Skyrocketing Gambling Penalties in First Half of 2024 Reach $85 Million Mark, Signifying a 12% Hike
In the first half of 2024, gambling regulators worldwide have taken a firm stance against errant operators, issuing significant financial penalties to enforce compliance with anti-money laundering (AML) regulations and social responsibility requirements.
The Dutch authorities issued the second-largest penalties among gambling regulators, followed closely by the UK Gambling Commission. The total value of financial penalties issued in the first half of 2024 reached US$85m, representing a 12.1% year-on-year increase.
SkyCity Australia Fined for Money Laundering Case
The most substantial fine was imposed on SkyCity in Australia, amounting to AU$67m (US$44.5m) for a money laundering case involving loan sharking, links to organized crime, and human trafficking. This fine is the biggest among the 21 fines issued by gambling regulators in the first half of 2024.
Entain Group and Swedish Operators Also Fined
In addition to SkyCity, Entain Group in the UK was fined a total of £632 million across multiple offences over a five-year period. The violations included breaches of AML and social responsibility regulations related to inadequate customer monitoring at its online and physical gambling operations such as Ladbrokes and Coral.
Swedish gambling operators were also fined nearly SEK 19 million (~$2 million) for AML violations, including failures in customer due diligence and monitoring of deposit limits.
Regulators Focus on Compliance and Player Protection
The focus of gambling regulators in the first half of 2024 has been on ensuring compliance with social responsibility and AML requirements and implementing effective player protection measures. Social responsibility failures are a common reason for action against operators by gambling regulators.
Unregulated Gambling Activity Remains a Challenge
While regulated operators are being held accountable, unregulated and illegal gambling activity through crypto casinos in the US is a growing concern. These platforms, which exploit regulatory loopholes and the anonymity offered by cryptocurrencies, generated an estimated $67.1 billion in illegal gambling revenue in 2024. Regulators globally are struggling to enforce laws effectively against such platforms.
Summary of Penalties
The table below summarises the most significant gambling fines globally in the first half of 2024:
| Entity / Jurisdiction | Approximate Fine | Main Reason(s) for Penalty | |----------------------------|------------------------|----------------------------------------------------------------------| | Entain Group (UK) | £632 million | Anti-money laundering and social responsibility breaches | | Swedish Operators | SEK 19 million (~$2M) | AML compliance failures, inadequate customer due diligence | | Resorts World Las Vegas (US)| $10.5 million | Federal AML violations uncovered during regulatory inquiry | | CNE Casino (Canada) | ~$200,000 CAD | AML risk assessment and compliance program deficiencies |
These penalties demonstrate a strong global regulatory emphasis on AML compliance and responsible gambling, particularly in the online and crypto gambling sectors. Regulators across the US also issued penalties in the first half of 2024.
The fine imposed on SkyCity Australia, amounting to AU$67m (US$44.5m), was the biggest among the 21 fines issued by gambling regulators in the first half of 2024, primarily for involvement in a money laundering case involving loan sharking, organized crime, and human trafficking. In the UK, Entain Group was fined a total of £632 million for breaches of anti-money laundering (AML) and social responsibility regulations across multiple offenses in their online and physical gambling operations.