Failures in social responsibility and money laundering result in a fine for Buzz Group Ltd.

Following an examination that uncovered difficulties with money laundering and social responsibility, the UK Gambling Commission issued a fine against Buzz Group Ltd. in the amount of 780 thousand pounds. Within the period frame of October 2019 to December 2020, the corporation was served with an official cautionary notice. The notice included several different points, each of which described a different aspect of the company's failure to comply with the regulation criteria.

Problems Concerning Social Responsibility

The standards pertaining to social responsibility were not satisfied by the corporation in a number of different ways. According to the data provided by the Gambling Commission, the financial triggers were set too high and were unable to detect at-risk players. This was a problem. One player was able to make a deposit of $22,400 in just five days, but there was no interaction with the player to establish whether or not the high level of spending put the player at risk.

The operator of Buzz Bingo was reprimanded for failing to carry out customer contacts in an appropriate manner with players who gambled frequently in a short amount of time. The Commission made the observation that one individual deposited a total of 12,400 GBP over the course of six days with no interaction concerning their typical spending patterns.

The Commission also discovered that once interaction began, the staff did not follow up with the requirements that included checking in on gambling levels, asking if they felt in control, or discussing responsible gambling tools and support that bingo players could access if they needed assistance. This was another finding made by the Commission.

In What Ways Did the Attempts to Prevent Money Laundering Fail?

When asked about the origin of monies being placed, it was discovered that Buzz Bingo staff members relied more on the verbal promises of consumers than they did on looking for facts to back up their claims. In one instance, the operator relied on the player indicating it was a significant victory they were playing with rather than addressing the possibility that the money was the result of illegal behavior.

Additionally, the Commission came to the conclusion that many notifications were necessary before anti-money laundering contacts could take place with a customer. Before having their account stopped for anti-money laundering activity, one person was able to accumulate nine alerts on their account.

A second investigation revealed that Buzz Bingo did not maintain enough anti-money laundering records relating to its transactions with players. It is not clear what subjects were covered when consumers were questioned.

The recent action taken by the Commission against Buzz Group Ltd. is a result of the Commission's planned compliance activity. Helen Venn, the Executive Director of the Commission, stated that the regulatory body anticipates the operators to put in place policies and procedures that will make gambling a safe activity and one that is free of criminal behavior. The gambling regulator will take action in the event that an entity involved in gambling does not satisfy the standards.