Global bid to suspend Swedish licence revocation rejected

A Swedish Administrative Court has rejected a request from Ninja Casino operator Global Gaming to have the decision to revoke its operating licence suspended while it appeals the decision taken by the country’s gambling regulator.

The Administrative Court of Linköping has ruled that Global Gaming, which operated in Sweden via its SafeEnt subsidiary, will not be able to offer its services to customers for the duration of the appeal process.

Global Gaming, via SafeEnt, had its licence revoked earlier this week as a result of serious failings in its social responsibility and anti-money laundering controls. It quickly announced that it considered the punishment disproportionate, as it claimed to have worked to ensure it was fully compliant with Swedish regulations, and pledged to appeal the decision.

It told the Linköping court that it did not believe the violations cited by Spelinspektionen jeopardised players’ health, and that there was no risk that its sites could be used to launder money. It also claimed that the decision had caused “irreparable damage” to its business, and that a warning and financial penalty would have been a sufficient punishment.

However, the court rejected the request to have the revocation suspended. While it accepted that Spelinspektionen’s decision would have serious ramifications for the operator, it said that Swedish law dictates gambling activities may only be carried out if there was an appropriate level of protection from excessive gambling. Furthermore, it said, measures must be taken to ensure gambling cannot be used to launder money.

As it was unclear whether such safeguards were in place, the court said it would not stop Spelinspektionen’s decision from being enforced. Global Gaming has the opportunity to file an appeal against the Administrative Court’s decision in the Jönköping Chamber of Commerce.

The Administrative Court will now proceed with the appeal, starting by requesting an opinion from Spelinspektionen on the matter. It noted that it was currently not possible to estimate when it would reach a final decision in the case.

In related news, FSport AB has been granted an online betting licence by Spelinspektionen. The operator plans to launch daily fantasy sports contests in the market, via the FSport.net, FSport.se, PoolPlay.com domains.