Spelinspektionen granted with new powers

Sweden’s legislature has given its approval to the proposed new powers for the country’s gambling regulator, Spelinspektionen. The update to the Gambling Act will enhance the regulator’s capacity to effectively monitor and intervene in the operations of unlicensed online gambling operators.

Starting from July 1, Spelinspektionen will implement a new measure allowing them to conduct test purchases of gambling services using undisclosed identities. This covert monitoring will enable the regulator to effectively observe operators who target Swedish players. The government has emphasized the necessity of such undercover surveillance for robust oversight. Operators will be promptly informed about these test purchases.

Additionally, Spelinspektionen will acquire new powers to block payments, replacing the previous provisions outlined in Sweden’s gambling legislation. While the regulator already had the authority to block payments to unlicensed gambling operators, practical challenges within the existing framework hindered its implementation.

The newly acquired powers will empower the regulator to establish fresh regulations mandating payment providers to furnish necessary information for payment blocking purposes.

Furthermore, additional measures encompass authorization to store and transmit personal data, aimed at preventing match-fixing, along with heightened obligations for gaming enterprises to disclose relevant information to the police regarding criminal activities.

A recent ruling by a Swedish court has the potential to unleash a wave of reassessments concerning penalty fees imposed in the gambling industry

The recent ruling by Sweden’s Supreme Administrative Court has the potential to pave the way for gaming operators to recover penalty fees previously paid to Spelinspektionen. While upholding the regulator’s penalization of an online casino operator, the court has ordered a reassessment of the fine calculation.

Genesis Global, the online casino operator, was initially fined SEK 4 million (€360,000) by Spelinspektionen for failing to integrate its brands with the Spelpaus self-exclusion system. Following an appeal by Genesis, the fine was successively reduced to SEK 2 million and then to SEK 1 million by lower courts. Spelinspektionen challenged these decisions, leading to the case being brought before the Supreme Administrative Court.

The court has concluded that Spelinspektionen’s decision was valid, but it agreed with the lower courts’ view that the fine amount should be reconsidered. The court cited “uncertainties regarding the concept of turnover” and the application of the penalty, directing Spelinspektionen to reevaluate its methods.