Lack of proper player safeguards leads to record fine for 888.
The UK Gambling Commission (UKGC) is strongly emphasizing consumer protection. The regulatory body has fined gambling provider 888 £7.8 million (approx. €8.5 million). The investigation, which began in May, revealed errors in 888's self-exclusion system.
Specifically, more than 7,000 of 888's clients had blocked their accounts using the website's self-exclusion feature, a crucial tool for gambling addicts. This block was supposed to work for sports betting, casino, and poker areas, but unfortunately, it didn't apply to the bingo section. Access to bingo was still available, deposits were accepted, and players continued gambling without restrictions for a whopping 13 months, resulting in £3.5 million in losses for the affected parties.
After concluding its investigation, the UKGC agreed with 888 to fully compensate the damaged customers and impose an additional penalty. UKGC's CEO, Sarah Harrison, explained, "Consumer protection is not optional. The £8 million penalty package symbolizes the severity of 888's failure to protect vulnerable customers. As a result, those affected will not be denied their due."
Sarah Harrison, UK Gambling Commission
Other providers, like Paddy Power Betfair and Gala Coral (now Ladbrokes Coral), have been fined for similar infractions in the past. However, the recent fine is significant due to its size. The UKGC justifies the record fine against 888 with "serious errors" and "significant weaknesses" in the system. Nonetheless, the operators haven't been accused of any wrong intentions. According to the latest information, 888 Holdings attributes these issues to technical errors in the system, like the various product areas not being properly connected. As a result, the block didn't cover all offers and excluded the bingo platform.
888 mentions they have cooperated with the authorities from the start of the investigation and plan to pay the fine. The company said in a statement (PDF):
"888 accepts the outcome of the investigation and is committed to providing players with a responsible and enjoyable gaming experience."
888 states that they rely on data analysis regarding gaming behavior to identify problem gambling. In the future, they aim to activate this system earlier by using stricter threshold values and alert customer service. Specially trained workers will then contact the players at risk, offering their assistance. Additionally, they plan to make it more difficult for gambling addicts to bypass their own bans by restricting the creation of multiple accounts. According to 888, these advancements will be implemented shortly and can satisfy future player protection regulations.
Investors weren't too concerned about the fine as it didn't drastically affect 888's stock value, with shares increasing in worth by about 5% over the course of the day. This may be due to the transparency of the investigation, the company's early admission of fault, and their involvement in determining the fine's amount. The UKGC could have taken harsher measures against 888, such as revoking their license. This would have meant the loss of one of 888's key markets and potentially endangered the existence of the industry powerhouse. However, the hefty fine sends a clear warning to the gaming industry.
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Source: www.onlinecasinosdeutschland.com
