The prominent gambling establishment, Tipwin, has been slapped with a hefty penalty in Denmark following a year-long probe into potential violations of anti-money laundering (AML) guidelines. The Danish Gambling Authority, known vernacularly as Spillemyndigheden, slapped the operator with a penalty of DKK100,000, which converts to approximately $14,476.
Danish Regulator Intensifies Accord Against Tipwin
The difficulties for Tipwin initiated in June 2022 when Spillemyndigheden, the Danish Gambling Authority, filed a complaint to the law enforcement, accusing the company of severe infringements of the Danish Money Laundering Act. The extensive investigation illuminated that Tipwin had inadvertently flouted two aspects of the Act. These rules relate to risk evaluations, policies, and internal oversight relating to AML.
Central to Spillemyndigheden’s apprehensions were Tipwin’s procedures, measures, business operations, and regulatory measures for both traditional and online gambling ventures. Spillemyndigheden turned Tipwin in to the police due to its failure in managing money laundering risks and breaching the Anti-Money Laundering Act since Tipwin did not perform required risk evaluations, produce printed guidelines for its retail operations, or create standard business procedures and controls correlating to money laundering by specific deadlines.
Spillemyndigheden deemed these duties fundamental and offered Tipwin a three-month period to resolve these matters, which encompassed employee education on money laundering protocols. Yet, it’s worth mentioning that the obligation for improved training was nullified on September 9, 2022, owing to certain remedial actions implemented by Tipwin.
Denmark’s Spillemyndigheden Amplifies Its Battle Against Money Laundering in Gambling
In recent times, Spillemyndigheden has escalated its fight against money laundering within the gambling industry. Tipwin isn’t the solitary operator to grapple with AML-related repercussions, as other companies including Casumo, Casino Copenhagen, bet365, and Betfair have also been served with injunctions in the preceding year.
The clampdown on AML operations kick-started in July 2022, dovetailing with the Ministry of Justice’s renewed strategy to deal with these issues in an effective manner.
The gambling authority of Denmark, Spillemyndigheden, has been committed to raising player safety and industry sustainability. The regulator has hardened controls on deposit limits and bonuses, pursued illegal gambling websites, and even proposed partnerships with technology behemoths such as Google and Facebook to tackle unlawful gambling.
Just a week ago, Spillemyndigheden barred 49 illegal gambling websites, escalating the accumulated quantity of embargoed sites in Denmark since 2012 to a total of 276. The regulator has now decided to lift the frequency of blocking unlawful gambling websites, instituting these mechanisms biannually instead of annually.
Even though Spillemyndigheden’s efforts set a commendable precedence for other global regulators, the intricate regulatory structure in Denmark poses challenges for operators, demanding comprehensive documentation and adherence to over 750 individual regulations. Third-party solutions such as SG:certified have come to the fore to simplify the regulatory procedure and assist operators in navigating the complex landscape.
