Betting empire to pay £500k for money laundering issues

THE online gambling firm run by Britain’s best-paid woman has agreed to pay a £582,120 settlement after failing to prevent potential money laundering and protect vulnerable customers.

Bet365, controlled by Denise Coates, did not carry out meaningful checks on high-risk punters, according to the Gambling Commission. The watchdog added Bet365 had not carried out financial sanctions checks on customers, failed to make independent verification checks, and relied too much on customers’ annual self verification of identities.

The settlement, after an investigation in March 2022, comes as the Australian Transaction Reports and Analysis Centre is examining allegations Bet365 broke money laundering and terrorism financing laws.

In enforcement cases settled by the Gambling Commission, regulatory settlement funds are directed towards socially responsible causes. In cases where a fine is imposed, the money is collected by the Treasury.

Founded in 2000, Stoke-headquartered Bet365 has generated a vast fortune for Ms Coates, who started the business in a Portakabin. Ms Coates took home more than £220m last year, and dividends of about £50m.

This came after a rise in sales to £3.4bn at Bet365 over the year ending March 2023, although the company made a loss of £72.6m, which was blamed on investment in the US market.

British companies have been investing millions into the US since a Supreme Court decision in 2018 allowed states to set their own laws on gambling, which boosted demand. The parent company of William Hill, 888 Holdings said last month that it was considering a sale or exit of its US consumer business because of high costs and red tape.

As well as owning Bet365, Ms Coates’s family are backers of Stoke City FC. Her father Peter is the chairman, and the family owns the club’s stadium.