{"id":1811875,"date":"2023-03-23T13:51:55","date_gmt":"2023-03-23T17:51:55","guid":{"rendered":"https:\/\/platogaming.com\/plato-data\/32red-and-platinum-gambling-fined-for-social-responsibility-and-anti-money-laundering-breaches\/"},"modified":"2023-03-23T13:51:55","modified_gmt":"2023-03-23T17:51:55","slug":"32red-and-platinum-gambling-fined-for-social-responsibility-and-anti-money-laundering-breaches","status":"publish","type":"station","link":"https:\/\/platogaming.com\/plato-data\/32red-and-platinum-gambling-fined-for-social-responsibility-and-anti-money-laundering-breaches\/","title":{"rendered":"32Red and Platinum Gambling Fined for Social Responsibility and Anti-Money Laundering Breaches"},"content":{"rendered":"
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Kindred Group plc\u2019s subsidiaries, 32Red Limited and Platinum Gaming Limited breached social responsibility and anti-money laundering laws, and because of that, they were fined \u00a37.1 million.<\/span><\/p>\n

32red.com, the owner of 32Red Limited, has to pay a bigger fine of \u00a34,195,655. Platinum Gaming Limited\u2019s fine is smaller: the company has to pay \u00a32,937,599.<\/span><\/p>\n

After a Commission investigation, the official warrant<\/a> is issued to both companies. <\/span><\/p>\n

Social responsibility failures:<\/b><\/p>\n

Among the breaches, there are some major social responsibility violations. <\/span>32Red<\/b> didn\u2019t have early identification of customers who might have experienced some<\/span> harm related to gambling<\/b> in the past, and they failed to recognize some gamblers who had the potential to become <\/span>problem gamblers<\/b>. The same happened with <\/span>Platinum Gaming<\/b><\/a>.<\/span><\/p>\n

32Red\u2019s<\/span> customers\u2019 interactions<\/b> weren\u2019t carefully monitored, and the company trusted customers that they could afford the gambling<\/span> without any double-checks<\/b>.<\/span><\/p>\n

Platinum Gaming also failed: the company allowed the customers to have <\/span>many accounts<\/b> under different names, even the ones who were <\/span>banned <\/b>or <\/span>self-excluded <\/b>on the 32Red platform. <\/span><\/p>\n

Anti-money laundering breaches:<\/b><\/p>\n

When it comes to <\/span>anti-money laundering breaches<\/b>, 32Red didn\u2019t implement the required measures. Some of the company\u2019s customers were at <\/span>financial risk<\/b>, and the company didn\u2019t manage to identify and report it. The<\/span> customer account reviews<\/b> were very high, which prevented the company from <\/span>taking effective measures<\/b>. It allowed customers to gamble huge amounts of money in a short amount of time, and operators weren\u2019t able to<\/span> control and prevent <\/b>that.<\/span><\/p>\n

32Red<\/a> had <\/span>Source of Funds<\/b> (SOF), and <\/span>Source of Wealth <\/b>(SOW) requests. However, they weren\u2019t respected, so the customers were able to<\/span> deposit funds and gamble<\/b> on its platform before the operator allowed it. Additionally, one of the accounts on the company\u2019s platform wasn\u2019t blocked when the deadline for <\/span>submitting the required information<\/b> had expired. That user kept gambling, spending \u00a316,280, with a loss of \u00a38,321, for two weeks before the account was blocked. <\/span><\/p>\n

The funds from the<\/span> Financial Conduct Authority <\/b>(FCA) also weren\u2019t controlled by the company.<\/span><\/p>\n

When it comes to <\/span>Platinum Gaming<\/b>, their policies, procedures, and controls weren\u2019t in accordance with <\/span>AML<\/b>. The company didn\u2019t revise and review its policies, procedures, and controls, and they failed to be effective. <\/span><\/p>\n

Executive Director of the Gambling Commission<\/a>, Kay Roberts<\/b>, said: <\/span>\u201cThese failures highlight clearly that both operators failed to interact with customers in a way which minimizes the risk of them experiencing harms associated with gambling. Our investigations also showed that policies and procedures were overlooked, both around customer accounts and anti-money laundering practices. Ultimately, it is an example which all gambling operators should take notice of to ensure they protect their customers at all times.\u201d<\/span><\/i><\/p>\n

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