Paddy Power Betfair Fined After Stolen Cash Is Gambled Through Its Website

16 October 2018
ShareSave


Paddy Power Betfair has been fined ₤ 2.2 m for failing to stop stolen money being gambled through its website and for stopping working to secure customers revealing indications of issue betting.


The Gambling Commission said the bookie's failings meant "substantial amounts of taken money streamed through their exchange".


One customer utilized cash defrauded from his employer, Birmingham Dogs Home.


Paddy Power Betfair apologised and stated it had actually strengthened its treatments.


The regulator said Paddy Power Betfair's behaviour was simply not appropriate.


A Gambling Commission examination likewise found that the bookie failed to effectively connect with customers who were showing indications of problem betting.


"These failings all stem from one simple principle - operators should understand their consumer," said Richard Watson, Gambling Commission executive director.


"If they understand their consumer and ask the best concerns then they put themselves in a strong position to meet their anti-money laundering and social duty obligations."


'Very sorry'


As part of the settlement, Paddy Power Betfair will make a ₤ 1.7 m payment to GambleAware, the independent charity that commissions research study, education and to reduce gambling-related damage in the UK.


Paddy Power Betfair chief executive Peter Jackson stated: "We have a responsibility to intervene when our clients show signs of problem betting. In these five cases our interventions were ineffective and we are very sorry that this took place.


"In the last few years, we have invested in an extensive program of work to strengthen our resources and systems in responsible betting and client defense. We are motivated that the Gambling Commission has recognised considerable improvement given that the time of these cases in 2016."


The commission's inquiry centred on five consumers in 2016, including 2 who were enabled to gamble taken cash - one of whom had defrauded his employer, Birmingham Dogs Home.


Simon Price, who was president of the canines home, and his wife Alayna confessed cheating the charity of ₤ 894,754 to money his betting dependency.


Mr Price was jailed for five years at the end of 2017, while Mrs Price was offered a two-year suspended term.


As part of Paddy Power's settlement with the Gambling Commission, the cash will be gone back to the pet dogs home.


Shares in Paddy Power Betfair increased 3.4% in late trading in London.