The Netherlands gambling regulator, Kansspelautoriteit (KSA), has issued its latest fine against a betting operator for AML failures, targeting Entain brand BetCity.nl.
BetEnt NV, the operating company of the bookmaker, has been charged €3m for failing to comply with the terms of the Dutch Money Laundering and Terrorism Financing Prevention Act (Wwft).
According to the KSA, many customer interventions examining potential AML breaches were started late and after a large number of funds had already been spent, whilst the regulator also stated that BetCity had a ‘casual approach’ to source-of-fund information requests.
Additionally, BetCity did not report unusual transactions to the Financial Intelligence Unit (FIU) quickly enough, particularly regarding several customer surveys assessed between December 2022-March 2023.
These customer surveys led the KSA to warn BetCity in September, following an industry-wide warning issued back in May, urging operators to ensure the terms of the Wwft were met.
Rene Jansen, KSA Chairman, said: “In May last year, the KSA issued a broad warning to licensed providers that they had to quickly get their Wwft affairs in order.
“We then indicated that if research shows that providers are underperforming in the field of the Wwft, sanctions will be imposed. We have now moved beyond the start-up phase of the market, which means that there are no longer any excuses for certain shortcomings.”
Dutch licence holders were reminded the KOA Act, which has governed the Netherlands online gambling marketplace since October 2021, requires abidance with the Wwft, which is overseen by the FIU.
AML requirements state that operators licensed to provide online betting and gaming in the Netherlands must supervise customer transactions and report any unusual payments to the FIU for investigation.
This is the second time BetCity has found itself at the receiving end of a KSA fine this year, with the first instance being due to marketing infractions. However, the KSA has also been highly active in enforcing licence conditions relating to AML and other forms of compliance.