ATG Gets Major Fine after Appeal Court Backs AML Decision

Sweden’s horse racing betting company AB Trav och Galopp (ATG) must pay a fine of SEK 3 million ($316,626) due to a ruling by Sweden’s Administrative Court of Appeal. The court reversed an earlier verdict by the Administrative Court that had cleared the company, bringing back the Swedish Gambling Authority‘s (Spelinspektionen) 2022 decision. Yet, it lowered the initial SEK 6 million ($633,222) penalty set by the regulator.

Court Rules ATG Neglected Due Diligence as Customers Made Massive Unchecked Deposits

The appeal court determined that ATG had violated Sweden’s Money Laundering Act. The company failed to conduct proper customer due diligence and risk assessments. The court ruled that ATG’s player monitoring did not meet legal standards. As a result, several big-spending customers could make large deposits without quick or adequate checks on where their money came from.

Spelinspektionen’s initial probe covering 2019 to 2021, uncovered major flaws in ATG’s management of client information and its anti-money laundering (AML) procedures. The regulator examined a group of customers with high account activity. One of these clients deposited over SEK 50 million ($5 million) during this time. ATG did not verify the sources of these funds.

The regulator found that ATG took a hands-off approach to watching its customers and had systems for extra checks that were slow and uneven. It slammed the operator for letting people keep gambling even after red flags popped up from deposits that were big or frequent.

Swedish Court Eases Fine for ATG but Issues Warning Over AML Failures

ATG fought back, saying the problems came from people making mistakes and gaps in how they did things, not from not caring on purpose. The company claimed it had beefed up its rule-following setup since then by bringing in automatic regulating tools, better ways to check income, and a special team to do thorough checks.

Although the appeal court recognized the seriousness of the violations, it pointed out that they were not widespread, affecting a small number of customers. This evaluation resulted in cutting the financial penalty in half, from SEK 6 million ($633,222) to SEK 3 million ($316,626). The company also got a formal warning.

This case highlights the increased regulatory oversight in Sweden’s gambling industry, where operators must apply strict, risk-based measures to stop money laundering and terrorist funding. The decision serves to remind licensed companies that they are responsible for making sure they follow national AML rules.

ATG, which reported gaming revenue of SEK 2.6 billion ($274 million) in the first half of 2025, has plans to expand beyond Sweden. The company aims to enter Finland’s upcoming open gambling market by 2027.