32Red faces £2m Gambling Commission penalty

The UK Gambling Commission (UKGC) has issued a £2m (€2.3m/$2.6m) penalty package to 32Red for failures in consumer protection and money laundering.

The ruling comes after a UKGC investigation that focused on 32Red’s dealings with a customer who was allowed to deposit £758,000 between November 2014 and April 2017 without social responsibility or money laundering checks.

In its findings, the UKGC said there were at least 22 incidents that indicated the customer was a problem gambler, but instead of intervening, 32Red gave out a number of free bonuses.

Indications of harm from the customers included admissions to 32Red staff that they had spent too much, displaying frustration and chasing losses.

The UKGC also found that 32Red failed to check that the customer could afford their spending on the site.

Richard Watson, executive director of the UKGC, said: “Instead of checking on the welfare of a customer displaying problem gambling behaviour, 32Red encouraged the customer to gamble more – this is the exact opposite of what they are supposed to be doing.

“Operators must take action when they spot signs of problem gambling and should be carefully reviewing all the customers they are having a high level of contact with.

“Protecting consumers from gambling-related harm is a priority for us and where we see operators failing in their responsibility to keep their customers safe we will take tough action.”

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