Spelinspektionen fines Videoslots

Jake Graves November 3, 2023

Swedish gambling regulatory body, Spelinspektionen, has imposed a penalty fine on Videoslots for anti-money laundering (AML) and counter-terrorism financing (CTF) violations

As a licence holder within Swedish territories, Videoslots failed to properly assess customer risk profiles leading to these violations.

Infringements and fines

The authority began supervising the operator in question’s AML protocols back in 2021 as it wanted to confirm whether the company secured sufficient knowledge of its customers.

Under the Spelinspectionen’s findings, Videoslots was deemed to be in significant breach of several regulations which led to a warning and a penalty fee of SEK 9 million (approximately $809,300).

This is one of the larger fines handed out by the authority, which upon issuance noted that the maximum possible fine, outlined by the Money Laundering Act, is EUR 1 million (approximately $1.06 million).

Sweden’s crackdown

This penalty fine from the Spelinspektionen comes in lieu of the regulator’s partial report publication assessing their collaboration with the Finansinspektionen (the nation’s Financial Supervisory Authority).

This partnership is being devised in hopes of strengthening Sweden’s efforts against illegal gambling. Through this review, the two bodies are currently evaluating how their efforts can benefit Sweden’s online gambling market.

As part of the partnership, the regulators are exploring synergies and opportunities for payment blocking in particular.

Additionally, they are also assessing the possibilities for data sharing to enhance their efforts.

Looking towards the future a proposal has been made that aims to allocate SEK 10.8 million ($970,000) to Spelinspektionen’s 2024 budget and SEK 4.5 million ($400,000) to the Finansinspektionen in 2024.

Another proposal has also been made to amend the Spelinspektionen’s Money Laundering Act, with approval from the Swedish Trade Association for Online Gambling, along with suggestions for improvement.

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