UK & Malta gambling watchdogs punish Bally’s, Gamesys & Rush Gaming for breaching regulatory rules – the latest online casino licensing news! (Photo by Kuncheek)
Online casino regulatory bodies covering the UK online casino industry and the MGA licensing authority covering online casinos globally have both imposed penalties on large online casino gaming companies.
Gamesys has found itself under the cosh in the UK, resulting in a £6 million fine. Another large iGaming company also in the news for breaking the rules is Rush Street Interactive, which has had its Malta Gaming Authority (MGA) licensing suspended.
Find out more below as we cover the details from both breaking news stories.
Maltese Regulators Suspend Gaming Firm’s License for Rule-Breaking
Since the Casinoplusbonus (MGA) November 2023 News Summary, Malta’s gambling watchdog has ordered Rush Gaming Ltd to stop operations after accusing the company of ignoring legal and regulatory obligations. The firm held license MGA/B2C/701/2019 from the Malta Gaming Authority (MGA) to run internet gambling sites in the Mediterranean nation.
In a statement on January 9th, regulators said the license suspension took effect immediately based on section 8 clause 1(f) of Maltese gaming rules. This allows licenses to be revoked over “failure to comply” with any requirements. Though shut down, Rush Gaming must still give registered gamblers access to withdraw funds from accounts as required under local laws. The company can also appeal the suspension.
Separately, Malta strengthened ties with the Alderney Gambling Control Commission (AGCC) through a new cooperation agreement announced January 4th. Officials say it will improve how both regulators monitor the industry and enforce standards. The dual developments highlight Malta’s demands for gaming firms to stick to all oversight rules and its links with other jurisdictions. Suspending Rush Gaming’s permit signals flouting directives carries consequences.
Gambling regulator’s duty to protect players: Online casino licensing authorities have a duty to protect players and the economy. This means ensuring player protection by offering support. It also includes ensuring companies abide by regulatory rules. I have to say, Rush Casino’s recent situation comes as a surprise as it is considered a reputable company. I am sure the issue will be cleared up asap. For more information about online casino player protection, please see the reputable casinos online guide.
UK Gambling Firm Fined £6 Million for Failing Customers and Stopping Crime
A major UK gambling company has been hit with a £6 million penalty after government gambling watchdogs found issues with how it was protecting its users and stopping illegal activity. Between November last year and July, investigators looked into Gamesys Operations Limited, owned by the US Bally’s group. Gamesys runs 16 well-known UK casino and bingo websites.
The probe discovered the firm was falling short when handling vulnerable gamblers and preventing dodgy money from coming in:
- It wasn’t correctly spotting people showing signs of addiction. It depended too much on background record checks over the person’s actual behavior.
- The system for limiting what users could deposit failed badly. Some gambled away huge amounts of cash quickly with no alarms raised.
Despite company rules demanding it, staff had very little interaction with those visibly battling gambling problems. Even after losing tons, some punters were pushed new games and deals. Notes tracking worried gamblers, and decisions made were routinely poor.
Investigators also saw issues with stopping crime:
- Some dodged anti-money laundering safeguards while spending lots without checks.
- Ensuring money coming in was legit was not thorough enough, especially when people deposited stacks rapidly. Too much faith was put in outside assurances.
- Policies supposed to stop dirty money were useless.
Watchdog officials made clear lax policies would bring harsh action. Alongside the monster fine, the firm has to get an independent inspection of its rules done. This is clear from previous fines handed out by the UKGC reported in our UK Gambling Operator Fines Skyrocketing news piece. Surprisingly when comparing the Gamesys fine to this news report, it comes 8th on the list with William Hill (888 Holdings) in the top spot after a £ 19.4 million last year.
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