Journalist Claims Gambling Commission Failed to Address Criminal Activity of Former Licensee

_{Malta-based investigative journalist Michael Schmitt has accused the UK Gambling Commission of failing to act on alleged criminal misconduct by former licensee Mansion Group. (Image: Timon Schneider / Alamy)}

An investigative journalist based in Malta has alleged that the Gambling Commission has ‘brushed under the carpet’, detailed criminal activity by a leading gambling company running gambling facilities and online casinos and ‘failed in its duty’ to refer the evidence to the Crown Prosecution Service (CPS).

The article and allegations by Michael Schmitt raise serious concerns about the Gambling Commission's (GC) handling of past criminal allegations against the Mansion Group, a former licensee.

Claims That a Former Employee of Mansion Group Documented Serious Misconduct

Schmitt claims that the GC received a series of well-documented complaints from a former executive of Mansion Group, detailing serious misconduct from 2012 to 2021, including cross-border tax evasion, fraudulent restructuring, and the use of offshore entities to hide beneficial ownership.

In his article 'UKGC Publishes New Warnings - But what about the Old Crimes?' on LinkedIn, Schmitt claims that despite the gravity of the allegations, the GC chose not to investigate or refer the case to the CPS. Instead, they stated that they could no longer utilise their regulatory powers since Mansion Group had voluntarily surrendered its UK license,

Operator Exited Market Potentially Evading Responsibility

Schmitt is openly critical of the Gambling Commission for being more focused on issuing new guidelines regarding emerging issues like AI and cryptocurrency, while allegedly neglecting credible reports of substantial past misconduct. He says that this creates an impression that the GC is prioritising technical compliance over serious criminality.

Schmitt’s claims against the GC revolve around what he alleges is its failure to investigate serious allegations against a former licensee, potential inconsistencies in regulatory enforcement, and a perceived lack of accountability for past actions by operators once they exit the market.

Questions to GC Over Allegations by Journalist

Casinos.com contacted the GC and asked them a number of questions relating to the allegations made by Michael Schmitt.

We asked the Gambling Commission a number of questions relating to Schmitt's allegations. 

A spokesperson for the Gambling Commission responded: “We do not talk about individual cases. We always investigate any allegations of regulatory failures by an operator. During such investigations, however, it may emerge that those allegations are best dealt with by other law-enforcement agencies.”