Spelinspektionen Hits Kindred Subsidiary Spooniker with $1.1M Fine

Sweden’s gambling regulator, Spelinspektionen, has just fined Spooniker Ltd—a subsidiary of Kindred Group—$1.1 million (SEK 10 million) for failing to sufficiently vet its customers.

The Swedish Gambling Authority announced the penalty in a statement on Monday. The penalty underscores the importance of operators complying with the nation’s anti-money laundering (AML) practices.

Spelinspektionen Flags Weak Spooniker Customer Due Diligence

Spooniker—which operated several online gaming brands under the Kindred umbrella—was issued a heavy fine and a formal warning. Spelinspektionen sanctioned the operator after finding that the firm’s customer due diligence processes were inadequate.

The source of the enforcement measures stems from the regulator noting that Spooniker failed to comply with identifying the sources of customers’ funds. Spelinspektionen maintained that this lack of oversight prevented the firm from assessing whether its users’ gambling activities were authentic or potentially linked to money laundering or financing terrorism.

“The company has not collected sufficient information about where the money comes from,” Spelinspektionen stated in its ruling. “Therefore, they have not been able to determine whether the customers’ activities were legitimate.”

The regulator clarified that the violations occurred before June 2024, when the country’s latest AML sanctions were enacted. As a result, Spooniker’s fine was limited to a maximum amount under the prior framework, equivalent to one million euros.

This is not Spooniker’s first brush with the Swedish regulator, either. In December last year, the company was fined $2.7 million after it was ruled to have offered its Swedish customers unauthorized bonuses and lottery products.

Ongoing Pressure on Gambling Oversight and AML Measures

Spooniker is popular with Swedish players as it holds licenses to operate platforms, including unibet.se, mariacasino.se, and storspelare.se. As a result, Swedes can play several online betting, bingo, and iGaming casino games across the firm’s product portfolio.

Aside from its recent fines, the Kindred subsidiary has an unfortunate history of flouting regulations.

However, after an incident in 2021, Spooniker successfully appealed a decision by the Swedish Gambling Authority regarding a breach of set deposit limits introduced during the pandemic.

Industry insiders claim the latest enforcement action is a consequence of wider sweeping regulatory crackdowns in the Swedish gambling sector. It follows Spelinspektionen fining three other operators – Glitnor Services, Roar Vegas, and Videoslots – a combined $5.2 million for violations related to problematic gambling protections.

Of these infringements, the most troubling was the discovery in their Glitnor audit that 10 out of 12 audited users were deemed to have not been provided satisfactory gambling support measures.

While Kindred Group’s ownership has recently changed hands, operating under the umbrella of France’s FDJ United, the pressure on gambling operators to conform is mounting. The clampdown on regulatory infringements is undoubtedly not limited to Swedish watchdogs either, as other countries, including the UK, focus on AML threats, too.

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 Sweden’s gambling regulator, Spelinspektionen, has just fined Spooniker Ltd—a subsidiary of Kindred Group—$1.1 million (SEK 10 million) for failing to sufficiently vet its customers. The Swedish Gambling Authority announced the penalty in a statement on Monday. The penalty underscores the importance of operators complying with the nation’s anti-money laundering (AML) practices. Spelinspektionen Flags Weak Spooniker
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