Evolution Gaming Crackdown In Sweden, it highlights wider online gambling compliance issues

Published by Sean Perkins on


Evolution Gaming, which delivers live dealer online casino games, withdrew its products from 16 operators in Sweden last week.

According to a report by the EGR (), all of them were part of a list issued by the local gambling authority Spelinspektionen, which identified companies that operate the market illegally.

Evolution is also online casino games in New Jersey, and it has the contractual right to unilaterally terminate the service if an operator fails to comply with the terms of the agreement.

These terms include waiving regulated markets without the appropriate license.

Evolution should follow the rules

Evolution aggressively enforces its policies, in part to protect the effective US monopoly it enjoys following the takeover of its former competitor Ezugi. As new states open their doors to Online gambling alerts child defenders in Thailand , Evolution will exercise caution to safeguard its status and its suitability for licensing in emerging markets.

Many of these states that work on online gambling legislation will consider a “bad acting language” similar to what’s on the books in Nevada. Such provisions make companies responsible for past violations, even though they have since corrected their ways.

PokerStars, for example, has still not managed to reintegrate into the good graces of some politicians despite a complete overhaul since its time illegally using the US market.

Failure to comply is a disease

In addition, non-compliance also has the habit of being contagious. Doing business with – or under the same roof as – a problematic business can make a business toxic through contact.

GVC was almost denied entry into Nevada after it acquired a company with a subsidiary that was operating illegally in Turkey and did not act fast enough to correct the post-acquisition situation. Although the regulators ultimately granted their license, they did so with a 2-1 vote.

Despite the immediate compliance of UIGEA in 2006 and on the right side of Black Friday, regulators in the Silver State almost closed GVC Partypoker brand.

This type of concern will be of increasing importance in the coming years, both because of the ever-changing regulatory picture in Europe and the increasing complexity of corporate structures in the global online gaming industry.

The development of regulation in online gambling

As the liberalization of online gaming in Europe becomes a trend, the former gray market has been dragged into several closed jurisdictions with individualized subtleties.

Companies that court these regional opportunities are taking on an increased compliance risk as they are juggling with the needs of multiple agencies, some of which have recently begun to flex their regulatory muscles.

In the meantime, mergers and partnerships have few companies in a vacuum. Everyone is a knot in a constantly swirling network of business-to-business alliances. The 16 companies with which Evolution separated the relationships all come from Sweden’s small domestic market for The challenges facing the online gambling sector.

Evolution lists 32 major customers on its website and probably has dozens of other, smaller relationships. It also owns licenses or certifications from 12 different gaming authorities. Although smaller, Ezugi has studios at nine different locations around the world and numerous own customers.

This is the new standard for the games industry. And for any company that does not keep a close eye on its subsidiaries and external relationships, there is a real danger that the left hand will not know what the rights are doing.

Regulators might be ready to overlook small mistakes given their complexity, but it is their duty to maintain strict standards. Funding a proactive compliance department is part of the cost of doing business for any company hoping to enter the US market in the future. See Evolution Gaming Crackdown In Sweden for more.

Categories: Casino News