UKGC Slaps Corbett Bookmakers with $890,000 Fine

Family-owned brick-and-mortar gambling operator that runs 36 betting shops, Corbett Bookmakers Limited, has been hit with a £686,070 ($890,000) fine following an investigation by the United Kingdom Gambling Commission (UKGC). 

The inquiry uncovered serious lapses in social responsibility and Anti-Money Laundering (AML) practices, prompting regulatory action.

Independent Audit, Necessary

Beyond the financial penalty, the company will also be required to undergo an independent audit. 

This review aims to assess whether Corbett Bookmakers is effectively enforcing its policies and controls related to both AML compliance and responsible gambling.

The failings came to light during a two-day compliance assessment conducted by the Commission. 

The investigation highlighted several key shortcomings in social responsibility measures, including failure to flag a customer who wagered £23,674 ($30,699) within just 13 days as a potential risk for gambling-related harm and failing to properly intervene when another customer placed 56 bets in a single four-hour session, ultimately losing £3,523 ($4,569).

Another problem referred to the operator “failing to adequately interact” with a player who wagered £47,416 ($61,468) and lost £6,741 ($8,741) over 10 weeks.

AML and KYC Problems

The company also fell short in its AML and Know Your Customer (KYC) obligations. 

Namely, they enabled customers to stake and lose substantial amounts of money without running a sufficient number of KYC checks or verifying the legitimacy of their funds. 

One instance involved a customer who, without proper scrutiny, bet approximately £47,000 ($61,000) and lost £14,000 ($18,000) over an eight-month span.

The operator also lacked proper risk assessment for money laundering and terrorist financing, failing to account for all the risks associated with customer behavior, product offerings, geography, and payment methods. 

This resulted in an insufficiently risk-based approach to AML procedures.

These breaches occurred at various points between February 2022 and May 2024.

John Pierce, the Commission’s director of enforcement, emphasized the operator “has failed to adhere to vital regulations designed to make gambling safer and free from criminal activity.”

In case Corbett fails to “swiftly and fully” implement all audit recommendations, the UKGC compliance team will “reassess the situation and take further action as necessary.”

Pierce further asked other gambling operators to “carefully consider” Corbett’s case and the “price” they are currently paying.