Betsson Nordic Ltd has been issued a formal warning and fined SEK6.5 million ($682,272) for shortcomings found in its anti-money laundering (AML) processes in Sweden.
The Swedish Gambling Authority, Spelinspektionen, initiated an investigation into Betsson on May 2, 2024, focusing primarily on examining transactions and activities from the year 2023. The review targeted 10 customers from the top 50 customers between the ages of 18 and 29, based on their total deposits.
During its investigation, Spelinspektionen reviewed the player cards and transaction records for these 10 users, observing significant deficiencies in eight cases. Notably, in one example, a client had made 163 deposits totaling SEK491,950 from September 19 to December 30, 2023, despite their annual income being only SEK310,000. Furthermore, the risk level for this customer had been incorrectly evaluated as low to medium.
Deficiencies were also noted in how Betsson justified customer deposits that exceeded their incomes by referring to previous withdrawals of winnings—a methodology that raised significant concerns. “The deficiencies are both serious and systematic,” stated Spelinspektionen, adding that the fine of SEK6.5 million matched the company’s financial health and the gravity of the infringements.
**Snabbare and Flutter’s TSG also fined for AML mishaps**
In actions that coincide, Spelinspektionen has also levied fines and warnings against Snabbare Ltd and The Stars Group (TSG) Interactive for failures in their AML controls. TSG Interactive, under Flutter Entertainment, was fined SEK7 million, while Snabbare received a fine of SEK5.5 million.
TSG was criticized for allowing several of its customers to exceed net deposits of SEK424,514 over a 365-day period without initiating necessary enhanced customer due diligence or sourcing of funds documentation. “TSG’s customer due diligence concerning the scrutinized customers has been inadequate,” Spelinspektionen remarked, emphasizing that there was a failure in implementing timely and adequate controls, thus inadequately addressing the risk of exposure to money laundering.
Similarly, Snabbare was reprimanded for accepting deposits that surpassed the annual incomes of customers without a sufficient understanding of the customer’s background, resulting in delayed and insufficient measures to mitigate risks associated with money laundering.
The total fines imposed on these three operators amounted to SEK19 million, highlighting the grave and system-wide nature of these violations.
**Busy period for Spelinspektionen**
This announcement follows closely behind other regulatory activities carried out by Spelinspektionen, including recent penalties levied last week on various charity and political organizations conducting lotteries for failures in contractor oversight and marketing violations.
The fined entities included the Swedish Social Democratic Workers’ Party, the Swedish Social Democratic Youth League, and the Swedish Social Democratic Women’s League, each faced with a SEK3 million fine.
Earlier in May, Spelinspektionen imposed a SEK10 million fine on Kindred’s subsidiary Spooniker for AML shortcomings, while Videoslots was penalized SEK12 million in April due to deficiencies in addressing excessive gambling.
As Spelinspektionen continues its proactive regulatory role in 2025, Betsson stands as one of the three operators recently admonished for AML shortcomings.