Dutch gambling regulator fines offshore casino €1m

The Dutch Gambling Authority has issued a seven-figure penalty to an offshore operator based in Costa Rica.

The watchdog has awarded a €1,050,000 fine to Alimaniere Sociedad De Responsabilidad Limitada, arguing that the company had offered games of chance in the Netherlands, and having targeted Dutch players specifically, without the customary Kansspelautoriteit license.

Dutch authorities go after another unlicensed gambling site

The Kansspelautoriteit is the Dutch name of the gambling watchdog, which has recently passed new rules for issuing fines to regulators in the hopes of helping companies better understand what rules they ought to follow to stay on the watchdog’s good side.

However, the regulator is now acting against the unlicensed market and has been known to issue stiff penalties, managing to even enforce and collect some of them in the past. In June the Kansspelautoriteit confirmed that it had been able to obtain two penalties from offshore companies.

In the present case, the regulator has said that Alimaniere is operating time2spin dot com, which was available to country residents. Although an initial investigation saw the website blocked, the regulator alleges that a mirror domain has been created in its stead, i.e. timetospin1 dot com, also operated by Alimaniere.

Dutch players were also able to use their existing accounts from time2spin dot com to play at the mirror domain, the regulator argued. Presently, the two websites are inaccessible to players in the Netherlands, the regulator said in an official statement detailing the case.

Illegal gambling sites do not seek to protect consumers

Commenting on the latest development, the Dutch Gambling Authority Chairman of the Board Michel Groothuizen has warned consumers about the dangers of "illegal gambling," and argued that these websites often invite a risky style of gambling, without the necessary consumer protection measures in place.

"For example, there was a lack of age verification, which allowed minors to play, and inactivity costs were charged when someone did not use their account for a while. We therefore take tough action against these types of parties," a translated statement by the chairman read.

The final penalty awarded in the case of Alimaniere exceeds the basic €600,000 penalty, as the company’s violations are perceived to be more severe.

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