Betfair Worldwide Plc, a subsidiary of Flutter Leisure, has been hit with three enforcement orders and a reprimand by the Danish Playing Authority, Spillemyndigheden, for breaching Denmark’s Anti-Cash Laundering (AML) Act.
Betfair Faces Regulatory Motion for AML Act Violations in Three Key Areas
The regulatory authority discovered that Betfair had failed to satisfy the necessities set out within the AML Act in three key areas. The first order was issued as a result of Betfair’s danger evaluation didn’t adequately contemplate the inherent danger components related to its enterprise mannequin.
The second order was issued as a result of inadequate written procedures for buyer due diligence. The procedures didn’t be certain that buyer due diligence measures had been performed at acceptable instances in accordance with the necessities outlined within the AML Act.
Moreover, the written procedures didn’t deal with how Betfair would develop into conscious if an worker was convicted of a legal offense throughout their employment, thereby growing the chance of cash laundering and terrorist financing.
The third order was given as a result of Betfair failed to offer documented proof of standard and acceptable controls in varied areas similar to danger administration, buyer due diligence, worker screening, investigation and reporting obligations, data storage, and inner controls.
The corporate should now submit an up to date danger evaluation that addresses the recognized shortcomings, enhance its written procedures, and supply documentation of future management procedures.
Betfair has been given a three-month deadline to rectify the problems highlighted within the first two orders, whereas a twelve-month deadline has been set for the submission of documentation demonstrating compliance with the third one.
Spillemyndigheden Points Reprimand to Betfair over Buyer Id Management Deficiencies
Moreover, Betfair acquired a reprimand from Spillemyndigheden for its insufficient management of buyer id data up till Might 16, 2023. Nonetheless, this particular violation is not energetic and doesn’t require additional motion.
The Danish Monetary Supervisory Authority (DFSA) launched up to date guidelines for the AML Act earlier this 12 months, imposing stricter necessities for buyer due diligence and monitoring particular person transactions and cash transfers.
Betfair now faces the problem of addressing the deficiencies highlighted by the Danish Playing Authority inside the specified timeframes, as a way to guarantee compliance with the AML Act and keep its operations in Denmark.
Betfair has additionally confronted difficulties in Sweden and the UK. In April, the corporate was fined for offering betting markets on 148 matches between 2021 and 2022 within the U21 Allsvenskan, a youth soccer league the place operators are prohibited from providing playing alternatives. In Might, Betfair confronted a high quality of £490,000 ($606,300) from the UK regulator for the dissemination of promotional materials to people who had self-excluded themselves.
