On March 1, 2022, an online gambling giant, 888 UK Limited, found itself on the wrong end of a hefty £9.4 million fine following a thorough investigation by the Gambling Commission. The probe uncovered alarming lapses in the company’s social responsibility and money laundering protocols.
This isn’t the first time 888 UK Limited has faced such scrutiny—in 2017, they received a £7.8 million penalty package for similar failings that endangered vulnerable customers.
Andrew Rhodes, the Chief Executive of the Gambling Commission, minced no words in expressing his disappointment:
The circumstances of the last enforcement action may be different, but both cases involve failing consumers – and this is unacceptable.
The recent fine, one of the largest handed out by the commission, serves as a stern warning to the operator—another slip-up could seriously risk their license. Rhodes emphasized the importance of operators ensuring the safety of their customers and conducting thorough checks to prevent illicit activities.
Social responsibility mishaps included:
- Neglecting to identify players at risk of harm until they had deposited a whopping £40,000.
- Failing to engage with a customer who lost £37,000 over six weeks during the Covid-19 pandemic.
- Disregarding the Commission’s guidance on customer interaction.
- Imposing a measly £1,300 monthly deposit cap on an NHS worker earning a modest £1,400 monthly.
- Merely sending out emails detailing responsible gambling tools without requiring customer response.
- Failing to proactively restrict accounts flagged for social responsibility concerns.
Money laundering fumbles included:
- Allowing customers to deposit up to £40,000 before bothering with source of funds checks.
- Naively accepting verbal assurances from customers regarding employment income.
- Need to specify which documents were required for the source of funds checks.
- Letting one customer splurge a jaw-dropping £65,835 over five months without conducting proper source of funds checks.
- Botching’s policy stated that customers had ten days to provide documentation of their source of funds before their account would be restricted.
The laundry list of lapses is downright alarming. It’s clear that 888 UK Limited has some serious soul-searching to do and must pull up their socks to ensure the safety and well-being of their customers. Let’s hope they learn from their mistakes and take swift and effective action to prevent such blunders in the future.