The operator will also receive a warning from the Commission and be subject to a third-party audit, which will look at whether or not it is adhering to and implementing anti-money laundering and social responsibility regulations correctly.
It reportedly failed to identify and interact with those who would be at risk of problem gambling, and not conducting risk assessments that would have identified terrorist financing.
Three examples of unfair terms that the Commission found on TonyBet’s website included statements such as: ‘Winnings could be confiscated where consumers failed to provide AML documentation within 30 days.’
Secondly, ‘accounts are considered dormant after six months inactivity.’ According to the regulator, however, accounts can only be considered dormant after 12 months of inactivity.
Thirdly, ‘TonyBet may request identification documents for all withdrawals while not having insisted on those same checks earlier in the business relationship, potentially hampering withdrawals but not deposits.’
Kay Roberts, Executive Director of Operations, said of the punitive action: “Not only does this case illustrate our drive to clamp down on anti-money laundering and social responsibility failures, but also highlights action we will take against gambling businesses who fail to be fair and open with customers.”
However, Judge Findlay dismissed the appeal and stated the financial penalty was a “fair and reasonable regulatory response.”
