The UKGC Slaps Fine on Buzz Bingo for Social Responsibility and Money Laundering Failings
The United Kingdom Gambling Commission (UKGC) has issued a fine of £780,000 to Buzz Bingo for several social responsibility issues along with money laundering failures.
Between October 2019 and December 2020, the regulator identified problems including financial triggers set too high while not identifying players who may be at risk thoroughly enough. A player was able to deposit £22,400 in the space of five days with no accountability for the funds deposited.
Large Deposits Undisputed
Over a six-day period, another customer was able to deposit £12,400 with only one interaction, yet another example in failing to flag up a ‘risk of harm’. Two customers who won large sums of money after gambling aggressively saw a lack of interaction from the operator after depositing large amounts.
In summary, the UKGC concluded Buzz Bingo staff did not always follow the company’s policy on Social Responsibility ensuring customers were in control of their spending and comfortable with the amount deposited.
COO at Buzz Bingo Dominic Mansour said the core value of the staff at Buzz Bingo was its ‘player first’ approach.
“The fine from the Gambling Commission relates to legacy issues that have now been addressed. Buzz Bingo has reviewed and overhauled all its compliance measures and is confident that current policies and processes now meet the standards set.
“Moreover, Buzz Bingo has increased its current and ongoing investment to enhance all its risk and compliance processes to continually improve player protection.”
‘Verbal Assurances’ Not Enough
Source of funding (SOF) triggers were higher than normal and anecdotal information such as ‘verbal assurances’ from customers was deemed enough. Additional to this, the company’s activation of alerts regarding the interaction of AML, saw one customer flag up nine alerts before their account was finally suspended.
UKGC Executive Director Helen Venn said, “As a regulator we expect all operators to effectively implement policies and procedures which make gambling safe and crime-free. Every single gambling business should be aware that we do check these are in place and are being adhered to. If they are not, we will take action.”
Buzz Bingo is the latest operator to receive a hefty fine after failings to ensure money laundering and terrorist financing are connected to a gambling problem. Poor common practices, coupled with late identification checks, risk assessments, and vague customer references will not be tolerated by the regulator.
