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Bet365 fined almost $1 mln for compliance breaches

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The UK Gambling Commission has announced that sports betting and online gaming company Bet365 will have to pay a £582,120 ($734,926) fine due to failures related to anti-money laundering measures and social responsibility.

This fine comes as a result of regulatory scrutiny into the operations of Bet365’s licensed entities in the UK.

Hillside (UK Gaming) ENC, responsible for Bet365’s bingo and casino products, will shoulder £343,035 ($433,081) of the total fine, while Hillside (UK Sports) ENC, managing Bet365’s betting services, will pay £239,085.

The entire sum will be allocated towards socially responsible causes, as part of the settlement agreement reached with the Gambling Commission.

The commission indicated it has uncovered these shortcomings during a compliance assessment conducted in March 2022. Among the identified failures were deficiencies in both social responsibility and anti-money laundering protocols.

Social responsibility inadequacies included instances where customer interactions lacked tailored approaches corresponding to individual risk levels, rendering them ineffective.

Furthermore, Bet365’s Early Risk Detection System failed to sufficiently gauge the impact of interactions on customer behavior, hindering proactive intervention. The company’s evaluation methods were also deemed insufficient in assessing customer comprehension of provided information.

Regarding anti-money laundering measures, Bet365’s enhanced customer due diligence and know your customer triggers were found to be ineffective in mitigating money laundering risks.

Failures in conducting financial sanctions checks on new customers before their initial deposits and overreliance on self-verification of customer information further compounded the issue. Additionally, the company’s procedure documentation lacked clarity in defining customer risk profiles.

Kay Roberts, Executive Director of Operations at the UK Gambling Commission, emphasized the seriousness of these lapses despite them not reaching the severity of some other recent cases.

“We expect high standards from operators in terms of keeping gambling safe, fair and crime-free, and will always take action to correct any failings,” Roberts stated.

She also warned that repeat offenses would result in escalated regulatory actions against the operator.

This significant fine underscores the regulatory commitment to enforcing robust compliance standards within the gambling industry, aiming to protect consumers and uphold integrity across the sector.

Nelson Moura
Nelson Mourahttp://agbrief.com
Editor and reporter with 10 years of experience in Greater China, namely Taiwan and Macau, in printed and online media, with a focus on finance, gaming, politics, crime, business and social issues.

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