UKGC imposes tougher license conditions for three online operators

[The Buzz]

The UK Gambling Commission concluded regulatory settlements with three online gambling operators -- BGO Entertainment, GAN and NetBet -- that were subject to licence reviews following a number of failures, including not doing enough to keep consumers safe and failing to prevent money laundering and criminal spend.

As a result, BGO and GAN have had tougher conditions imposed on their licenses, while all three must improve their policies and procedures as well as making payments to progress the work of the National Strategy to Reduce Gambling Harms.

The Commission will also be reviewing the actions of the individual Personal Management Licence holders in all three of these cases.

Richard Watson, executive director at the Gambling Commission, said:

“Licensees must protect consumers from harm and treat them fairly. Our recent investigations uncovered a variety of consumer protection and anti-money laundering failings at each of these three operators and as a result we are using a range of enforcement tools against them. We will continue to crack down on failing operators through our tough and proactive compliance and enforcement work.”

For BGO, the firm was found to have failed to have effective policies and procedures in place for customers who may be displaying signs of problem gambling between September 25, 2018, and March 23, 2020. It was also found to have failed to have effective and adequately resourced anti-money laundering controls in place between September 25, 2018 and July 21, 2020. As a consequence BGO will have additional conditions imposed on its license that involve carrying out extra social responsibility and anti-money laundering checks on its top customers. The business has also been issued with a £2m payment in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms

GAN was found to have failed to comply with four licence conditions focused on social responsibility and anti-money laundering between August 2018 and September 2019 and as a result GAN will have additional conditions imposed on its license which involve continued reviewal of the effectiveness and implementation of its AML and SR policies, procedures and controls, and extra training for personal management licence holders and senior staff. The business will also pay £146,000 in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms

Finally, NetBet is said to have failed to comply with two licence conditions focused on social responsibility and anti-money laundering, including not carefully scrutinising source of funds documentation provided by customers and not implementing its responsible gambling policy effectively between November 20, 2018, and May 29, 2019. As a consequence the group will make a number of changes to its processes, and pay £748,000 in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms.

Read the entire decision from UKGC here: https://www.gamblingcommission.gov.u...line-operators

[ocreditor]

Interesting to see now if these operators will choose to stay in the UK under the new tougher conditions

[drifter8]

I bet they will move away.

[ocreditor]

I bet they will move away.

Yeah.. I mean it's already hard enough for operators in the UK with the standard conditions..

[Pick7]

It will be interesting to see how many affiliates lose their accounts. If I were a betting man, I'd have a good punt on my BGO account not seeing Christmas.

[LegalBetAndy]

The business has also been issued with a £2m payment in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms

The business will also pay £146,000 in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms

As a consequence the group will make a number of changes to its processes, and pay £748,000 in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms.

This is ridiculous and bordering on outright corrupt. An organisation is free to issue fines at will and THEY keep the fine! It is then spent to, and I quote "deliver a National Strategy to Reduce Gambling Harms" which is incredibly vague. What, EXACTLY, are you going to do with nearly £3m and who is auditing all these gravy train expenses?

In my experience the UK Gambling Commission is one of the most incompetant and out of touch organisations you could ever be unfortunate enough to meet.