UKGC Fines Star Racing Limited £594,000 for AML and Social Responsibility Failures

Star Racing Limited, trading as Star Sports, has been fined £594,000 (€693,794) by the UK Gambling Commission (UKGC) due to failures in anti-money laundering (AML) and social responsibility practices.

The penalty was imposed following a license review that revealed the company's inadequate implementation of procedures to determine the source of funds for its customers.

The UKGC found that Star Sports had ineffective policies and procedures in place, allowing customers to make large deposits without providing sufficient information about the source of their funds. This directly violated the company's licensing conditions related to AML guidelines. Additionally, the commission determined that Star Sports lacked an understanding of the effectiveness of customer interactions in preventing the harms associated with problem gambling.

All the identified failings occurred between March 2020 and May 2021. As a result of the investigation, Star Racing Limited is required to pay a penalty of £594,000 (€693,794) and will have additional conditions added to its operating license.

The first half of 2023 witnessed significant fines being issued by gambling regulators worldwide. Across Europe, North America, and Australia, fines totaled £64,490,694 / €75,187,033. Of these fines, the UKGC issued 11 penalties amounting to £36,945,035 / €43,070,716, representing 57.3% of all fines issued during this period.

The UKGC's decision to penalize Star Racing Limited underscores the importance of robust AML and social responsibility measures within the gambling industry. Regulators are increasingly scrutinizing operators to ensure they adhere to stringent guidelines to safeguard against illicit financial activities and protect vulnerable individuals from the risks of gambling-related harm.

By fLEXI tEAM