Videoslots Limited has been fined £650,000 after a UK Gambling Commission review found weaknesses in the operator’s monitoring systems, customer interactions and AML procedures. The business, which operates videoslots.co.uk, mrvegas.com and megariches.com, has also received a warning and is required to complete a third-party audit.
The Commission found that automated monthly deposit limits did not include initial deposits, allowing customers to exceed stated thresholds. Several cases highlighted delays in customer interactions, including one customer who lost £6,550 over three active days without operator contact.
The investigation also identified AML shortcomings, including gaps in procedures and an over-reliance on automated risk scoring. One customer deposited more than £75,000 in digital vouchers over 16 days and moved funds across multiple bank accounts without timely source-of-funds checks.
John Pierce, Commission Director of Enforcement, said: “Operators are required to have effective Social Responsibility and Anti-Money Laundering policies, procedures and controls as a condition of holding an operating licence. In this case, the operator’s monthly deposit limits were found to be ineffective when tested in practice and AML controls were not applied to the standards we expect.
“The investigation identified a serious example where pre-paid digital vouchers had been used for gambling without effective oversight and early intervention. The over-reliance on an algorithm to monitor risk meant that the customer was able to carry out a high volume of deposits and transfer the proceeds of gambling to multiple different destination accounts with insufficient and timely checks or robust source of funds verification taking place.”
He added that open-loop payment systems such as digital vouchers pose elevated risks and require robust oversight. The Commission has updated its risk information and reminded operators using similar payment methods to report them as a key event.
Pierce said the regulator will monitor the outcome of the independent audit required of Videoslots.
The post Videoslots fined £650,000 for AML and safer gambling breaches appeared first on G3 Newswire.
Videoslots Limited has been fined £650,000 after a UK Gambling Commission review found weaknesses in the operator’s monitoring systems, customer interactions and AML procedures. The business, which operates videoslots.co.uk, mrvegas.com and megariches.com, has also received a warning and is required to complete a third-party audit. The Commission found that automated monthly deposit limits did not…
The post Videoslots fined £650,000 for AML and safer gambling breaches appeared first on G3 Newswire.