BIRMINGHAM, B3 2DX, United Kingdom
What is a settlement?
Following an investigation into a licence holder we may enter into a regulatory settlement. These take place, for example, where the licence holder has been open and transparent with us and has shown a willingness to suggest actions that prevent the need for a more formal sanction.
Decision date: 30 March 2021
Outcomes: Payment in lieu of financial penalty, Commission costs and Public statement
Details of action
The Commission investigated Clockfair’s handling of 11 customers following concerns identified at a compliance assessment in July 2019.
Our investigation identified failings in the way Clockfair identified and managed customers who were at higher risk of gambling related harm and who presented a higher risk of money laundering or terrorist financing. These failings stemmed from Clockfair failing to identify risks relating to money laundering and having inappropriate anti-money laundering (AML) and safer gambling policies and procedures.
On 24 October 2019, we gave Clockfair notice that we were commencing a review of its operating licence. That review revealed Clockfair had breached a number of conditions of its operating licence
Clockfair cooperated with our enquiries throughout the course of our investigation and has accepted that its money laundering and terrorist financing risk assessment was not appropriate and that its policies and procedures in respect of AML and safer gambling were not appropriate nor implemented effectively. It has accepted that it failed to act in accordance with conditions of its operating licence between January 2017 and July 2019.
In line with our Statement of principles for licensing and regulation, Clockfair has agreed a regulatory settlement consisting of:
£260,000 payment in lieu of a financial penalty, which will be directed towards delivering the National Strategy to Reduce Gambling Harms
Agreement to the publication of a statement of the facts in relation to this case
Payment of £11,690.41 towards the Commission’s costs of investigating the case.
Agreement to the publication of a statement of facts in relation to this case - with the news story/ public statement being linked off the "a statement of facts".