The sanction was linked to the firm’s treatment of high-spending customers. In one instance, the operator failed to carry out source of funds checks on a ‘VIP’ customer who deposited over £8m and lost over £4m during a four-year period. In another, Betway failed to carry out effective social responsibility interactions with a customer who deposited and lost £187,000 in two days.

The investigation found that as a result of a lack of consideration of individual customers affordability and source of funds checks the operator allowed £5.8m of money to flow through the business which has been found, or could reasonably be suspected to be, proceeds of crime. The majority of the cash will now be divested and returned to victims.

1. Betway failed to independently verify the information. Customer B triggered a further 20 financial thresholds and on each occasion the account was referred for review. An employee of Betway confirmed they were satisfied with Customer B’s source of funds on each occasion without requesting any further evidence from the customer to support this.
2. Betway will pay £5.8 million back to the victims of the crimes committed by its customers, plus another £5.8 million to the Gambling Commission that will be spent to reduce gambling addiction. Betway accepted to pay the penalty and improve their existing processes.
3. Betway is paying a high price for getting on the U.K. Gambling Commission’s (UKGC) bad side. The firm has been ordered to pay a record £11.6m settlement for accepting stolen funds and ignoring.
4. Online gambling group Betway has been handed an £11.6m fine for money laundering failures relating to seven high-spending customers. The fine is the largest ever from the UK’s Gambling.

The regulator probe also revealed inadequate management oversight and investigations into responsible personal management licence holders are ongoing.

Betway are facing a fine of Sh15m (£110,000) after Kenya’s competition watchdog has accused the operator of not informing it of changes in ownership of its partner, Bluejay Limited, in 2015. The fine relates to Betway’s Kenyan partner, Bluejay Limited.

Betway Fine Arts

Betway chief executive Anthony Werkman said: “Betway takes full responsibility for the small number of historic cases which have led to this settlement. We have fully cooperated with the investigation and will take further proactive steps to ensure all recommendations and findings are implemented.

“As a responsible, licensed operator extensive work has and will continue to be undertaken to greatly enhance our compliance systems, policies and processes. We have disbanded our VIP program in recognition that tighter controls were needed to ensure our customers were using our services responsibly.

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“Betway has no interest in profiting from any stolen funds wagered on its sites. Where we establish that stolen funds have been used, we will ensure that the victim is fully reimbursed. For all other cases, donations are made to charities focussed on socially responsible initiatives.”

Richard Watson, executive director at the Gambling Commission, said: “The actions of Betway suggest there was little regard for the welfare of its VIP customers or the impact on those around them.”

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Gambling firm Betway has been fined a record £11.6m over failures to prevent money laundering and problem gambling.

The settlement involves the treatment of high-spending “VIP” customers that were not asked questions over the large amounts of money they were gambling. This included one customer that deposited £8m and lost half of it without any source of funds checks or questions regarding problem gambling.

A Gambling Commission investigation showed that Betway allowed £5.8m to flow through the business, some of which was stolen money.

Richard Watson, the regulator’s executive director, said: “The actions of Betway suggest there was little regard for the welfare of its VIP customers or the impact on those around them.”

“We have set tight deadlines for when we expect to see progress and if we do not see the right results then we will have no choice but to take further action,” said Watson.

Beltway Fine Wine

“This case highlights again why progress needs to be made.”

Betway Fined By Gambling Commission

According to the commission’s statement, the company accepted the failings and has taken measures to improve its systems. The Betway case is the largest penalty package ever in the UK.