The gambling watchdog of Isle of Man has hit a former online betting company with a £200,000 ($273,000) penalty after an inspection exposed deep flaws in its anti-money-laundering (AML) controls.
The action was announced on Friday (February 6), when the Gambling Supervision Commission published the results of an enforcement investigation into Shelgeyr Limited.
Shelgeyr operated under an Isle of Man licence from November 2018 until July 2024, when it voluntarily gave up its approval to offer online gambling services.
Details of the enforcement action
Regulators said the review uncovered repeated breaches of the Gambling (Anti-Money Laundering and Countering the Financing of Terrorism) Code 2019.
According to the commission, the company fell short across core safeguards, including enhanced due diligence, customer checks, record-keeping, risk assessments and ongoing monitoring of player activity.
Inspectors found that accounts were left open without the extra scrutiny required for higher-risk customers, even after red flags had been identified.
The regulator said Shelgeyr could not show that it had properly established customers’ source of wealth, applied enhanced checks to politically exposed persons or consistently monitored accounts over time.
Required documentation was either missing or poorly maintained, leaving gaps in audit trails that are meant to demonstrate compliance with the law.
In setting the penalty, the commission said the fine reflects the “serious nature” of the non-compliance.
At the same time, it acknowledged that the company and its senior staff cooperated fully during the investigation, which led to a reduction under the regulator’s discretionary penalty policy.
The commission said the outcome is meant to reinforce its statutory duties, including protecting customers, limiting financial crime and safeguarding confidence in the island’s gambling industry.
It also reminded boards and compliance teams that strong oversight, documented controls and demonstrable adherence to AML and counter-terrorist financing rules are expected at all times.
Under Isle of Man law, gambling businesses are subject to strict anti-money-laundering requirements designed to stop criminal misuse of betting platforms.
The commission has powers to impose civil penalties where inspections point to prima facie breaches, and it publishes enforcement outcomes to promote transparency and higher standards.
By making the findings public, the watchdog aims to send a clear signal that failures uncovered during routine inspections can carry financial and reputational consequences.
Although Shelgeyr no longer holds a licence, the commission said former operators remain accountable for conduct during their licensed period, particularly where customer protection and crime prevention are concerned.
The Shelgeyr case adds to a growing list of enforcement actions in recent years, including hitting online casinos SK IOM and Celton Manx with fines in July 2025.
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