Customer Takes Entain to Court for AML Breaches

An unsatisfied customer is about to take Entain to court. The gambler is unhappy with Ladbrokes’ problem gambling prevention measures or rather the lack thereof.  

Rose Deposited $21,000 a Day While Earning $3,500 a Month

Simon Rose played with the Entain subsidiary for over a year, resulting in significant losses. According to the man, Ladbrokes let him lose a six-digit sum over seven months without ever caring to try and protect him.

Between 2015 and 2016, Rose played with Ladbrokes and placed wagers worth over $2.1 million. As a result, the player lost a whopping $270,000 for the period. Rose would bet $21,000 a day, which resulted in some significant losses. He pointed out that he had a daily deposit cap of $24,500 despite only earning $3,500 a month.

This, according to Rose, was a clear violation of anti-money laundering protocols and also demonstrated Ladbrokes’ carelessness concerning its customers. Usually, companies are required to prevent gaming harm by monitoring their customers’ spending behavior and contacting them when they see suspicious deposits. AML protocols, on the other hand, require companies to check their customers’ source of funds and confirm that no fraud is taking place.

Ladbrokes Intervened Too Late

Rose confirmed that Ladbrokes did eventually contact him but not before he had lost $117,000. At that point, the company finally inquired about Rose’s source of funds and found out that he had borrowed money to gamble. Rose eventually self-excluded from gaming. However, he argues that the damage is already done and that Ladbrokes should have done more to prevent it.

As a result, Rose launched a High Court action against Entain, the gambling operator’s parent company, Entain. He believes that the firm should have intervened earlier and that it shouldn’t have allowed him to place daily bets that far surpass his monthly income.

UKGC Just Fined Entain for Similar Breaches

Rose’s lawsuit isn’t the only problem Entain is currently dealing with. Two weeks ago, the United Kingdom’s Gambling Commission fined the operator for various AML and social responsibility breaches.

The UKGC found out that Entain’s processes were not in-line with the regulator’s expectations. As a result, Britain’s gaming authority handed the operator a $20 million fine. This is notably the biggest enforcement action ever undertaken by the governing body.

Many of the cases cited by the UKGC resemble Simon Rose’s. In short, Entain allowed gamblers to play and make huge deposits while rarely bothering to check the source of their income or try to convince them to tone down their spending habits.