A whistleblower has courageously stepped forward to expose the alarming operations of unlicensed online gambling platforms targeting vulnerable individuals in the UK. These platforms, operating under offshore licenses, exploit problem gamblers, circumvent self-exclusion systems, and engage in illegal payment practices. FinTelegram is committed to investigating these claims and invites further insiders and whistleblowers to provide critical information through our Whistle42 platform.
Key Points
- Illegal Platforms Exploit Problem Gamblers: Sites like Rolletto, Freshbet, and Goldenbet are accused of targeting individuals registered on the GAMSTOP exclusion scheme, the blanket self-exclusion scheme for online gambling in the UK.
- Transaction Laundering Unveiled: Payments are funneled through unrelated merchants using manipulated Merchant Category Codes (MCC), a practice strictly prohibited by VISA and MasterCard regulations.
- Complicity of Banks and Payment Processors: UK banks, including HSBC, Monzo, and Nationwide, and payment processors like PayOP and ClearJunction, are allegedly enabling these illegal activities by rejecting legitimate chargeback claims and processing disguised transactions.
- Financial Losses and Inaction: The whistleblower reports personal losses of over £20,000 and highlights a lack of enforcement from regulators like the UK Gambling Commission (UKGC) and financial institutions.
The Growing Threat
This whistleblower’s account sheds light on the growing threat posed by unlicensed gambling platforms that operate with impunity, exploiting regulatory loopholes and vulnerable individuals. By leveraging offshore jurisdictions and sophisticated payment laundering schemes, these platforms evade scrutiny and leave victims without recourse.
In his report, the whistleblower explains that he deposited his money to several unlicensed gambling sites that showed up on my bank accounts as several uncontactable merchants, commonly located in China, Panama, Estonia, Latvia, and the Philippines. These merchants cannot be contacted whatsoever and have no affiliation with gambling sites whatsoever
A Systematic Failure
The whistleblower emphasizes the systemic failures of banks, payment processors, and regulatory bodies to protect consumers. While VISA and MasterCard have clear guidelines to prevent misuse of MCC codes, enforcement appears inconsistent. Furthermore, payment processors such as PayOP and ClearJunction are allegedly facilitating these schemes, undermining anti-money laundering (AML) efforts.
FinTelegram’s Commitment to Action
To address the serious allegations raised by this whistleblower, FinTelegram will take the following measures:
- Comprehensive Investigation
- Launch an in-depth investigation into the operations of unlicensed gambling platforms and their payment facilitators, including PayOP, ClearJunction, and Falcora Finance.
- Analyze transaction laundering schemes and MCC manipulation with the assistance of financial crime experts.
- Publication of Findings
- Publish detailed reports on the findings to expose the complicity of unlicensed platforms, payment processors, and financial institutions in enabling illegal gambling activities.
- Regulatory Engagement
- Share investigative insights with the UK Gambling Commission (UKGC), Financial Conduct Authority (FCA), and other regulatory bodies to prompt enforcement actions.
- Advocate for stricter measures to block access to illegal platforms, including IP-based restrictions.
- Whistleblower Advocacy
- Work directly with the whistleblower to ensure their evidence is presented effectively and anonymously to regulators and financial institutions.
- Advocate for victims’ rights to recover financial losses through chargebacks or legal claims.
- Awareness and Prevention
- Educate the public on the dangers of unlicensed gambling sites and provide resources for identifying and avoiding such platforms.
- Call for better enforcement of responsible gambling measures by banks and payment processors.
Call to Action for Insiders and Whistleblowers
FinTelegram recognizes the courage it takes to expose such activities and invites other insiders and whistleblowers to join the fight against illegal gambling platforms and money laundering. If you have information about unlicensed gambling platforms, payment facilitators, or related schemes, please share it confidentially via Whistle42.com. Your insights can help protect victims and hold perpetrators accountable.
A Message to the Whistleblower
To the whistleblower who brought these issues to light, we want you to know that your information has been taken seriously. FinTelegram is fully committed to pursuing this investigation and ensuring that your voice leads to meaningful action. Together, we can shine a light on these illicit activities and work towards greater transparency and accountability in the online gambling industry.
By joining forces, we can build a safer environment for all.