32Red, the online casino brand of the Kindred Group recently reimbursed a business £590k which was stolen by their employee for gambling. The employee embezzled company funds to fuel his gambling activities on the site. He used company credit and debit cards to make payments on the UK-facing website of the operator.
This Tuesday, 32Red informed the Londonderry Crown Court that it has made a payment of £590k to the Northern Ireland-based industrial equipment supplier S3 Alliance. They made the payment after a 44-year-old former employee of S3 Tracey Curran plead guilty to six counts of fraud by false representation last October. She used the American Express cards of the company to withdraw funds between January 2016 and April 2017. She lost the entire amount on 32Red gambling suite.
The Public Prosecution Service lawyer told the court that a large amount of the money that Curran had stolen was reimbursed as a gratuity by the operator. Defense lawyers said that they are working with accountants to find if they had reimbursed the full amount.
32Red has been the epicenter for several negative news in the gambling industry in recent times. In June 2018, the UK Gambling Commission (UKGC) fined it £2 million for its lax anti-money laundering protocols and problems with social responsibility. These issues led a VIP customer to lose over £709k during a three-year period. The UK advertising regulator recently warned the company for running a Google search ad for its Jack and the Beanstalk slot game. The watchdog said that the ad could expose children to gambling.
A sponsorship decision for the Derby County Championship football team also landed the company in hot waters. The deal included a #32 jersey for Wayne Rooney, the club’s newest signing. Many felt that the company adopted an “on your face” approach to sponsorship. The operator quickly responded to the backlash and said that it would include responsible gambling messages on all the British football games it sponsors.