iGaming Company In Malta Fined €236,789 For Not Verifying Players’ Sources Of Income

Malta-based iGaming company Glitnor Services Limited has been handed a fine of €236,789 by the Financial Intelligence Analysis Unit (FIAU) due to serious operational shortcomings.

The violations included failing to check the source of income of a significant number of players.

Upon conducting a revision of the company’s operations, the FIAU determined that Glitnor had not carried out the necessary risk assessments related to its operations. Furthermore, the company failed to provide risk assessment reports, even when client transfers exceeded the €2,000 threshold.

Among the infractions, Glitnor admitted to neglecting to acquire proof of identity and residence for three clients within the legally required 30 days. The company pledged that such failings will not recur and stated it has implemented automatic notifications for client deposits or withdrawals amounting to €2,000.

However, the FIAU also identified that the company managed eight medium-risk players without obtaining direct information regarding their income sources. Moreover, the company did not scrutinise seven other players and failed to ensure the legality of their funds’ origins.

In one instance, a new client deposited over €3,000 through 38 transactions across nine days, including €800 in two consecutive days. Despite this suspicious behaviour, Glitnor did not supervise the client for the following six months, during which the client deposited €35,000, withdrew €25,000, and thus lost €10,000 over eight months.

Over a 13-month period, another client deposited €61,942 and lost €12,040. However, Glitnor did not check the source of this client’s funds.

Another client deposited €12,100 through pre-paid cards over three months and did not withdraw any winnings, and yet no assessment was made by the company.