Swedish finance ministry demands tougher sanctions for AML failings

Sweden’s Ministry of Finance has proposed raising the fine for gambling firms who violate the Money Laundering Act so that it is the same for the penalty for violating the Gambling Act.

The department said it was looking to bring the penalties in line due to the current discrepancy.

The Ministry of Finance also added that cases involving violations of the Money Laundering Act were often more serious than those involving the Gambling Act.

Niklas Wykman, Swedish Minister of Financial Markets, explained the proposals as a way lowering the risk of money laundering.

He said: “An effective system for measures against money laundering is central to countering organised crime. The gaming market is a sector with a high risk of money laundering. The proposal provides better opportunities to combat criminal activity in connection with gambling.”

In the written memorandum, the department also proposed written confirmation be introduced for telephone betting, with any agreement made without a written signature after an initial conversation be void.

Should the memorandum pass, the changes will come into fruition from 1 April 2024.