Updated Gambling Restrictions in Gibraltar
In the late 1990s Gibraltar underwent something of an over night transformation into one of the top gambling hotspots in Europe, providing a significant boost to job creation with industries such as construction, hospitality, tourism not to mention gambling all injecting money in to the economy.
This influx of gambling businesses was initiated and spearheaded by Victor Chandler (now BetVictor) leading right to a rapid regeneration of the area. This had led to many gambling businesses operating in Gibraltar, with the present quantity of operators standing at approximately 35.
It absolutely was difficult for these firms to get their boots on the floor in Gibraltar though, even in the 1990s when it absolutely was new territory. The Gibraltar Licensing Authority will only consider granting licenses to ‘blue chip’ businesses which have a successful background in the gambling industry and a sound financial standing.
These companies have observed tougher regulations introduced periodically, often built to offer more protection to the customer and reduced the chance of financial crimes being committed, which this past year has been no dissimilar to those years gone by.
In early December 2020 it had been announced that Her Majesty’s Government of Gibraltar could be launching a crackdown on the internet gambling industry, along with a set of £2. 5 million fines over the sector.
This news employs an evaluation by Gibraltar’s Gambling Division in to anti-money laundering (AML) protections and compliance which found numerous operators within the industry failing woefully to uphold the standards emerge these regulatory protections.
As the Gambing Division highlighted that operators was cooperative with the investigations launched by its review, in addition, it found that ‘risk tolerances were too great and the timing on interventions was too slow or ineffective. ’
In another of the cases investigated it was unveiled that lots of operators had processed funds which an individual had stolen from their employer, and that the patient under consideration had forged documents in breach of fraud regulations along with having given incorrect information in relation to where that they had got their funds from.
A not-too-veiled warning has been issued by the Gibraltar Government to leaders of the betting industry in terms of the AML duties and responsibilities of the operators. Operators must perform strict homework and become rigorous in ensuring that it is usually performed on customer verification and onboarding.
Additionally , gambling operators must ensure that appropriate controls are set up with regards to all player accounts and transactions - and it is very important that their systems demonstrate the capacity to monitor these.
Operators within the industry have already been reminded of the need to uphold their obligations on AML and social responsibility when training operational and customer care teams. A vital part of these obligations may be the duty to report suspicious activity on time, as detail by detail in the Gibraltar Proceeds of Crime Act 2015 (POCA).
It really is profusely clear that the Gibraltar Gambling Division has been rigorous in its role of ensuring the gambling industry is administered responsibly by ensuring operators do their bit to minimise their exposure and decrease the danger of financial crime via regulations targeting AML, whilst protecting the buyer under social responsibility obligations.
An illustration of this here is the Gibraltar Gambling Division confirming that the £2. 5 million in fines could be granted to the ‘Gibraltar Gambling Care Foundation’ to aid in the funding of AML and social responsibility training initiatives at the Gibraltar Academy.
Written for tobjl.info by Adiela de Bruyn on 16-12-2020