Swedish Court Upholds Millions in AML Fines for Betsson and Operators

The Swedish Administrative Court has upheld decisions by the gambling authority Spelinspektionen. Betsson, Snabbare, and Spooniker must pay millions in fines for breaches of Anti-Money Laundering (AML) regulations. The operators were reprimanded and fined by Spelinspektionen in May 2025.

The court's decision underlines Sweden's strict stance against inadequate due diligence by gambling providers. The primary concern was whether the companies had sufficiently verified the origin of their customers' funds. Cases where deposits seemingly did not match declared income were particularly critical. In Germany, adherence to such rules is equally important and strictly monitored by the Joint Gambling Authority of the Federal States (GGL).

Numbers and facts

Betsson received a warning and a fine of €580,000 (SEK6.5m). Spooniker must pay €893,000 (SEK10m), while Snabbare was penalized with €491,000 (SEK5.5m). All three sanctions are related to AML deficiencies.

Spelinspektionen examined the 50 customers aged 18 to 29 with the highest total deposits. These were made between January 1 and December 31, 2023. One example from Betsson's case involved a customer who made 163 deposits between September 19 and December 30, 2023. These totaled SEK491,950 (approximately €43,913), while the customer's annual net income was SEK310,000 (approximately €27,679). Despite this pattern, the player's risk level was assessed only between low and medium.

The operators argued that high deposit levels could be explained by previous gambling winnings. The court did not accept this explanation. The crucial point was whether an operator can rely on earlier withdrawals as an explanation for later deposits without obtaining documentation proving the money originated from those earlier winnings.

“Betsson says the regulator’s interpretation – that licensees may only take into account previous withdrawals if they have continuously verified them with account statements – is incorrect and disproportionate. The company also argues this departs from prior court practice and that any breaches were not systematic or serious, so any sanction should be significantly reduced or removed.” - Betsson Spokesperson, Betsson

This statement illustrates the disagreement between the operator and the regulator regarding the interpretation of AML regulations. In a previous case in 2019, Betsson was also fined SEK20m (approximately €1.9m at the time) in Sweden. That incident involved allowing customers to fund their online accounts via retail vouchers, and a branded Mastercard was deemed an illegal bonus promotion.

Background

AML regulations oblige operators to know their customers thoroughly. In high-risk cases, they must also verify the source of funds. Spelinspektionen found that the three companies did not adequately establish the source of funds for large deposits. This applied to cases where deposits were not justified by the customers’ taxable income. The Administrative Court's rulings are a clear signal. Swedish gambling providers must strengthen their anti-money laundering safeguards. Authorities will consistently penalize violations.

Why it matters for German players

Strict rules on player protection and anti-money laundering (AML) also apply in Germany. The German State Treaty on Gambling 2021 (GlüStV 2021) has significantly tightened these. Players in GGL-licensed casinos benefit from a high standard of protection. This includes a stake limit of 1 Euro per spin on slot machines and a monthly deposit limit of 1,000 Euros. These limits serve player protection and aim to prevent excessive gambling behavior.

All German online gambling providers with a GGL license are connected to the LUGAS system (Länderübergreifendes Glücksspielaufsichtssystem - Cross-state Gambling Supervision System). This enables central monitoring of players. It ensures that deposit limits are adhered to and prevents players from being active with multiple providers simultaneously. The GGL whitelist lists all legal and safe providers. Players should definitely make sure to only play with these licensed providers. They offer a tested and secure gaming environment that complies with German laws. Providers without a GGL license operate illegally in Germany and offer no player protection according to German standards. This is an important distinction. MGA or Curacao licenses are not sufficient for German players.

What it means for GGL-licensed casinos

The Swedish court rulings highlight the importance of adhering to Anti-Money Laundering (AML) regulations. The GGL in Germany also places great emphasis on these rules. German online casinos must have very precise processes for verifying the source of their customers' funds. This is particularly critical for high deposits. Casinos are obliged to request detailed information from players whose gambling behavior becomes conspicuous. For example, if a player deposits large amounts that do not match their known income, the provider must investigate further. They must request evidence such as salary slips or bank statements to clarify the origin of the money.

If these due diligence obligations are violated, severe penalties can also be imposed in Germany. The GGL does not hesitate to revoke licenses or impose high fines. The Swedish example is a warning to all providers in regulated markets. They must continuously review and improve their compliance systems. Superficial checks or insufficient documentation will not be tolerated. Ultimately, this serves to protect players and the integrity of the gambling market.