The UK Gambling Commission has shown its resilience in ensuring the stability of the gambling industry in the country as it issued fines totaling around £675,000 ($836,535) to Progress Play and Jumpman Gaming.
The Two Operators Breached AML and Social Responsibility Rules
Progress Play’s fine is £175,718 ($219,438) while Jumpman Gaming’s fine is £500,000 ($624,405) and as the UKGC states, the fines were issued due to breaches in anti-money laundering and social responsibility rules.
An investigation by the UK regulator showed that both operators failed to comply with codes of practice and license obligations. One of those failures is featured in License Condition 12.1.1, paragraphs 2 and 3. In these paragraphs, the measures regarding money-laundering prevention and terrorist financing are included.
One of the incidents that were highlighted was a customer at Jumpman who managed to lose around £20,000 ($25,000) six weeks before consideration to affordability was given.
The director of enforcement and intelligence at the UKGC, Leanne Oxley, stated that the commission will always make sure that the operators meet the industry standards and if they fail to do so, the regulator will impose sanctions.
Oxley ended by saying that the UKGC encourages every operator to identify its failings and consider the necessary improvements for their businesses.
Jumpman Gaming and Progress Play are reputable operators who run a total of 444 websites; 243 of them are operated by Jumpman Gaming and 201 sites are operated by Progress Play.
UKGC Is Facing Challenges on Several Fronts
Back in April, the UKGC shared new rules that operators will have to adhere to in connection with identifying risk customers. According to the commission, operators showed on numerous occasions that they weren’t able to identify risk customers and take the necessary action in time, hence, a change was needed.
Andrew Rhodes, the UKGC chief executive, noted that the new rules will make the expectations “more explicit.” He also stated that the commission will not show mercy and won’t hesitate to take tough action on operators that do not meet the standards in this field.
However, the UKGC is facing problems of its own as it is currently in a legal battle with Camelot over the lottery selection. According to the ex-CEO of Camelot, Dianne Thompson, the total cost of the legal dispute between the two parties could cost the UKGC around $1.2 billion.
Camelot is also in a pretty bad position. The operator states that it will go bankrupt if the UKGC selects Allwyn Entertainment as the new licensee. Camelot has been holding the license to operate the lottery for 28 years.