UKGC Imposes £6.8M Fine on Casumo and Videoslots

United Kingdom Gambling Commission has undertaken a widespread regulatory action against casino operators and brands that are continuously failing to enforce and abide the safeguards needed to prevent money laundering and keep vulnerable players from harm.

In their latest report, it is indicated that such investigation yielded results in that operators, Casumo and Videoslots were ordered to pay £5.8 million and £1 million in fines respectively.

The Investigation Continues

A much more severe measure was taken against company, CZ Holdings, who were, for their omissions, asked to hand over their license which will mean they will no longer be providing their gambling services to customers in Great Britain.

Even more operators are facing further scrutiny, as nine of them were sent Advice to Conduct letter while six more are under current investigation which lasts for a while now and that has caught Daub Alderney red-handed for which they were forced to pay £7.1 in penalties.

Videoslots spokesperson has given an official statement regarding the fine, saying that the online casino site has entered a regulatory settlement with the Gambling Commission of Great Britain to conclude the review of their operating license.

Fully Open and Transparent

Videoslot's statement reads as follows:

“We are pleased that the Gambling Commission recognises that we were open and transparent from the outset of their investigation and fully cooperative throughout. We accept there were weaknesses in our systems relating to how we managed our customers for anti-money laundering and social responsibility purposes and have taken proactive and timely action to address all the issues identified.”

The statement ends with the company insisting that they have agreed to make a payment in lieu of a financial penalty which will go to a National Responsible Gambling Strategy project to pay for research and treatment as determined appropriate to address the risk of harmful gambling.

Individuals At Fault Too

Regulatory action by the UKGC has also been taken against certain individuals responsible for these oversights...

...Three Personal License Holders have been asked to surrender their licenses, four were given a warning and two were sent Advice to Conduct letters. Three more individuals who hold licenses are under investigation.

UKGC's CEO, Neil McArthur, said that he hopes that these announcements will make all online casino operators “sit up and pay attention.”

He added: “It is not enough to have policies and procedures in place. Everyone in a gambling business must understand its policies and procedures and take responsibility for properly applying them.”

“We expect operators to know their customers and to ask the right questions to make sure they meet their anti-money laundering and social responsibility obligations.”

Secretary of State for Digital, Culture, Media and Sport, Jeremy Wright, has added that any operator that believes they can ignore its duty to protect players should take note today or there will be consequences.

“There are robust requirements to safeguard players and prevent money-laundering which all businesses must adhere to if they wish to operate in the British market. I am pleased to see the Gambling Commission taking the strongest possible action when companies fail to meet their obligations.”

Source:

“Gambling Commission takes widespread regulatory action against online casino operators and senior management”, gamblingcommission.gov.uk, November 29, 2018.