The Isle of Man Gambling Supervision Commission (GSC) levied a £70,000 ($95,587) fine against SK IOM for breaches of anti-money laundering and counter-terrorism financing (AML/CTF) regulations.
This financial penalty, representing a 30% reduction from the initially proposed £100,000, considers both the severity of the infractions and SK IOM’s subsequent actions. The company’s thorough remedial measures and complete cooperation with the GSC’s investigation led to the agreement on a reduced settlement.
The violations were discovered during a 2024 inspection of SK IOM, which obtained its Isle of Man gaming license in 2016. The audit revealed several AML/CTF deficiencies. These included inadequate expertise and resources for the Money Laundering Reporting Officer (MLRO) and AML/CTF Compliance Officer, insufficient monitoring and testing of compliance procedures, and a failure to submit required annual AML/CTF reports, among other shortcomings.
The GSC expressed satisfaction with the imposed penalty.
Updated Licensing Guidance
Separately, the GSC has issued updated guidance for Isle of Man gaming licensees intending to modify their shareholder or beneficial ownership structures. The new guidelines stipulate that a Director of a licensed entity must complete and submit a ‘Role Cessation Form’ to the GSC’s Lead Inspector. The regulator urges licensees to carefully review this updated guidance to prevent future processing delays.
Ongoing Initiatives
It is noteworthy that GSC staff recently completed modern slavery awareness training to enhance understanding and address the risks associated with this practice on the island.
