IGGBA Launches Industry Position Paper on Money Laundering

The Interactive Gambling, Gaming and Betting Association (iGGBA) – the representative trade body within Europe´s growing I-Gaming industry – has published a new paper addressing the issue of money laundering as it affects the sector. iGGBA has long recognised the threats posed by money laundering and has been engaged in discussions with APACs (the Association for Payment Clearing Services) the UK Government and the Gaming Board of Great Britain to create a tough regulatory framework which will prevent cybercrime through I-Gaming sites.

Speaking at the World Online Gambling Law Report conference on Money Laundering and Payment Systems, Andrew Tottenham, iGGBA Council member said:

„The problems of money laundering and the need to establish a strong, coherent, international I-Gaming licensing structure go hand-in-hand. The lack of a regulated, robust and universally available I-Gaming licence leads to the establishment of I-Gaming sites in jurisdictions where strong anti-money laundering regulations are often absent. The work which iGGBA is doing with the UK Government and others will ensure that companies licensed in the UK will adhere to the strictest anti-money laundering codes in the world.“

iGGBA´s paper explains the practical difficulties involved in attempting to launder money through I-Gaming sites, highlighting the fact that the industry is not a cash business so the opportunities to launder large amounts of cash are very limited. And, without the complicity of the site operator, the chances of success are virtually nil. Similarly, the technology underpinning I-Gaming means that the ability to track and audit all transactions in real-time and in detail is a significant anti-cybercrime barrier.

Andrew Tottenham continued:

„The main requirement for fighting money laundering is a robust system of vetting operators when they request licenses. By insuring that operators are responsible for initiating AML measures is the best method of stopping this crime. Additional steps such as customer identification ,log trails and openness of the primary server to the regulator Will bring further comfort that money laundering is being curtailed.“

IGGBA will continue to work with the banks and regulators to ensure any residual threat to the industry from money launderers continues to diminish. iGGBA is also a member of the APACS working group on their Card Not Present (CNP) project which addresses CNP fraud.