Gambling Commission hit Kindred Group with penalties totalling £7.1 million

The Gambling Commission has hit gambling operator Kindred Group with two penalties totalling more than £7.1 million for social responsibility and anti-money laundering (AML) failures involving two of its brands. 

Platinum Gaming – which runs Unibet – will pay £2,937,599, and 32Red will pay £4,195,655 while both have also received an official warning following a commission investigation.

Among the failures identified by the industry regulator was that one 32Red customer was allowed to deposit £43,000 and lose £36,000 within seven days.

Customers were also able to register on Platinum Gaming after being blocked or self-excluded on the 32Red platform.

The commission also said that customer account reviews identified that financial triggers for AML reviews at 32Red were "too high and not appropriate to effectively manage money laundering and terrorist financing risks".

Gambling Commission executive director Kay Roberts said: "These failures highlight clearly that both operators failed to interact with customers in a way which minimises the risk of them experiencing harms associated with gambling. 

"Our investigations also showed that policies and procedures were overlooked, both around customer accounts and anti-money laundering practices.

"Ultimately, it is an example which all gambling operators should take notice of to ensure they protect customers at all times."

Kindred said the investigation found fault with systems and processes in place in 2020 and early 2021 and claimed that similar cases would be "unlikely" to happen today following improvements to its operations.

Chief executive Henrik Tjarnstrom added: "While we accept the outcome, and the acknowledgment that we have already taken significant steps to strengthen our processes, we also recognise that we need to work even harder to ensure a safe and compliant business. 

"We appreciate the commission’s clear recognition that our operations are in an improving position and that we remain fit to hold an operating licence."

Read these next:

BHA warns MPs affordability checks could be 'financially devastating' for British racing  

'The government must remember betting is a pastime enjoyed by millions' - operators' views on affordability checks  

Much-anticipated gambling review white paper looks set for further parliamentary delay 

Sign up to receive On The Nose, our essential daily newsletter, from the Racing Post. Your unmissable morning feed, direct to your email inbox every morning.