Investigation findings on AML and social responsibility failures
The Gambling Commission launched an investigation into Grosvenor Casinos Limited, Grosvenor Casinos (GC) Limited, and Gaming Group Limited, collectively operating 51 land-based venues across Great Britain, revealing widespread compliance failures.
Anti-money laundering shortcomings included neglecting to update internal policies in line with the 2000 Money Laundering Regulations updates, applying inconsistent risk decisions, permitting high-risk fund sources without appropriate scrutiny, and failing to perform mandatory enhanced customer due diligence.
On the social responsibility front, investigators uncovered severe lapses in customer protection. Notable instances included failing to execute safer gambling interactions with a patron who lost £50,000, maintaining zero records of safer gambling dialogues for a customer who won approximately £260,000 before losing around £250,000 over a 12-day period, and delaying safer gambling interactions with a self-excluded customer returning to play until they had already lost £25,000.
Regulatory enforcement and executive remarks
In addition to the £5 million financial settlement, which will be paid directly into the Government’s Consolidated Fund, the operators are mandated to undergo an independent third-party audit. This audit will verify that anti-money laundering and safer gambling controls are robustly and effectively enforced across all premises.
Highlighting the broader industry implications of the land-based enforcement action, Sue Young, Gambling Commission Executive Director of Operations, stated:
“Larger enforcement cases are often associated with online gambling but, as today’s announcement shows, the risks of anti-money laundering and social responsibility failures are equally alive in the land-based sector.”
Young added:
“We would advise all premises-based operators to take a careful look at this case and ensure their own business is not making the same mistakes, and therefore they do not face costly and inevitable Commission action.”
