Spain Said to Wring $200 Million From Gaming Sites on Tax Threat

Spanish Budget Minister Cristobal Montoro squeezed about 150 million euros ($200 million) from foreign-owned gambling companies by springing a tax probe on them when they applied for online licenses, according to two people involved in the process.

Companies including Betfair Group Plc and William Hill Plc, both based in the U.K., were told that they risked missing out on permits to operate in Spain unless they paid disputed back taxes, said the people, who asked not to be named out of concern they may face retribution from government officials.