Svenska Spel Sport & Casino, the digital wing of the Swedish state-owned gambling operator, has won an appeal against a SEK100 million ($10.5 million) fine and a warning issued by the regulator, Spelinspektionen.
The Administrative Court in Linköping sided with Svenska Spel in a ruling issued on June 2. The lawsuit centered on accusations from March of the previous year, targeting the operator’s digital segment.
Initially, Spelinspektionen accused Svenska Spel of several breaches of the player duty of care under the 2019 Gambling Act. These issues were found during an October to December 2021 review.
Spelinspektionen reproached the operator for failing to implement sufficient measures to curb excessive gambling. The treatment of 10 customers, who had the most significant losses in the review period, was particularly criticized for inadequate protective action.
Ultimately, the court overturned the initial warning and penalty imposed by Spelinspektionen.
### Svenska Spel Urges Clarity on Duty of Care
Svenska Spel fought against the imposed penalty, arguing that the fine was “disproportionate to the identified shortcomings.”
Fredrik Wastenson, CEO and business manager at Svenska Spel Sport & Casino, stressed the need for clearer definitions of care obligations.
After the appeal’s success, Svenska Spel has called for changes in regulatory interpretations concerning duty of care in Sweden. The operator has pointed out the ambiguity in existing regulations, making compliance challenging.
“We believe the authority can only impose measures that the legal framework supports, a principle which the court also reflected,” Svenska Spel commented.
Even with the successful appeal, the issue might evolve, as Spelinspektionen has the option to contest the ruling.
### Three Companies Fined for AML Failings
On the date of Svenska Spel’s court decision, Spelinspektionen fined three companies for anti-money laundering (AML) infractions.
Betsson Nordic was given a warning and fined SEK6.5 million for its AML practices in Sweden. TSG Interactive, part of Flutter Entertainment, received a SEK7 million fine. Similarly, Snabbare was fined SEK5.5 million.
These fines were part of a notably active period for the regulator, which had recently penalized various charity and political organizations for inadequate oversight of contractors and violations in marketing standards.
Additionally, Spelinspektionen imposed a SEK10 million fine on Kindred’s subsidiary Spooniker for AML shortcomings, while Videoslots was penalized SEK12 million for failing to curb excessive gambling.
The core of Svenska Spel’s legal issue concerned the management of 10 customers who faced substantial losses during the October to December 2021 timeframe.