Swedish Court Overturns SEK6m Fine Against ATG for AML Deficiencies

The Administrative Court in Linköping has ruled in favor of AB Travoch Galopp (ATG), overturning a SEK6 million (€500,000) fine imposed by the Swedish gambling regulator, Spelinspektionen. The fine was originally issued due to anti-money laundering (AML) deficiencies discovered between 2019 and 2021. While the court acknowledged ATG’s shortcomings in AML actions, it deemed the violations not severe enough to warrant a warning and fine. Spelinspektionen has the option to appeal the decision within three weeks.

ATG CEO, Hasse Lord Skarplöth, expressed concerns about Spelinspektionen’s approach, stating that more emphasis should be placed on supporting rather than punishing licensed operators and protecting the Swedish licensed market against unlicensed gaming companies. Additionally, Skarplöth raised questions about the regulator’s request to increase the limit for sanction fees to over ten million kronor in future cases.

“The decision raises a number of bigger questions. Spelinspektionen has requested to raise the limit for sanction fees to over ten million kronor in future cases.

“Spelinspektionen’s strategy differs from the rest of the regulatory world. More time should be spent on supporting rather than punishing the actors within the licence system, and resources should be spent on defending the Swedish licenced market and pursuing unlicensed gaming companies.”

In other news, ATG recently appointed Peter Norman as its new chairman, replacing Bo Netz. Norman, a former minister for financial markets and CEO of the Seventh AP Fund, brings extensive experience to the role. ATG reported a slight decline in full-year revenue for 2022, totaling SEK6.04 billion, with net gaming revenue accounting for SEK5.22 billion, agency income at SEK234 million, and other income reaching SEK584 billion.