The UK Gambling Commission announced on October 31st the suspension of the operating license of VGC Leeds Limited, which operates the Victoria Gate Casino in Leeds, due to its failure to maintain effective anti-money laundering policies and control measures. The regulatory body found during a compliance assessment that the casino had significant deficiencies in managing anti-money laundering and counter-terrorist financing risks, posing a "serious threat" to licensing objectives. This is the second license suspension incident recently, following the penalty imposed on Spribe OÜ in late October for violating hosting requirements, as UK regulatory efforts continue to intensify. VGC Leeds was previously fined £450,000 in 2021 for breaches in social responsibility and anti-money laundering regulations.
Regulatory Facts and Sanction Decisions
After conducting a compliance assessment of the VGC Leeds Victoria Gate Casino, the UK Gambling Commission found that it failed to implement effective anti-money laundering policies, procedures, and control measures as required by the license. The regulatory body highlighted serious issues in the casino's decision-making process and its response to identified risks, questioning the overall governance and effectiveness of its risk management. The sanctions took immediate effect, suspending the remote casino license, land-based casino license, and land-based bingo game license, requiring the casino to cease all operations.
Regulatory Review and Rectification Requirements
The Gambling Commission stated that it would conduct a comprehensive review of VGC Leeds' operations during the license suspension period to assess whether it remains suitable to hold a casino operating license. The regulatory body emphasized that these deficiencies pose a serious threat to the licensing objective of "preventing crime from entering the gambling sector," requiring the operator to focus on treating consumers fairly during the suspension period and to promptly inform customers of any developments that might affect them. The casino, located in the center of Leeds, offers slot machines, table games, electronic roulette, and bar entertainment services.
Industry Background and Related Cases
VGC Leeds is not new to regulatory penalties, having been fined £450,000 in October 2021 for breaches in social responsibility and anti-money laundering regulations. This penalty is the second recent license suspension incident, with the Gambling Commission also suspending Spribe OÜ's software license in late October for failing to comply with hosting requirements and for "serious" violations. The regulatory body required Spribe to immediately cease all hosting operations and not to resume operations before obtaining the appropriate licenses.
