- Legal States
Velimir Velichkov November 11, 2022 3 min read
Two Dutch Operators Warned by KSA over Monitoring Breaches
The gambling regulator in the Netherlands, the Kansspelautoriteit (KSA), warned two gambling operators on Thursday. The latest warning comes after the regulator uncovered deficiencies in monitoring and controlling the behavior of online gamblers.
Kansspelautoriteit Warns Two Gambling Operators
The KSA probed into the operations of two gambling licensees and identified breaches of the Money Laundering and Terrorist Financing Prevention Act called Wwft. The gambling regulator did not reveal the names of the two operators but provided information regarding the incidents flagged by the investigation.
According to KSA’s investigation, one 21-year-old customer lost €17,000 for a few months between October and December 2021. A separate incident involved a 23-year-old that lost €87,000 between October 2021 and March 2022. Another incident described by the KSA involved a 26-year-old that lost €114,000 in November 2021 alone, while a different incident pointed to a 29-year-old that lost €27,000 in only two weeks.
“The Gaming Authority (KSA) has issued instructions to 2 online gaming providers for violating the Money Laundering and Terrorist Financing Prevention Act, the Wwft. Research by the Ksa showed that the providers in question do not sufficiently control the gaming behavior of the players. According to the Wwft, this is necessary,“reads a statement released by the KSA
The Operators Should Monitor Their Users’ Activities
The activities identified by the KSA were suspicious, to say the least, considering that they involved young adults losing thousands of euros for short periods. What’s more, the regulator pointed out that despite the losses of those customers, the two online gambling operators did not investigate or intervene.
“Gaming providers must monitor the behavior of their customers and act on it if there is unusual behavior,“explained the KSA
According to the KSA, whenever players deposit large sums should raise suspicion for online operators as this may point to match-fixing. It added that also there are individuals that commit crimes to help fund their gambling addiction, which is another incredibly concerning topic.
“Within 3 months of the designation, the games of chance providers must have tightened up the monitoring of gaming behavior. At the beginning of next year, the Ksa will check whether they have done this,“added Kansspelautoriteit
Following the warning, the KSA said it grants the two operators a period of three months for them to increase their efforts in the monitoring of players. Considering that it is a warning and not a fine, the gambling regulator vowed to check what progress the two operators have achieved next year.
William Velichkov is a research-driven writer. His strengths lie in ensuring factual accuracy, vetting government documentation and reaching out to regulators and other officials. He is particularly fond of financial reporting, the sports betting industry, B2B partnerships and esports betting developments. William is a strong asset to the GamblingNews team as he adds a bedrock to our reporting.
Legal November 11, 2022
Legal November 11, 2022