Hillside (New Media Malta) plc reprimanded for breaching Anti-Money Laundering Act
On 19 May 2022, the Danish Gambling Authority has given Hillside (New Media Malta) plc a reprimand for breaching the rules on customer due diligence measures in section 10(1) of the Anti-Money Laundering Act, the rules on the obligation to investigate and register in sections 11(1)(5) and 25 of the Anti-Money Laundering Act, respectively.
The reprimand is given because Hillside has let a young player deposit about DKK 190,000 to his account during a period of just over a year without having sufficient knowledge of whether the player’s funds originated from criminal proceeds. Considering the player’s age and the amount deposited, it should have prompted Hillside to further investigate the origin of the funds, for example, by requesting information about the player’s income. Given that Hillside had not investigated the player, there were no notes on the player either. Thereby, Hillside has not complied with the obligation on customer due diligence measures and the obligations to investigate and register.
Reprimand causes no obligation to act
The Danish Gambling Authority emphasizes that the rules on customer due diligence measures, and the obligations to investigate and register are fundamental parts of the Anti-Money Laundering Act. As a rule, breaches of the rules and obligations lead to an order or a reprimand or in serious or repeated cases, they are reported to the police.
The reprimand does not subject Hillside to an obligation to act since Hillside has implemented new business procedures for customer due diligence measures and investigation after the event.