Dutch Gambling Authority Imposes Penalty on Operator for Failing to Provide Information

Penalty Imposed After Incomplete Submission of Information

The Netherlands Gambling Authority (KSA) has issued a financial penalty order against one of its licensed operators after the company failed to provide complete information following a management change.

The operator is required to pay €25,000 for each day the violation continues beyond the 20-working-day deadline, with a maximum penalty of €250,000.

Although the KSA did not disclose the operator’s name, it stated that the company was recently acquired by an international entity.

The issue arose when the KSA requested detailed information from the operator to conduct a mandatory integrity test, which is a standard procedure following significant changes such as acquisitions or management restructuring.

The test is designed to ensure the integrity of the new management by scrutinizing their background, including any past involvement in illegal gambling activities or criminal violations.

Despite repeated requests, the operator only provided incomplete responses, preventing the KSA from assessing the reliability of the new management team.

Enhanced Oversight Under New Leadership

The KSA made it clear that if the operator fails to provide the required information within the 20-day deadline, daily penalties will continue to accrue until the correct information is submitted.

The authority also emphasized that if their investigation reveals that the new management’s integrity is in doubt, or if the operator fails to provide the necessary documentation, further enforcement actions may be taken.

Increased scrutiny of both licensed operators and the black market has been a priority for the KSA under the leadership of its new chair, Michel Groothuizen (pictured). In July, Groothuizen announced plans to ramp up enforcement to ensure the robustness of the legal gambling market while also enhancing player protection.

“We will send out warning letters more often and deliver short, quick blows, such as with an order subject to a penalty,” Groothuizen explained, stressing the need for a balanced approach that includes both incentives and penalties to maintain a strong and attractive regulated gambling environment.