Ladbrokes Coral owner has been slapped with a fine worth £5.9m, given his inability to protect the vulnerable customers while it failed to implement its measures for anti-money laundering. The official Gambling Commission mentioned that over the period of 3 years, the company failed to place effective safeguards that could have prevented the consumers from suffering the harm from gambling.
One among the customers lost around £98,000 while asking the firm to halt any promotions passage. However, the firm didn’t carry out the action as planned for the social responsibility based interactions. Further, the commission mentioned that these issues occurred somewhere between November 2014 & October 2017. After this, the GVC Holdings purchased Ladbrokes Coral during the month of March 2018.
GVC Holdings is now required to pay £4.8 million along with the £1.1 Million divest which is gained via the failings against customer protection. In one of the multiple instances, a customer for Ladbrokes had a total of 460 deposits attempted into the gambling account which was declined. However, the customers still managed to lose around £98,000 over the course of 2 years and 6 months.
The commission officials also mentioned about a customer for Coral who spent more than £1.5 Million in a time period of 3 years. During this time, they had logged into their own accounts on an average of 10 times per day for a term of one month while losing around £64,000 within a time-frame of 4 weeks. The report mentioned that Coral failed to ask its customer the source for their funds and catered no evidence for any interactions for social responsibility.
Richard Watson, the executive director for Gambling Commission mentioned that these were system failures by the large operator that resulted in the consumers being affected along with stolen money entering the business which is completely unacceptable. GVC also mentioned that it regrets and acknowledges that certain processes and legacy systems placed at Ladbrokes as well as Coral didn’t actually meet the complete set of regulatory requirements.
Kenneth Alexander, the Chief Executive at GVC mentioned that these significant failings were not at all acceptable. He is now confident that there is in place the best, robust, and an industry-leading approach for player protection. The shares for GVC Holdings recently rose by a 0.59 percent mark to 611.37p. GVC is also an owner of the gambling outlets named Crystalbet, Bwin, Neds, Eurobet, and the Sportingbet.