UK Gambling Board Wins Landmark Case Against Unlicensed Sports Betting Site
Gambling in the UK is regulated by the Gambling Commission, a regulatory government body charged with enforcing regulations in the gaming industry and investigating and prosecuting illicit gambling operations. The nature of the Internet makes it extremely difficult to curb illegal gambling sites, and fly-by-night operations are constantly finding creative ways of getting around the law undetected. Despite the stiff penalties for this kind of activity, the lure of easy profits draw newcomers to the illegal side of the online sports betting industry.
The Gambling Commission recently won a landmark case against two men who were accused of operating an unlicensed sports betting operation. The men tried to circumvent the regulations of the Gambling Commission by allowing users to wager their own virtual currency, which was convertible to and from another virtual currency used on the FIFA website. In other words, anyone who can purchase these FIFA tokens can then turn around and use them to place wagers. Users would then be able to re-convert their winnings back into FIFA tokens and ultimately back into cash.
This backdoor approach made it possible for a number of children to access the site, which alarmed the official at the Gambling Commission, which made the case a top priority. At trial, prosecutors and the Commission drove home the horrifying fact that the accused were well aware that children were using the site regularly. It as was these extenuating circumstances that led the court to hand down severe penalties, with one of the defendants being fined more than 90,000 pounds and the other facing a fine of 164,000 pounds.
Representatives of the Gambling Commission called the verdict a landmark decision. The commission has been hard at work in its effort to stamp out illegal gambling online and has sent out more than 100 cease and desist letters to sites that are running afoul of the law. The decision has helped to give the Commission a mandate to ensure no unlicensed gambling activities take place in the country. According to the Gambling Commission, they take their responsibility seriously as they are charged with protecting children and the most vulnerable people in society from exploitative businesses.
The Gambling Commission was established in 2005 under the Gambling Act and replaced the Gaming Board, which was primarily concerned with casino gambling and most forms of betting, except spread betting. The agency also regulates online betting sites and the United Kingdom’s national lottery, as of 2013.
