Online betting firm TonyBet fined £443,000 over unfair identification terms

Online operator TonyBet has been hit with a £442,750 penalty for breaking a number of rules including unfair terms under which it could request identification documents for all withdrawals having not done so for deposits.

In addition to being found not to have had fair and transparent terms, the operator was punished by the Gambling Commission for failing to follow social responsibility and anti-money laundering (AML) rules.

TonyBet, which operates tonybet.co.uk, will also have to undergo a third-party audit to assess whether it is effectively implementing AML and social responsibility requirements.

Unfair terms published on TonyBet's website included the firm saying it could request ID documents for "all withdrawals", while not having insisted on those same checks earlier in the process, which the commission said could potentially hamper withdrawals but not deposits.

Winnings could be confiscated where consumers failed to provide AML documentation within 30 days, while accounts were considered dormant after six months of inactivity when they should only be considered dormant after 12 months of inactivity.

Gambling Commission executive director of operations Kay Roberts said: "Not only does this case illustrate our drive to clamp down on anti-money laundering and social responsibility failures, but also highlights action we will take against gambling businesses who fail to be fair and open with customers."

Social responsibility failures included failing to identify and interact with customers who might be at risk of experiencing harm from gambling.

AML failures included failing to conduct adequate risk assessments of the business being used for money laundering and terrorist financing, and failing to ensure they had appropriate policies, procedures and controls to prevent money laundering and terrorist financing.

It is the second punishment handed out by the industry regulator this week, with Vivaro Limited, which trades as vbet, paying a £337,631 regulatory settlement following a series of AML and safer gambling failings.

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