The Dutch Gaming Authority (KSA) has issued two major penalties against gambling operators for breaches of national gambling rules. The first fine was issued to Starscream Limited for offering online gambling to Dutch players without a licence. The other fine was against Tulipa Ent Limited, operator of ComeOn casino, for failing to meet its duty of care obligations.
Dutch Gaming Authority Penalises Operators for Flouting Gambling Regulations: Quick Overview
- The Dutch Gaming Authority imposed a €4,228,000 penalty on Starscream Limited for offering online gambling games without a licence. It found that Dutch players could access the sites freely, deposit money, and gamble without proper safeguards in place.
- KSA said the illegal platforms lacked basic player protections, including visible age checks, and offered features that increase the risk of addiction. Apart from issuing fines, the regulator is coordinating with payment services, hosting companies, and large tech companies for better oversight.
- The gambling watchdog handed out a €750,000 penalty to ComeOn Casino for failing to meet its duty of care obligations. It studied 10 player files with high losses and found the absence of duty of care in all cases. The operator ignored signs of moderate gambling behaviour, leading to late or incorrect interventions.
Dutch Regulator Fines Starscream Limited for Illegal Gambling
Kansspelautoriteit (KSA), the Dutch gambling regulator, has imposed a fine of €4,228,000 on Starscream Limited for offering illegal games of chance to players in the Netherlands. In a press release published on Tuesday, January 13, the gambling watchdog announced the penalty.
The violations involved the websites rantcasino.com, allstarzcasino.com and sugarcasino.com, which allowed users to create accounts, deposit money, and participate in gambling activities without the necessary clearances. At the time of the investigation, the KSA found that no technical measures were in place to block Dutch consumers from accessing the offers.
Starscream Limited is based in Saint Lucia and does not hold a Dutch gambling licence. The company had already received an order subject to a penalty for the same illegal offer before the fine was imposed. According to KSA, this lack of authorisation was a key reason for the financial penalty. The watchdog recently tightened the requirements for remote gambling. Operators must now submit an exit plan while applying for a permit.
This is not the first time that the gambling watchdog has penalised violators. Earlier in December, the KSA ordered TOTO Online to comply with AML regulations. Officials found that players on the Starscream websites could gamble without age verification and that autoplay features were available. The regulator stated that such features increase the risk of gambling addiction and do not meet Dutch regulations.
Michel Groothuizen, Chairman of the Board of the KSA, noted that the regulator takes strong action against illegal gambling offers through fines and cooperation with third parties, including payment providers, hosting services, banks and large tech firms. In November, the regulator signed a follow-up Memorandum of Understanding (MoU) with the UK Gambling Commission to improve cross-border cooperation.
Groothuizen said:
The Gaming Authority has a wide range of instruments at its disposal for tackling illegal providers. The imposition of an administrative fine is one of them. Although collecting such fines poses challenges, especially from parties outside the EU, with these fines we continue to send the signal that we are cracking down on illegal supply in the Netherlands.
ComeOn Casino Fined Over Duty of Care Failures
The Dutch gambling regulator has also fined Tulipa Ent Limited €750,000 for failing to comply with the duty of care required of licensed gambling providers. Tulipa operates in the Netherlands under the ComeOn brand. In a press release published on January 13, the regulator stated that the breaches occurred between December 2023 and September 2024.
Gambling providers are required to protect players from excessive gambling and addiction. The Dutch Gaming Authority reviewed 10 player files involving young adults with high losses and found duty of care violations in all cases. Signs of risky gambling behaviour were not identified in time, leading to late or incorrect intervention.
The investigation showed that some young players lost thousands of euros in a short period. The gambling watchdog also found that deposit limits were set too high for these players. Groothuizen noted that these failures highlight the clear absence of sufficient protective measures. He added that operators would be held responsible for failing to carry out their duty of care.
Groothuizen continued
The KSA has previously found that the implementation of the duty of care by providers varied too widely and often left much to be desired. We have therefore conducted additional research at various providers, resulting in the various duty of care fines that we are now seeing coming out. Providers must absolutely not make any mistakes on something as essential as the duty of care, especially when it comes to vulnerable target groups such as young adults.
The KSA stated that both cases reiterate its continued focus on enforcement in the Dutch gambling market. The regulator aims to limit illegal gambling and ensure that licensed providers meet strict player protection rules. It added that further action will follow if operators fail to comply with the Dutch gambling legislation in the future.