BetCity handed €3m fine for AML failings


The Dutch Gaming Authority (Ksa) has imposed a fine of 3 million euros on Betnet.

Betcity is being fined because it has violated the Money Laundering and Terrorism Financing (Prevention) Act . Betnet offers online gambling in the Netherlands under the brand namE BetCity.

According to the Wwft, gambling providers must, among other things, monitor their customers’ transactions and report unusual transactions to the Dutch Financial Intelligence Unit (FIU).

To do this, they must conduct customer research. For example, they must investigate who their clients are (identity check), which transactions they enter into and what their risk profile is in relation to the risk of money laundering and terrorist financing.

This customer due diligence allows a gaming provider to take timely measures or intervene to combat money laundering and terrorist financing.

René Jansen, chairman of the Gaming Authority: In May last year, the Ksa issued a broad warning to licensed providers that they had to quickly get their Wwft affairs in order. We then indicated that if research shows that providers are underperforming in the field of the Wwft, sanctions will be imposed. We are now following up on this. We are now really out of the start-up phase of the market, and that also means that there are no more excuses for some things.

Share of assessed studies below parThe Ksa has examined Betent customer surveys to determine whether they have been carried out in accordance with the requirements of the Wwft. In September 2022, the Gaming Authority instructed Betent on how to properly conduct these investigations and report unusual transactions to the FIU in a timely manner. After that instruction, the Ksa investigated whether the Wwft was still being violated.

It was established that Betent did not meet the requirements for a large part of the customer surveys assessed between December 2022 and May 2023.

In many cases, investigations were only started late, after large amounts had already been gambled away, and Betent was lax in requesting sources of income from customers. Also, adequate action was not always taken. In many cases, Betent has failed to report unusual transactions to the FIU. The Ksa Betent takes these facts seriously and is therefore now imposing a fine of 3 million euros.