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MALTA BUSINESS CRISIS? LEGITIMATE FIRMS CAN’T ACCESS BANKING SERVICES BUT MONEYVAL STILL SAYS NOT ENOUGH PROGRESS

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MALTA BUSINESS CRISIS? LEGITIMATE FIRMS CAN’T ACCESS BANKING SERVICES BUT MONEYVAL STILL SAYS NOT ENOUGH PROGRESS

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Moneyval, the international anti-money laundering body has slammed Malta for failing to tackle financial crimes.

In a recent report, Moneyval said that there were still unacceptable risks around banking and gambling, despite efforts to clean things up following the murder of journalist Daphne Caruana Galizia, who was investigating corruption, on 16th October 2017.

According to the organisation, the Malta police force have not been effectively tracing criminal money, especially surrounding online gambling.

Despite this, Maltese politicians have said they are satisfied with the progress made, and are implementing a plan to carry out Moneyval’s recommendations – of which there are fifty-eight.

Moneyval attributes the lack of progress to limited human and financial resources, and has said they do not believe the Maltese police can effectively investigate and prosecute cases involving financial bribery and corruption.

 

About Moneyval?

The Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism – MONEYVAL is a permanent monitoring body of the Council of Europe entrusted with the task of assessing compliance with the principal international standards to counter money laundering and the financing of terrorism and the effectiveness of their implementation, as well as with the task of making recommendations to national authorities in respect of necessary improvements to their systems.

 

AYO.NEWS says:

While it is absolutely true that Malta has experienced several high-profile corruption and money laundering scandals, not least the recent case of SKS365 allegedly failing to declare around €4 billion in taxable income between 2015 and 2016 (read more), we can also attest to the fact that the actions already taken have made it virtually impossible for legitimate start-ups to access even the most essential banking services in the country.

In fact, since the shutting down of Satabank almost a year ago, companies in the iGaming sector in Malta (and even those merely dealing with iGaming businesses as clients), have been effectively completely shut out of the Maltese financial system. Obviously this is a big headache for existing companies, but it is literally lethal for start-ups.

As someone writing in local media put it a few days ago “Malta is now only good for business if you sell vegetables.”

The Maltese government urgently needs to take its head out of the sand and realise that unless banking services are made available to legitimate businesses immediately, those businesses will start relocating to other jurisdictions, no matter how favourable tax rates and other perks are.

 

AYO.NEWS says features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited.

With several years experience in the igaming and sports betting industries in Malta under his belt, over the last few years Oliver has developed a passion for blockchain and an interest in esports. He’s also a published novelist and has a background in art and photography.


iGaming

UK LOCKDOWN: POLITICIANS CALL FOR £50 DAILY BETTING CAP DURING COVID-19 CRISIS

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British MP’s have called on online gambling operators to impose a £50 daily betting cap in response to the worsening COVID-19 (coronavirus) crisis.

The call followed reports that some operators are promoting riskier wagers on minor sports, virtual sports and casino products to traditional sports bettors because virtually all mainstream sporting events have been cancelled or postponed.

A cross-party group of MPs have written to the Betting and Gaming Council urging operators to think about the well-being of customers before their own finances.

Labour’s Carolyn Harris, the Conservative’s Ian Duncan Smith, and Scottish National Party’s Ronnie Cowan, said:

“We are deeply concerned that as we go deeper into this crisis, more and more people will turn to online gambling as a distraction. If the industry were to self-impose a daily limit of £50 … it would be a clear demonstration that the industry is willing to act responsibly and do what they can to protect society and peoples’ finances, at this dreadful time.”

 

With the UK now under lockdown, there are also concerns that people at risk of problem gambling might also be tempted to bet more, including on events they are unfamiliar with. Some experts have gone as far as accusing the gambling industry of trying to capitalise on a national disaster.

 

AYO.NEWS says:

Despite online operators, especially casinos, doing very well in the initial stage of the outbreak, as sports bettors look for a new fix and millions trapped at home look for distractions, the party is likely to be short-lived.

As the crisis drags on we are likely to see calls go far beyond a daily betting limit. For example, with governments being forced to subsidise millions of wages, it is almost certain many will call on restrictions to stop people spending it on gambling.

And, of course, for those who can’t work and aren’t getting help with wages – like the UK’s millions of self-employed – it’s unlikely many people will have money available to gamble with!

 

AYO.NEWS says features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited.
All original content featured on this site is © Pentagon Digital Limited, 2020.

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eSports

GAMESCOREKEEPER TACKLES INCREASINGLY CONCERNING ESPORTS ATHLETE AGE ISSUE

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Danish esports betting solutions provider GameScorekeeper has launched a new athletes age checking service.

