The UK Gambling Commission (UKGC) is currently taking heat for not doing enough to monitor sports betting site Football Index which suddenly shut down and left UK players fuming with over £90 million in funds locked away.
The UKGC might have overlooked the financial flaws of Football Index but it has certainly not overlooked the faults of Intouch Games Limited.
The operator which is licensed by the UKGC was hit with a £3.4 million fine for multiple violations of gaming regulations.
Intouch Games is the parent company to a number of popular online casino brands which include Slot Factory, Dr Slot, mFortune, Cashmo, Bonus Boss and PocketWin. The UKGC found that the company had multiple violations in different areas which included money laundering, marketing and advertising practices, and social responsibility.
Apart from hitting Intouch Games with a big fine, the operator has also received an official warning and will have to go through an extensive auditing process by an independent group of auditors. Intouch Games will be responsible for paying the fees for this group of auditors who will check if the casino operator is complying fully with UK gaming regulations.
If Intouch Games continues to breach gaming regulations, the operator could be hit with even bigger fines or have its license revoked. This seven figure fine imposed by the UK watchdog is expected to send a strong message to other licensed gaming regulators to toe the line or be prepared to pay out hefty fines.
What Are Some Of The Violations?
The UKGC disclosed some of the violations that Intouch Games and its brands had committed in recent months. One of the more serious violations was money laundering which showed that the gaming operator did not do due diligence and carry out proper risk assessment procedures.
The casino operator allowed players to use a payment provider that also did business as a crypto exchange. There were multiple failings of Enhanced Customer Due Diligence at different levels and source of funds for multiple customers was not checked.
On the marketing front, the operator did not fully disclose its terms and conditions to players regarding its bonus offers. The SMS used to market this promotion did not specify the time limit for the bonus or the min and max deposit required. It also neglected to protect seven players from being exposed to problem gambling.