Goldchip Limited Ltd. has become the latest target of a UK Gambling Commission investigation. The regulator has decided to rely on Section 116 of the Gambling Act (2005) to suspend the company’s licenses while the investigation is ongoing. While there is no obligation for a company to have its license suspended during a review, the Gambling Commission has chosen to take this precaution.
The regulator did not make it immediately clear what the particular reason for the suspension was but confirmed that it has to do with social responsibility and anti-money laundering problems. The Gambling Commission seems to suggest that both have been breached to a certain extent.
The investigation may take a look into license sustainability for Goldchip Limited Ltd. The company has not commented on the case and has remained silent on the matter. There is a chance that the Gambling Commission will restore the license once the commission’s findings are complete but most investigations are conducted without suspending licenses in the first place.
Meanwhile, the Gambling Commission has cautioned the company to continue treating consumers fairly. A statement by the regulator said that Goldchip Limited should honor all requests for fund withdrawals. Access to the website should be maintained as well, the regulator said in a terse statement. Goldchip Limited Ltd. is unavailable as active service, however, starting from today.
Meanwhile, this is not the Gambling Commission's first enforcement action in recent days. Just at the beginning of the week, the regulator issued big penalties to two providers of casino software in the country. Jumpman Gaming and Progress Play will have to pay £500,000 and £175,718 respectively. They too were fined for breaches in their overall social responsibility and anti-money laundering practices.
With this said, the Gambling Commission has been unusually active. Part of this can be explained by the upcoming regulator review expected to arrive this month. In it, legislators will make proposals as to what to do next to boost consumer protection in the country.
The Betting and Gaming Council has suggested that problem gambling has been already falling in the better part of the United Kingdom. As such, legislators have been urged to move carefully and avoid too much regulation. The recent penalties issued by the Gambling Commission demonstrate that still more needs to be done to clean up the industry.
Image credit: UKGC
