Two Operator Licenses Cancelled and One Suspended in Malta
Author:
Muhammad Gregory
In a period of one week, the Malta Gaming Authority (MGA) has cancelled the gambling licenses of Tipin Limited and AMGO iGaming while suspending LIINOO Invest Europe Limited’s permit due to multiple violations. The B2C licenses held by Tipin and AMGO were previously suspended as both operators failed to fulfil the financial obligations specified under the Maltese gambling law. The companies were given a 20-day period to rectify the situation. However, nothing changed during the notice period, and the MGA was forced to cancel the permits. The B2C license of LIINOO is currently at stake, and if the operator does not take the required action, it will lose its Maltese permit.
MGA has suspended one and cancelled two licenses.
?betexion/Pixabay
Owned by the Swedish online gaming company QP Games, AMGO has offered its gambling services in Malta for many years. The MGA granted the operator a B2C license in 2008, and since then, the operator has also registered its base in Malta because of the operator-centric market, regulations, and taxation framework. Since QP Games is always looking to acquire companies in the gamification, online betting, and online casino segments, it acquired AMGO, which offers iGaming and online sports betting. In 2019, AMGO strengthened its portfolio after acquiring Jetbull, an online gambling platform that offers more than 2,000 casino and live casino games, along with live streams of about 25,000 events, from EveryMatrix for €2 million. The roadmap looked promising for AMGO, but lately, a few of its gaming brands have been criticized by players due to the perceived poor website performance and bonus terms. Additionally, the operator has lost its prestigious Maltese license after spending 15 years in the most active and competitive online gambling market in the world. The MGA revoked AMGO’s license after a breach of gaming regulations and non-payment of stipulated fees.
Along with the announcement of the cancelation of AMGO’s gambling permit, the MGA has also specified a set of formalities the operator needs to complete before it completely exits the Maltese market. The first step includes notifying the players who are active on its platform about the cancelation of its license. The MGA has instructed AMGO to send this notification via all its platforms and email. The operator has been instructed to allow players to withdraw their gambling balance and settle all outstanding payouts. To complete this task, the Maltese regulator has granted AMGO a period of five working days. If the local operator fails to fulfil these orders by the MGA, the regulator will be forced to take stricter action, which could include a hefty penalty. Before revoking the gambling permit, the MGA had suspended AMGO’s license and allotted a notice period of 20 working days for the operator to complete the pending payments. However, the local operator failed to meet all orders and ended up losing its license. A week before revoking AMGO’s gambling permit, the MGA cancelled Tipin Limited’s B2C license due to similar violations.
Tipin Limited obtained its Maltese B2C license in the pandemic-inflicted year of 2020. For three years, the operator offered its iGaming services to the Maltese audience and abided by the regulations of the jurisdiction. However, like AMGO, Tipin failed to discharge its financial commitments to the regulator. At the end of November, MGA revoked Tipin’s license and ordered the operator to settle its outstanding dues within five working days. The notice period has elapsed, and the regulator has not released any official updates on the situation, indicating that Tipin may have completed the necessary transactions. Apart from the two license cancellations, the MGA also suspended the B2C gambling permit of LIINOO Invest Europe Limited. The operator offered online casino games to the Maltese audience via its brand BoomBang VIP Casino. After being active for almost eight years in Malta, the operator has declared bankruptcy and is wrapping up its operations. The suspension will soon lead to imminent cancellation. For now, the operator has been instructed to cooperate with the regulator and to fulfil all its obligations before its operation ceases completely.
Arabmillionaire Limited Also Lost Its License This Year
Malta is the iGaming hub of the world, housing about ten percent of the world’s total iGaming and online sports betting operations. The regulation is quite lenient and attracts the attention of every B2B and B2C gambling company in the world. Due to such a favourable framework, many gambling companies have shifted their base and established their headquarters in Malta. Day after day, more and more operators apply for gambling permits in Malta, and the gambling sector is flourishing, with promising growth projected over the next five years.
Despite the lenient, operator-friend framework, the MGA has to monitor its market strictly and ensure that the measures implemented to maintain the integrity of its gambling jurisdiction match the European gambling standards. The Maltese regulator immediately contacts operators flouting regulations, and if the violations do not cease, the MGA imposes penalties or suspends the respective permit. Before AMGO and Tipin, another local iGaming operator, Arabmillionire Limited, lost its Maltese B2C license. Like the former two operators, the latter failed to pay its license fee of two years, which amounted to €50,000. The MGA followed protocol and suspended the operator’s license first. After the notice period elapsed, Arabmillionaire’s permit was canceled, but it was still liable to pay the outstanding amount if it did not want any legal proceedings.
Bill 55 Has Helped Maltese Operators
Earlier this year, the MGA handed Malta-based operators a big boost after confirming a controversial amendment to its regulations. In June this year, the Maltese parliament approved Bill 55, which came as extremely good news for the Maltese operators but was simultaneously questioned by the regulators of other European jurisdictions.
Bill 55 provided the Maltese courts with the competence to dismiss any proceedings of an action initiated by a foreign regulator or a foreign court concerning the activities within the online betting industry directed towards a locally licensed company. The German regulator, Gemeinsame Glücksspielbeh?rde der L?nder (GGL), questioned the decision to make such a major change. However, the MGA was quick to respond to the regulator, stating that the amendment did not violate any European gambling standard.
