Videoslots Ltd to pay £2m over social responsibility and AML shortcomings

Videoslots Limited has agreed to pay a £2m penalty to the United Kingdom Gambling Commission (UKGC) following an investigation into the company. Confirmed earlier today, the penalty cites social responsibility and anti-money laundering failures that were highlighted in the course of the probe.

The operator owns a number of popular brands, including videoslots.co.uk, mrvegas.com, and videoslots.com, and has agreed to pay the penalty as part of a regulatory settlement. In detailing the case, the UKGC pointed out to the specific failures that the regulator has uncovered during the course of its investigation.

One included a social responsibility failure whereby the operator did not take the appropriate measures in those cases involving customers who showed signs of risky behavior or were potentially experiencing gambling-related harm. No sufficient responsible gambling reviews were conducted at an early stage, the regulator noted.

A second issued had to do with a similar failure to look into the individual case of a customer who was experiencing harm. The operator failed to consider whether the amount deposited and lost was appropriate, the watchdog said in the public statement. Then, a third case also had to do with customers who were showing signs of harm but were allowed to continue playing even after the operator intervened.

Commenting on the AML shortcomings, the UKGC provided a similar three-bullet list. The first offense had to do with delays in conducting the appropriate AML reviews, with the source of funds requests not coming at the appropriate time.

Another issue the regulator took with Videoslots Limited had to do with the operator not fulfilling elements of its customer due diligence obligations. Then, a third issue was rooted in the fact that Videoslots did not have enough AML analysts to handle the inflow of AML account reviews, which was yet another breach.

As a result, the sum that the operator will now pay will be forwarded to social causes. The UKGC said that Videoslots has taken a number of mitigating factors, including a clear commitment to rectifying the highlighted shortcomings, as well as the licensee’s admission of the specific failures.

Videoslots was also hailed for its timely response in providing the information requested and offering its full cooperation in the matter. The UKGC has issued a staggering amount of penalties over the past months. The regulator notably settled with William Hill for £19.2m, the biggest penalty or enforcement action ever issued by the watchdog.

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