Money Laundering and the Gambling Industry: The Great Challenge to Comply

Anti-money laundering and gambling must coexist, no matter the struggle for gambling organisations to comply with the myriad of laws and regulations.

Amongst the stringent and complex regulations designed to fight financial crime are the Terrorism Act of 2000 (TACT), the Proceeds of Crime Act of 2002 (POCA), and the Gambling Act 2005 and the Licence Condition and Codes of Practice (LCCP).

The introduction of this legislation means firms within the sector are continuously finding vulnerabilities in their ability to detect illegal activities, as well as in implementing the proper steps to address these weaknesses.

For a Gambling Organisations to mitigate the risk of being non-compliant, two factors are crucial: a clearly defined set of actions, and the correct functionality in executing compliance tasks.

Customer Identification and Verification

When onboarding new clients, it is vital to pay attention to their potential risk, ensure due diligence checks, and create an in-depth profile of their transaction history etc. The challenge is not only to properly identify and verify clients, but also to complete such actions under pressure of time. To function at this level of operational prowess, gambling/gaming companies must employ newer regulatory technologies.

Ongoing client and transaction monitoring

So, are you able to detect suspicious transaction activity?

It’s certainly easier said than done, thanks to the complexity and blurred lines surrounding such activities. Gambling businesses are now required to be able to detect fraud and money laundering through suspicious activity detected by their clients, a monitoring process that can help in mitigating risk.

But a simple solution exists: the inclusion of transaction monitoring solutions in your compliance operations. These RegTech solutions can also help you monitor your client accounts by informing you of expired documents, such as IDs and proof of residence.

Stay up to date with the latest Laws and Regulations

As time passes, regulatory bodies are increasing the strictness of their measures, and this makes it even more of a challenge for the gambling industry to stay in line. Any business operating in this market must ensure that laws and regulations are followed consistently, while simultaneously reflecting their indicators of problem gambling and money laundering.

Our Approach

At iSPIRAL, we understand that companies operating in the gambling sector face multiple laws and regulations from regulatory agencies. But the complex structure of such firms often overwhelms their compliance officers, who find it a real challenge to keep up and avoid unwanted fines.

Our Solution is RegTek+, an onboarding KYC and AML platform trusted by Banks, Forex Brokers, Investment Firms and Gambling Companies among others.

Designed to adapt to your company-specific issues, this software offers a fast onboarding process, with functionalities achieved through the use of global databases and hard-coded rules. These state-of-the-art functionalities include risk scoring, minimising of false-positives, and monitoring of all documents and information stored for each client, while ensuring you’re consistently updated through the use of alerts. In short, transaction monitoring is a breakthrough module included in the Solution, that will detect and inform you of suspicious activity in real-time.

Are you interested in stepping up your compliance game?

Book your free presentation and demo with our team of experts today!


Phone: +357 24 531975

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