Norsk Tipping fined $427,000 in Norway
Date: 2024-09-27 Author: Leon Pierce Categories: EVENTS
According to a statement from the Norwegian gambling regulator, Norsk Tipping failed to comply with the standards set by the Gambling Act. The operator was accused of paying out $2.25 million to a player without following the required procedures. The player who won the amount was playing the KongKasino game in March when he got lucky.
However, according to the rules, the payout should not have been made immediately and the winning amount exceeded the established limit, which for online games is about $9,500. The regulator expressed dissatisfaction, calling the payout “enormous” and “unfair”. It was also noted that the recipient of the winnings is likely to already have a gambling problem or may develop a disorder due to such a large amount, the regulator said in a statement.
Despite this, Norsk Tipping stresses its commitment to a healthy gaming environment. The company recently introduced loss limits for players under 20 and intends to strengthen its efforts to play responsibly. Setting a limit on online winnings is part of this strategy, although critics argue that this only contributes to the growth of the gambling market outside the country.
According to the regulator, 27% of all online casino players are at moderate or high risk of developing or already have gambling problems. Norsk Tipping was able to return part of the money paid out, but this did not solve all the problems.
An internal review of the company found other cases of similar errors. Norsk Tipping assured the regulator that it is taking steps to correct the situation and claims that these incidents are isolated and random. However, the Lottery and Foundation Authority decided to uphold the fine, as it found systemic shortcomings in the processes of monitoring and preventing such incidents.
Norway is currently the only country in the Scandinavian peninsula that maintains a monopoly model, whereby a state-owned company has exclusive rights to the gambling market.
Norsk Tipping recently appointed a new CEO, Tonje Sagstuyn, while Norway is considering moving to a multi-licensing system, but the idea has yet to gain widespread traction.
