Isle of Man gambling regulator fines Shelgeyr Limited
The operator surrendered its Isle of Man gambling licence last year.
UK.- The Isle of Man Gambling Supervision Commission has imposed a £200,000 fine on Shelgeyr Limited after uncovering breaches of anti‑money laundering (AML) and counter‑terrorist financing (CFT) rules. The sanction was issued under the Gambling (AML/CFT) Act 2018, with the regulator emphasising its obligations to safeguard customers, prevent financial crime and uphold confidence in the island’s gambling sector.
Shelgeyr held an Isle of Man gambling licence from 2018 until surrendering it in 2024. The commission launched an investigation following an AML review that identified multiple violations. It said Shelgeyr admitted the shortcomings and cooperated throughout the investigation but said the penalty was appropriate given the extent of the failings.
Key issues included accounts left active without enhanced due diligence inadequate verification of customer wealth sources, failure to screen politically exposed persons, weak evidence of monitoring and poor record‑keeping of transactions and allowing anonymous accounts to operate.
Risk assessments were found to be incomplete, with little attention paid to crypto‑asset payments or the jurisdictions from which business was accepted. The company’s overall risk assessment did not adequately reflect its operations or service delivery.
The regulator also flagged training gaps, with staff not receiving updated AML instruction for over a year. The Commission determined that compliance officers and money laundering reporting officers lacked the necessary expertise and authority, in contravention of paragraphs 27 of its code.
It stressed: “The Commission expects the Board of Directors to have appropriate oversight of an Operator’s activities, staff, systems, procedures and controls, in particular when any aspects are outsourced. As noted within the commission’s Enforcement Strategy, ‘… a licence issued by the GSC imposes upon that licence holder a requirement and expectation that it seeks to achieve the highest standards of regulatory compliance, governance and risk management’.
It added: “The Board of an Operator should ensure that it is receiving appropriate reporting to demonstrate, to its own satisfaction, that its documented arrangements are being adhered to.”
