The United Kingdom Gambling Commission (UKGC) has ordered the operator behind the online casino and sportsbetting domain at Betfred.com to pay a fine of just over £337,000 ($417634) for failing to carry out adequate anti-money laundering checks.
The British regulator used an official press release to detail that it began an investigation into Petfre (Gibraltar) Limited after learning of a November of 2017 incident in which one of the firm’s online customers deposited £210,000 ($258,443) in stolen cash before going on to lose some £140,000 ($172,295) over only a twelve-day period.
The Gambling Commission stated that its examination had determined that Petfre (Gibraltar) Limited had ‘failed to carry out adequate source of funds checks’ and that the incident had ‘clearly indicated failings in the effectiveness’ of the operator’s ‘anti-money laundering policies and procedures.’
Read a statement from the Gambling Commission…
“The management of this customer in relation to anti-money laundering raised significant concerns regarding the effectiveness of the policies and procedures that Petfre (Gibraltar) Limited had in place and its management of risks to the licensing objectives. Since this incident Petfre (Gibraltar) Limited has made improvements to its anti-money laundering procedures to prevent a recurrence of the failings.”
As part of the settlement, the Commission explained that the online casino and sportsbetting operator has agreed to return the lost £140,000 and also hand over slightly in excess of £15,168 ($18,801) to help cover the costs of the investigation. Furthermore, the United Kingdom regulator declared that Petfre (Gibraltar) Limited is to make a payment of £182,000 ($225,322) that will be utilized to help speed up the delivery of the National Strategy to Reduce Gambling Harms, which is a three-year coordinated strategy designed ‘to effectively tackle’ the downsides of gambling.