Swedish gambling regulator appeals against Zimpler injunction annulment

The Administrative Court in Linköping had quashed its injunction against the payment provider.

Sweden.- The Swedish gambling regulator Spelinspektionen has lodged an appeal against the Administrative Court in Linköping’s annulment of an injunction against Zimpler AB. 

In July 2023, the regulator had warned the payment provider that it could face a fine of up to SEK25m (€2.2m) if it failed to comply with an order to cease working with unlicensed gambling operators. Zimpler says it has phased out its work with unlicensed operators, but it appealed against the injunction, and its appeal was upheld last month.

Lack of precedent

The administrative court ruled that Spelinspektionen lacked authority for the injunction. However, the regulator argues that by offering its payment service to unlicensed operators, Zimpler was promoting illegal gambling.

It says that by using Zimpler and BankID, a system exclusive to Sweden, illegal sites were not merely accessible to Swedish consumers, but were presented in a way that could be seen as being specifically designed for the Swedish market. Citing a lack of precedent in the case, it wants a higher court to consider the matter.

It said: “It is also important for the management of the application of the law that the appeal be examined by a higher court because there is a lack of practice both when gambling companies are considered targeted to Sweden and the current scope of the promotion ban.”

It added: “Whether or not Zimpler’s payment service has explicitly targeted gambling companies is irrelevant.”