Denmark’s Gambling Authority Highlights FATF Updates on High-Risk Jurisdictions
Denmark’s Gambling Authority, Spillemyndigheden, has reinforced the importance of compliance with global anti-money laundering (AML) and counter-financing of terrorism (CFT) standards. The authority has called on gambling operators to remain vigilant, integrating high-risk jurisdiction lists into their player risk assessments.
FATF Updates Aim to Strengthen Global AML/CFT Compliance
The Danish Gambling Authority, Spillemyndigheden, has emphasized the importance of the Financial Action Task Force’s (FATF) latest updates on high-risk jurisdictions. These updates underscore the need for gambling operators to align with global anti-money laundering (AML) and counter-financing of terrorism (CFT) measures.
The FATF’s updated lists categorize jurisdictions based on their compliance with AML/CFT standards:
- Grey List: Jurisdictions under increased monitoring for deficiencies in their frameworks. Recent additions include Lebanon, Algeria, Bulgaria, and Croatia, among others.
- Black List: Non-compliant countries include North Korea, Iran, and Myanmar.
Enhanced Due Diligence for High-Risk Jurisdictions
In Denmark, gambling operators are required to implement Enhanced Due Diligence (EDD) measures for players from jurisdictions classified as high-risk by the EU Regulation of High-Risk Third Countries.
These measures include conducting thorough risk assessments to evaluate the potential financial crime risks posed by players, closely monitoring their transactions for any suspicious activity, and promptly reporting any detected anomalies to the appropriate authorities.
These steps are designed to strengthen compliance with anti-money laundering and counter-financing of terrorism regulations, ensuring a secure and transparent gambling environment.
It is important to note that players from FATF’s Grey List jurisdictions do not automatically trigger EDD unless their countries are listed in the EU Regulation.
Safeguarding Denmark’s Gambling Sector
Denmark’s AML Act mandates strict compliance to protect the gambling industry from financial crimes. Spillemyndigheden reinforced that adherence to FATF standards is critical to maintaining a secure gambling environment and preserving the reputation of Denmark’s regulated gambling market.
Recent regulatory efforts align with broader trends, as the Danish gambling market reported a 3% decline in consumer spending. This reflects growing regulatory pressures and heightened awareness of financial crime risks.
Established in 1989, FATF combats money laundering and expanded its scope in 2001 to address terrorism financing. The organization regularly updates its high-risk jurisdiction lists to promote financial integrity worldwide.
