UK Gambling Commission Slaps £6 Million Fine on Gamesys for Social Responsibility and AML Failures

The UK Gambling Commission has imposed a £6.0 million (€7.0 million/$7.6 million) fine on Gamesys, owned by Ballys Corporation, citing a series of failures in social responsibility and anti-money laundering (AML) measures. The Commission discovered these shortcomings during a compliance assessment in May 2022, covering activities from November 2021 to July 2022. Gamesys, operating 16 sites in the UK including Ballycasino.co.uk and Jackpotjoy.com, will undergo a third-party audit to ensure effective implementation of AML and safer gambling policies.

Kay Roberts, the Commission’s executive director of operations, emphasized their commitment to ensuring fair, safe, and crime-free gambling. Roberts stated, "Whenever we find failures in policies and procedures, then the business can expect significant regulatory action."

The Commission outlined specific incidents contributing to social responsibility failures at Gamesys, including insufficient identification of customers at risk, inappropriate reliance on financial checks, and a system of deposit limits that failed to identify risks for certain players. Notably, one player deposited £8,255 within three days, and another lost £17,482 within 34 days.

In terms of AML, Gamesys was criticized for customers evading AML triggers and thresholds, inadequate customer due diligence, and over-reliance on third-party information. The Commission also highlighted concerns about Gamesys' reinvestment of winnings policy, deeming it insufficient to mitigate the risk of funds coming from illegitimate sources.

The regulatory body specified breaches of licence conditions, leading to the substantial £6.0 million fine. The Commission acknowledged Gamesys' cooperation during the investigation and its corrective measures. Importantly, no evidence of criminal funds being deposited by the specific customers under review was found. The fine reflects the Commission's dedication to upholding stringent standards in the gambling industry, ensuring responsible practices and protecting consumers.

By fLEXI tEAM