The UK Gambling Commission (UKGC) has made it very clear over recent years that they are not shy to hand out hefty fines for those seen to be failing to comply with the social responsibility expectations of the Commission.The latest company to find themselves on the receiving end of such a fine is Paddy Power Betfair, who have been slapped with a £2.2 million fee to pay.
What happened?
An investigation carried out by the UKGC discovered that Paddy Power Betfair failed to protect customers, as well as not preventing stolen money from being used to gamble.Money laundering checks are also a high point of priority for the UKGC at the moment, and by not carrying out the necessary checks, Paddy Power Betfair failed in their objective.Add to that the fact that the company failed to interact with customers who were showing clear signs of problem gambling, and Paddy Power Betfair have found themselves firmly in the bad books of the UKGC.
Duty
Speaking of the investigation and subsequent fine, Richard Watson, the Executive Director of the Gambling Commission, said:“As a result of Paddy Power Betfair’s failings significant amounts of stolen money flowed through their exchange and this is simply not acceptable. Operators have a duty to all of their customers to seek to prevent the proceeds of crime from being used in gambling.“These failings all stem from one simple principle – operators must know their customer. If they know their customer and ask the right questions then they place themselves in a strong position to meet their anti-money laundering and social responsibility obligations.”Paddy Power Betfair, for their part, admitted to “weaknesses in its responsible gambling and AML policies and procedures” and to breaching the conditions of its UK license.