities were legal or not.

EU trade commissioner Peter Mandelson is likely to ramp up Commission objections when an EU delegation visits the U.S. next month.