With so many esports athletes being under the age of 18, betting operators can easily fall foul of regulations and accidentally offer betting on matches with too many minors involved. But, thanks to GameScorekeeper, operators can now easily check ages using a new service.

According to the company, it was 16-year-old Kyle Giersdorf winning the Fortnite World Cup and Yu “JackeyLove” Wen-Bo being a member of Invictus when it won the League of Legends World Championship, that made it sit up and take notice.

It soon became clear that the number of under-18 esports athletes is increasing, making it more important than ever for betting operators to ensure compliance with age regulations.

As GameScorekeeper’s founder and CEO Felix Klastrup pointed out, in traditional sports like football, it is normally easy to identify which teams include under-18 players, but in esports many teams include a mix of under and over 18s.

The company claims its new service covers over 95% of all CS:GO teams, and says any operator can use the service to manually or automatically suspend bets on teams with a majority of players under 18.

Betway has become the first operator to use the service, with Head of Esports at Betway Group, Adam Savinson, commenting:

“We are committed to providing the widest selection of markets on esports while at the same time ensuring all bets live up to our strict responsible policies and comply with regulation on athletes’ age. The Player Age Service from GameScorekeeper ensures that we can maintain this efficiently.”

 

Both Sweden and Spain have already introduced regulations banning betting on individual players aged under 18, or on teams whose majority of players are under 18, and more countries are expected to follow suit.

 

AYO.NEWS says:

This seems like a very handy service given the current state of esports, with mixed age teams. However, moving forwards, as esports betting becomes a major industry, its easy to see how this system could become unworkable, and begs the question as to whether age divisions will need to be introduced in esports?

Staying with GameScorekeeper, just last month we reported the company had entered a partnership with Las Vegas-based gaming solutions supplier Scientific Games.

 

AYO.NEWS says features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited.
All original content featured on this site is © Pentagon Digital Limited, 2020.

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ATG DODGES FINE AFTER BREACHING GAMING ACT WITH BONUS OFFERS

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On 14 February 2020, ATG notified the Swedish Gaming Inspectorate that it had offered bonuses to several customers even though they had already been awarded a bonus earlier, breaching the rules of the Gaming Act.

According to ATG, the incident occurred during the relocation of servers, when there was a problem with the application indicating which customers had already received a welcome bonus.

In connection with this, around 15 existing customers had been offered the welcome offer several times – though it is not clear how many times customers had actually used the bonuses.

ATG says it takes a serious view of what happened, and will review the procedures that caused the error while moving servers.

The Gaming Inspectorate has said it does not consider this a serious violation as it was for a short time, only affected a few customers, and ATG took prompt action to notify them and revise procedures. Hence it has only issued a warning.

 

AYO.NEWS says:

Some will say the Swedish Gaming Inspectorate has once again demonstrating double standards in assessing license violations, and that its perfectly clear it is affording Swedish operators much more leeway that those based abroad. Some would say it is as if the Gaming Inspectorate sees its duty as making life difficult for operators that were not part of the old Swedish state-owned monopoly!

Indeed, earlier today we reported the Swedish Gaming Inspectorate had hit Kindred subsidiary Spooniker with a massive €8.88M fine for offering illegal bonuses during summer 2019.

 

 

AYO.NEWS says features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited.
All original content featured on this site is © Pentagon Digital Limited, 2020.

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SWEDISH REGULATOR ISSUES €8.88M FINE & WARNING TO KINDRED OVER ILLEGAL BONUSES

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Gaming giant Kindred has received a warning and penalty of SEK 100 million (€8.88M) from the Swedish Gaming Inspectorate, related to illegal bonus offers in Summer 2019.

In a press release, the Swedish Gaming Inspectorate said the penalty and the warning apply to Kindred’s subsidiary Spooniker, which holds the Swedish licenses for Unibet.se and Mariacasino.se.

In March 2019, it was noted that the company offered several different unauthorized bonuses. According to the Gaming Inspectorate, in May and June 2019 there were further bonus offers that were in violation of the Gaming Act, and the company also offered games not covered by its license.

Kindred responded by saying it had initially made “a different assessment of what is considered to be a bonus and it is these interpretations that the Gaming Inspection has had views on.” The company also noted it had since adopted “a more restrictive interpretation of the law.”

 

Though the Gaming Inspectorate considers the violations to be serious, since the company has made a correction, and it can be assumed that the company will not violate the rules in the future, it said it considers a warning, together with a penalty fee, to be sufficient.

According to the Swedish Gaming Act, the penalty may not exceed 10 percent of the license holder’s turnover. Given the number of violations and the fact that they relate to both bonus offers and unauthorized lotteries, coupled with Spooniker plc’s high turnover, it has resulted in a relatively high penalty charge.

