Spreadex will pay over one million dollars as a result of the Gambling Commission investigation

Spreadex will pay over one million dollars as a result of the Gambling Commission investigation

Summary:

Spreadex, a UK-based online gambling firm, has agreed to pay over one million dollars to the Gambling Commission after an investigation revealed social responsibility and anti-money laundering failures. The Gambling Commission mentioned some of the social responsibility failures, including the lack of sufficiency in recording and evaluating customer interactions and the ineffective financial alerts that allowed customers to lose significant amounts over a short period of time.

The Gambling Commission in the UK conducted an investigation and found social responsibility and anti-money laundering failures.

The operator will pay the money to socially responsible causes as part of the settlement with the Commission.

The Gambling Commission listed a few instances of social responsibility failures, such as inadequate customer interaction recording and evaluation and inefficient financial notifications that allowed customers to lose a lot of money quickly.

One customer was able to deposit and lose over a million dollars in a single month. According to the Commission, although customer interactions had taken place, they had not been sufficiently evaluated and the restricting of the account has not been considered.

A customer who met a £25,000 financial deposit alert was allowed to increase the alert for further review to £100,000 based solely on a self-declaration of income and an open-course check.

A customer was able to deposit over $400,000 and lose over $300,000 within three months without a source of funding being established.

Another customer was allowed to continue depositing funds after providing bank statements that were blacked out.

Despite our published cases highlighting similar failures, we note the swift and robust action the licensee took to bring itself back to compliance, according to the Gambling Commission Director of Enforcement and Intelligence.

We expect the same commitment and engagement across the gambling sector.