SkillOnNet Faces AML Breach Orders and Reprimands in Denmark

by the Danish Gambling Authority. Let’s delve into the specifics of what unfolded and how SkillOnNet is navigating this compliance journey.

The Beginning of the Saga

SkillOnNet, known for its innovative gaming solutions, faced scrutiny when the Danish Gambling Authority conducted a thorough examination of its Anti-Money Laundering Act compliance protocols. The investigation revealed several areas of concern that warranted corrective actions.

One of the primary concerns highlighted by the Danish Gambling Authority was SkillOnNet’s risk assessment approach. The authority noted that SkillOnNet had not conducted separate risk assessments for various aspects of its business, such as different products and payment solutions. This oversight meant that potential AML risks associated with specific business elements may have gone undetected.

In addition to the risk assessment issue, SkillOnNet also faced criticism for inadequate record-keeping related to internal controls. The Danish Gambling Authority pointed out that SkillOnNet lacked written documentation detailing the implementation of internal controls, which are crucial for ensuring compliance with AML regulations.

Furthermore, SkillOnNet received an order regarding the lack of comprehensive documentation regarding its internal control mechanisms. The absence of detailed documentation made it challenging for regulators to assess the effectiveness of SkillOnNet’s AML compliance measures.

Transitioning to the reprimands issued by the Danish Gambling Authority, SkillOnNet received criticism for its business practices. Specifically, the authority highlighted discrepancies between SkillOnNet’s stated business procedures and actual practices related to customer relationship management. These discrepancies raised concerns about the effectiveness of SkillOnNet’s internal controls.

Finally, SkillOnNet faced scrutiny over its whistleblower scheme. The Danish Gambling Authority noted that SkillOnNet’s whistleblower system, accessible only via email until June 2023, lacked the necessary anonymity safeguards required to protect whistleblowers effectively.

The Road Ahead for SkillOnNet

In response to the orders and reprimands, SkillOnNet is now tasked with submitting a revised risk assessment and implementing the necessary internal controls within specified timelines. This period presents an opportunity for SkillOnNet to strengthen its AML compliance framework and regain trust within the regulatory landscape.

As SkillOnNet navigates this compliance journey, it underscores the importance of robust AML measures and proactive regulatory adherence in the iGaming sector. Stay tuned as SkillOnNet works towards enhancing its compliance standards and fostering a secure gaming environment for all stakeholders involved.

Source:

‘‘SkillOnNet Receives AML Breach Orders And Reprimands”, gamblinginsider.com, April 08, 2024.