Daub Alderney, part of Stride Gaming Group, will not appeal a £7m ($9m) fine by the Gambling Commission for failing to prevent money laundering and failing to protect its customers.
The Gambling Commission led an investigation into Stride Gaming and found it had failed in multiple areas, including: monitoring of players, keeping full records of customer transactions and staff training in recognising transactions which could relate to money laundering.
Nigel Payne, Non-Executive Chairman of Stride Gaming, said: “Stride Gaming considers that robust anti-money laundering and social responsibility controls are extremely important.
“We remain disappointed with the particular circumstances of this case and with certain factual inaccuracies which were presented by the Gambling Commission to the regulatory panel in the course of the proceedings, which we believe coloured the size of the fine that has been imposed.”
Richard Williams, Licensing Partner at law firm Joelson, said: “This is an astonishing penalty imposed by the Gambling Commission’s Regulatory Panel on Daub Alderney Limited. The fine is almost double that of the original £4m set aside by the board of Stride Gaming to cover this outcome, and comes alongside a warning and additional conditions imposed on the operating licence.
“This penalty will send shockwaves throughout the gaming industry, as the amounts involved are now so high that they are materially significant for some operators.”