Arabmillionaire was first spoken to by the MGA over the issue on 4 August last year. At the time, the Malta regulator warned the operator could have its licence cancelled if it failed to address certain issues. These included failing to comply with MGA orders, complete regulatory obligations and discharge financial commitments for its operations. Arabmillionaire is also ruled to have breached rules on anti-money laundering and counter-terrorist financing and failing to pay licence fees.
In response, Arabmillionaire informed the MGA it was undergoing major restructuring and requested its licence be frozen. This, the operator said, would allow it to finalise and settle all outstanding issues.
The MGA seemingly agreed to this and in October 2022 suspended Arabmillionaire’s licence allowing it to rectify these issues. These included not only paying required licence fees but also settling payments with customers.
However, the MGA says despite being given ample time, Arabmillionaire has failed to rectify its issues or cooperate with the Authority. The MGA also says attempts to communicate with the operator have been rendered futile and breaches have continued.
As such, the regulator has opted to proceed with cancelling the operator’s gaming licence with immediate effect.
Arabmillionaire ordered to pay outstanding Malta licence funds
Arabmillionaire is now being ordered to pay all outstanding licensing fees. This includes the initial €25,000 (£21,775/$26,398) for the licence period beginning 13 June 2022 plus a further €25,000 for the period from 13 June this year.
This payment, the MGA says, must be made within five working days of the cancellation notice. It is not clear when Arabmillionaire received this notification but the MGA’s public notice on the matter was published on 26 October.
Aside from this, the MGA is instructing Arabmillionaire to notify all customers about the licence cancellation. This must be done on its website and via email and include details about how players can access remaining funds. Customers that make a withdrawal must receive funds within five working days of their request.
The MGA warns failure to return funds or ensure the integrity and availability of regulatory data could be classed as a criminal offence. As such, Arabmillionaire could face criminal action if it does not comply with such requests.
Arabmillionaire has also been ordered to submit a transaction report to the MGA as proof of it transferring player funds.
Tipster also has Malta licence cancelled.
Arabmillionaire is the latest operator to feel the wrath of the MGA. Last month, the Malta regulator also cancelled Tipster Limited’s licences after the business was recently wound up.
The regulator in July suspended Tipster in response to the winding up order and opted to proceed with full cancellation. This, the MGA says, was the most “appropriate” measure.
Tipster was ordered to notify players of the cancellation and settle all outstanding fees with the regulator. The sports betting operator was also ordered to remove any reference to MGA licensing from its websites.
All licence cancellations and suspensions in Malta are open to appeal.
Original article: https://igamingbusiness.com/legal-compliance/legal/malta-cancels-arabmillionaire-gaming-licence/
