The Netherlands’ gambling regulator, the Kansspelautoriteit (KSA), revealed that it had issued warnings to Betent and Play North Limited over past violations. According to the authority, in 2022, the two companies had breached the anti-money laundering (AML) and counter-terrorism financing (CTF) rules outlined in the Money Laundering and Terrorism Financing (Prevention) Act (Wwft).
The KSA explained that a probe showed that the two gambling operators did not do enough to monitor the behavior of their players and did not provide sufficient information to the regulator. Furthermore, both companies failed to properly verify the source of customers’ money, in breach of the Wwft.
As a result, the KSA identified cases where players lost thousands of Euros in short spans of time. The gambling companies’ lack of intervention violated multiple articles of the Wwft.
At the time, the KSA contacted the two companies, asking them to get their monitoring processes in order. Both companies tried to appeal the Kansspelautoriteit’s ruling but to no avail.
Betent, for example, claimed that the Wwft rules only came into force after the Dutch online gaming market went live, which was factually incorrect.
The regulator explained that its decision has now been made public since it is no longer revocable. However, the KSA noted that certain information falling under the confidentiality obligation of the Wwft will not be disclosed.
KSA Desires to Protect Dutch Consumers from Harm This is notably the first time the KSA has published instructions relating to the Wwft. The regulator explained that it has now made this information public for a number of reasons.
First of all, publishing this information to the broader public will familiarize the public with KSA’s enforcement action and the regulator’s reasons for it. In addition, other gambling companies can now learn of what type behavior can trigger enforcement action from the KSA. This awareness can prevent other companies from committing similar violations, the KSA believes.
In other news, the KSA just announced its intention to update its responsible gambling policies. The decision comes in the wake of a recent study that highlighted the shortcomings of the current system and demonstrated that operators need to do more to prevent problem gambling.
Earlier this month, the KSA also initiated a crackdown on cashback bonuses, which are forbidden in the Netherlands. Dutch law believes that such offerings can exacerbate harm.
Earlier still, the regulator warned operators over the use of untargeted gambling advertisements, now forbidden in the country.