Kindred will appeal the Gaming Inspectorate’s decision with the aim of obtaining legal guidance on how the legislation should be interpreted. It has emphasised that is believes the Swedish Gaming Act is unclear in areas related to commercial activities, which has created obscurity.

 

All original content featured on this site is © Pentagon Digital Limited, 2020.

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iGaming

DUTCH GAMING AUTHORITY FURIOUS AS ONLINE OPERATORS TAKE ADVANTAGE OF COVID-19 CRISIS

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The Netherlands Gambling Authority (KSA) has reacting with fury over online operators taking advantage of the COVID-19 (coronavirus) crisis to target Dutch customers.

With land-based gaming arcades and casinos in the Netherlands forced to close due to the pandemic, the KSA says it has noticed online operators trying to cash in by offering “corona-free” promotions.

In addition to the illegality of targeting Dutch customers, the KSA also made it clear it found the practice to be “completely objectionable.” In a warning to operators it said:

“The parties that do this, the providers themselves as well as their advertisers, can count on the KSA’s keen interest. Parties that use this type of practice can be assured this will weigh heavily in a possible application for an online gambling license.”

 

The KSA also warned that the worsening COVID-19 crisis could result in delays to the processing of license applications, trademark applications, change requests, and any ongoing legal proceedings.

A couple of weeks ago, the Dutch government published key regulations of the Remote Gaming Act, as online casino and sports betting moves close to legalisation in the country. After several delays, it was thought that the regulated market would go live on 1 July 2021, though with political processes being severely disrupted, this could well be delayed yet again.

 

All original content featured on this site is © Pentagon Digital Limited, 2020.

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iGaming

COVID-19: VEGAS STRIP CLOSED FOR BUSINESS AS CASINOS SHUTTER ACROSS AMERICA

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In an unprecedented move, casino operators have begun shuttering their properties along the Las Vegas Strip, as the COVID-19 pandemic worsens.

 

Wynn Resorts & MGM Resorts close Strip properties

First to move was Wynn Resorts, which announced it will be closing its two luxury properties in on the Strip from Tuesday. MGM Resorts soon followed suit, confirming it will be ceasing casino operations today (Monday 16th March), and closing all 13 Strip properties on Tuesday.

In a statement Chairman and CEO of MGM Resorts said:

“Despite our commitment to dedicating additional resources for cleaning and promoting good health, while making difficult decisions to close certain aspects of our operations, it is now apparent that this is a public health crisis that requires major collective action if we are to slow its progression.

“This is a time of uncertainty across our country and the globe and we must all do our part to curtail the spread of this virus. We will plan to reopen our resorts as soon as it safe to do so and we will continue to support our employees, guests, and communities in every way that we can during this period of closure.”

 

Boyd Gaming closes properties in Illinois, Indiana and Ohio

The news from Vegas was swiftly followed by Boyd Gaming announcing the closure of its Belterra Casino Resort and Blue Chip Casino Hotel and Spa in Indiana; Belterra Park in Ohio; and Par-A-Dice Casino Hotel in Illinois.

The company closed Belterra Park on Friday at midnight, in response to an order from the Ohio Department of Public Health prohibiting mass gatherings of 100 or more people.

Par-A-Dice closed Sunday at midnights, in compliance with a notice from the Illinois Gaming Board, which has ordered all casinos in the state to close until Monday, 30th March.

Belterra Resort and Blue Chip will close today (16th March) at 6am local time, in compliance with order from the Indiana Gaming Commission. Again, this order will last until at least Monday, 30th March.

Valley Forge Casino Resort, Pennsylvania, will also remain closed, following an order from the Governor of Pennsylvania to close all entertainment venues in Montgomery County.

 

Maryland orders all casinos, racetracks and betting facilities closed

On Sunday, Maryland Governor Larry Hogan issued an emergency order, effective from midnight on 16th March, to close all casinos, racetracks and betting facilities in the state, indefinitely.

The order affects, MGM National Harbor, Live! Casino & Hotel, Horseshoe Casino Baltimore, Hollywood Casino Perryville, Ocean Downs Casino, Rocky Gap Casino Resort, Pimlico Race Course, Timonium Race Course, Fair Hill Races, Rosecroft Raceway, Ocean Downs, and all simulcast betting facilities.

 

 

AYO.NEWS says:

Given global developments with the COVID-19 pandemic, we very much doubt any of these casinos or betting facilities will be reopening any time soon, and expect all to remain closed indefinitely.

Though the closure of casinos and retail betting facilities would, at first glance, seem likely to boost online and mobile sports betting, the fact that virtually all major sports in the US has also shutdown means this is unlikely. Though maybe virtual sports betting and esports betting could see a slight benefit in the short terms as bettors look for alternatives.

 

 

AYO.NEWS says features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited.
All original content featured on this site is © Pentagon Digital Limited, 2020.

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