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Gaming Subsidiary of Rank Group Unable To Avoid $5M Fine in the UK – Casino.org
Posted on: December 14, 2022, 11:32h.
Last updated on: December 14, 2022, 11:32h.
In September of last year, the Uk Gambling Commission (Ukgc) announced that it had imposed a huge fine on gambling operator Daub Alderney (now part of The Rank Group). The company didn’t take the news too well and appealed, but hasn’t found any sympathy in court.
Ukgc Deputy CEO Sarah Gardner in the Ukgc offices. The Ukgc has received good news after a judge ruled in its favor following a fine it gave to The Rank Group. (Image: Bacta)
The fine of £5.85 million (US7.26 million) followed a lengthy investigation by the regulator It reportedly revealed a number of social responsibility shortcomings and failures in the fight against money laundering.
It didn’t help that Daub Alderney had already received a £7-million (US$7.45 million) fine for similar failings three years earlier. However, it tried to get relief from the UK’s First-Tier Tribunal, which has now rejected its appeal.
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Ukgc Wins
Daub Alderney operates sites like Aspers.com, kittybingo.com, luckypantsbingo.com, luckyvip.com, magicvegas.com, Regalwins.com and spinandwin.com. The shortcomings in the field of social responsibility included negligence. This related to the policies and procedures for interacting with players when there was concern that a customer’s activity might indicate problem gambling.
For example, one player at one of the online Casinos was able to lose £43,410 (US$46,231) in four months despite showing indicators of experiencing a gambling problem. The player used four different payment cards in one day and reversed £133,873 (US$142,574) in requested withdrawals.
“I find that there were serious breaches which were similar to the breaches for which a substantial financial penalty was imposed in 2018 and there are no new facts which persuade me that the decision was wrong,” said Judge Jacqueline Ruth Findlay. “I find that the (Commission Regulatory) Panel did not err in law and complied with its statutory obligations.”
The company appealed to the court, arguing that the fine was “excessive, unfair, and disproportionate.” However, Judge Jacqueline Ruth Findlay didn’t see it that way, according to Daub-alderney-fine-appeal”>an update on the case by the Ukgc.
Instead, Findlay agreed with the regulator’s conclusion. She said the fine was a “fair and reasonable regulatory response,” although it would have been a Christmas miracle if the court had gone against the Ukgc.
Rank Group acquired Daub Alderney in October 2019, and perhaps thought that gave it a clean slate. However, the Ukgc’s relentless approach to gaming regulations means that there is no expungement.
Banner Year For The Ukgc
This has been a good year for the Ukgc’s bank account. In just the first half of the year, it distributed fines of more than £20 million (US$24.8 million) to various operators, according to data Business Cloud compiled.
Following that was an increase in fines in the second half of the year. In August, Entain received a bill for US21 million. That was shortly after Leovegas received a fine of £1.32 million (US$1.6 million) and Smarkets had to pay £630,000 (US$769,923).
In September, Betfred received a fine of US$3 million. Then, the following month, NSUS, the parent company of GGPoker, had to pay US$738,763 for allegedly violating the Ukgc’s rules. In between were a series of other fines the Ukgc handed out to other operators.
In most instances, the Ukgc has accused the companies of not adhering to anti-money laundering and social responsibility policies. It can now report having collected well over $40 million on the year. This is in addition to the millions of dollars that operators give through so-called voluntary contributions to responsible gaming initiatives.
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