Videoslots reaches £2m settlement with UK Gambling Commission

Videoslots, the operator behind popular online platforms such as videoslots.com, videoslots.co.uk, and mrvegas.com, has agreed to pay a £2m ($2.5m) settlement to the UK Gambling Commission.

The settlement comes after the regulator found the operator guilty of failures related to social responsibility and anti-money laundering measures.

Regulatory failures

The investigation conducted by the Gambling Commission revealed that Videoslots had failed in its social responsibility obligations. This included not identifying customers displaying risk behaviors and potential harm as early as required. Responsible gambling reviews were not conducted promptly or effectively. The operator also neglected to assess whether the amounts being deposited or lost by customers were appropriate in terms of potential harm.

In addition, Videoslots was found to have regulatory failures in anti-money laundering practices. The operator experienced significant delays in conducting necessary actions, such as conducting AML reviews or requesting sources of funds, as stipulated by its own risk-based processes. The company also did not fulfil certain elements of customer due diligence according to its intended risk-based approach. Insufficient AML analysts and the capacity to process data and conduct necessary account reviews were among the issues highlighted.

Another major settlement

This settlement follows closely on the heels of another major settlement reached by William Hill, who agreed to pay a record £19.2m fine to the Gambling Commission for extensive and concerning social responsibility and anti-money laundering shortcomings.

Andrew Rhodes, Chief Executive of the Gambling Commission, commented on the action: “When we launched this investigation, the failings we uncovered were so widespread and alarming, serious consideration was given to licence suspension.”

The settlement serves as a reminder of the regulatory expectations placed on operators within the gambling industry and the importance of upholding social responsibility and robust anti-money laundering measures to ensure the protection of customers and the integrity of the sector.