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Negotiated Prohibition: The Social Organisation of Illegal Gambling in Ukraine

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Governance Beyond the Law

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Abstract

This chapter draws on existing legitimacy scholarship in order to develop the concept of negotiated prohibition where power holders and banned service providers engage in mutually beneficial relations in order to secure illicit profits. We build our discussion of negotiated prohibition on the analysis of the 2009 ban on gambling in Ukraine. Our findings are based on data collected during an ethnographic trip to Ukraine undertaken in 2016, during which we conducted semi-structured interviews with representatives of the gambling industry (both those who operated before and after the 2009 gambling ban) in order to examine the relationship between power holders and gambling entrepreneurs. This chapter suggests that negotiated prohibition leads to the emergence of a fragmented and flexible social order that is characterised by discretionary enforcement of the ban and corrupt arrangements.

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Notes

  1. 1.

    State Tax Administration Office of Ukraine (Since 2014 State Fiscal Service of Ukraine). Response No. 19140/7/17–3117. Available online at: http://www.uazakon.com/documents/date_42/pg_ikccxv.htm

  2. 2.

    We changed the names of our interviewees to protect their confidentiality. The interviews were transcribed and translated from Russian into English by the authors.

  3. 3.

    Federal Law of the Russian Federation (No. 278-FZ) as of 22 July 2014 “On Changes to the Federal Law ‘On State Regulation of Organization and Management of Gambling and Changes to Related Legislation of the Russian Federation.’”

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Video Files

Legislative Documents and Court Files

  • Draft Law of Ukraine as of 13 May 2016 # 4663 “On the Re-legalizing of the Gambling Market and the Provision of Budget Revenues in Order to Fulfill Social Obligations” (Проект закона Украины от 13.05.2016 No. 4663 “Pro detinizatsiiu rynku azartnykh ihor ta zabezpechennia dokhodamy biudzhetu z metoiu vikonannia sotsialnykh zoboviazan”). Available in Ukrainian at: http://search.ligazakon.ua/l_doc2.nsf/link1/JH3LJ00A.html. Accessed 19 Sept 2017.

  • Federal Law of the Russian Federation No. 244FZ as of 29 December 2006. On State Regulation of Organization and Management of Gambling and Changes to Related Legislation of the Russian Federation. Available in Russian at: http://kremlin.ru/acts/bank/24822

  • Federal Law of the Russian Federation No. 278-FZ as of 22 July 2014. On Changes to the Federal Law ‘On State Regulation of Organization and Management of Gambling and Changes to Related Legislation of the Russian Federation.’ Available in Russian at http://pravo.gov.ru/proxy/ips/?docbody=&prevDoc=102111150&backlink=1&&nd=102356113

  • Law of Ukraine on the Prohibition of Gambling (Zakon Ukrainy pro zaboronu hral’nogo biznesu) No. 1334-VI. Available in Ukrainian at: http://zakon3.rada.gov.ua/laws/show/1334-17

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Markovska, A., Zabyelina, Y. (2019). Negotiated Prohibition: The Social Organisation of Illegal Gambling in Ukraine. In: Polese, A., Russo, A., Strazzari, F. (eds) Governance Beyond the Law. International Political Economy Series. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-05039-9_6

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