Gamesys, an online gambling operator based in Gibraltar, is facing a penalty package from the UK Gambling Commission (UKGC) after an investigation of the company came to an end. Police determined that three players were able to gamble via Gamesys with stolen funds. The operator now has to forfeit money for the stolen funds as well as pay a penalty due to money laundering regulation issues and failure to prevent gambling harm.
Penalty Package Details:
After the investigation was concluded, the UKGC stated that Gamesys did not deliver interaction with players that could have prevented harm. It was found that customers were displaying actions that could indicate they have a gambling problem.
Money laundering regulations were also broken as the operator did not establish where the source of funds came from regarding the players in question. The operator now has to forfeit £460,472 in stolen funds via the UKGC penalty package along with paying a penalty of £690,000.
According to gamingintelligence.com…
Executive director of the Gambling Commission, Richard Watson, commented on the investigation by stating: “It is vital that operators understand their customers – track their online gambling and step in quickly when they suspect someone is suffering from gambling harm.
“These key steps and processes ensure they meet both their anti-money laundering and social responsibility obligations for all customers. Gamesys’ approach resulted in a variety of failings and saw stolen money flowing through the business – with customers being put at risk of gambling related harm.”
Details of the Investigation:
The investigation centered around three of the operator’s customers from a time frame ranging from 2014 to 2016. The individuals were part of police investigations that involved stolen funds. The funds were reportedly used to gamble with Gamesys online.
At the time of the incidents, 2007 regulations involving anti-money laundering were in place. The opertaor should have done their due-diligence and using ongoing monitoring to avoid money laundering issues. The company was also found not to be in compliance with the Social Responsibility Code where operators are required to interact with customers who show signs of problem gambling.
The UKGC did state that Gamesys had taken proactive measures and made improvements to address the issues found in the investigation. They were fully transparent during the investigation and cooperative throughout.