Betsson ordered to stop operating in Norway‍

The subsidiary of BML Group, Betsson, must stop offering their gambling service to Norwegian players, effective immediately.

That is what Lottstift – the Norwegian Lotteries Authority – has decided. It appears, in fact, that the operator – which owns platforms such as Betsson and Betsafe – has been offering gambling to Norwegian residents, without the necessary permit to do so. Nordicbet, Norgesautomaten and CasinoEuro are the other brands that must stop offering their gambling services to Norwegian residents.

With a prior notice, pursuant to the Public Administration Act, Lottstift has indicated that the BML Group has been offering Norwegian residents the possibility to take part in lotteries and other forms of gambling, through sites with a Norwegian name, using Norwegian symbols, and marketing on Norwegian TV channels.

 

Lottstift has therefore deemed that these websites “are clearly aimed at Norway”, which would indicate that they violate the Lottery Act and the Gambling Act.

Lottstift also mentioned a similar situation with Trannel International, a subsidiary of Kindred Group. In that circumstance, its decision with a subsequent order was backed by both appellate bodies. The BML Group Limited (which holds a license from the MGA, in Malta) has been made aware of the issue, and so were the company’s three directors, at addresses provided by the Malta Business Registry.

What exactly went down?

According to the Norwegian Lotteries Authority's assessment of the market today, the betting offer is considered to be aimed at Norway after an overall assessment when one or more of the following conditions are met:

  • The game page has a Norwegian name, uses Norwegian symbols, or describes itself as a Norwegian gambling.
  • The game page is designed in Norwegian.
  • The profits from the gaming activity are earmarked for Norwegian organizations.
  • The gaming site refers to Norwegian offers such as Anonymous Gamblers, the Helpline or the Blue Cross Norway.
  • The gaming site offers payment in Norwegian currency or information about the corresponding amount in Norwegian currency.
  • The gaming site offers Norwegian customer support.
  • The gaming site offers games with the same name as legal Norwegian games.
  • The gaming offer is marketed in Norway.
  • Payment services to and from players in Norway are set, in violation of the Norwegian ban on payment services.
  • The game page has information on how to avoid the Norwegian ban on payment services.
  • The gaming site, the company behind the gaming site (or the parent company) has Norwegian representatives, spokespersons or ambassadors, and gives the impression of being a Norwegian player.

After a complete audit of the BML Group platforms, Lottstift has declared that: “Although BML Group’s gambling licence is provided by the Maltese authorities, the illegal gaming offer takes effect in Norway by the company offering games on the internet, inviting players in the Norwegian market to participate, and allowing Norwegians to register as players.”

“The marketing takes place on Norwegian TV channels, the internet and live advertising. One of the game sites has a Norwegian name, while others offer games in Norwegian currency. The pages have Norwegian-language customer support and links to Norwegian offers” Lottstift mentioned in the letter.

“The Norwegian Lotteries Authority’s work with the payment service ban has also revealed that BML Group Limited is actively seeking to circumvent the Norwegian ban on arranging payment to and from foreign gambling companies.”

Furthermore, Norsk Tipping and Norsk Rikstoto have the exclusive right to provide online casino games, bingo, scratch games and odds games in Norway, according to the Gambling Act. Therefore, Lottstift may decide to impose a coercive fine on Betsson, so as to implement the Lotteries Act and Gambling Act.

What will happen now?

In the letter, the Norwegian Lotteries Authority also specified that “If the illegal relationship does not cease after the decision has been made, the Norwegian Lotteries Authority will consider notifying coercive fines that will run until the illegal gambling offer has been rectified or terminated.”

“A coercive fine is not a punishment, and the obligation to pay a coercive fine is not depending on guilt, but is triggered when an illegal relationship occurs, and should be set so high that it does not pay financially for the person responsible not to comply with the decision.”

On Lottstift’s website, the Norwegian Lottery Authority clearly lists all the companies that are considered illegal when it comes to online gambling, and the casinos owned by the BML Group are part of them.

“We will continue to do what we can to stop the illegal gambling advertising on TV and in other media. It is necessary to protect Norwegian players, and that is our social mission. With the right tools in place, it is possible to stop the illegal gambling advertising, and we are now well on our way.”

With this message, available on their website, Lottstift declares a war on illegal gambling, and provides a form for those who wish to report Illegal Gambling Advertising.

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