Regulatory body in the Netherlands issues cautions towards three gambling companies
The Dutch Gambling Authority (Kansspelautoriteit, KSA) has issued warnings to three licensed gambling companies in the Netherlands for failing to adhere to the Wwft guidelines, a crucial part of the Dutch Gambling Authority's strategy in combating illegal gambling.
The Wwft, or the Money Laundering and Terrorism Financing Prevention Act, is an essential component of the regulatory framework in the Dutch gambling market. The Act requires each licensed company to track suspicious transactions and report them to the Dutch Financial Intelligence Unit (FIU).
The KSA's investigation into the companies involved a thorough examination of internal documents, including risk assessment strategies, company guidelines on Wwft compliance, and player files. The regulator found deficiencies and shortcomings in the companies' operations, particularly in the areas of investigating the source of players' funds and risk classification of players.
The KSA has emphasized the importance of complying with the Wwft guidelines. Failure to do so can lead to warnings, sanctions, fines, or even license suspension, depending on the severity and recurrence of non-compliance. The regulator has already issued instructions and warnings to operators found in breach, demanding corrective action and warning of tougher enforcement in future inspections.
The formal comprehensive Wwft guidelines are still being finalized but have been updated as of late 2023 based on industry feedback and research. The KSA has also conducted webinars to explain the legal standards and best practices to licensed operators.
Under the Wwft guidelines, licensed companies are required to conduct comprehensive customer due diligence (CDD) on all players with a risk-based approach, applying enhanced due diligence for higher-risk customers or transactions. They must also monitor player transactions continuously to detect suspicious or unusual activity, report any unusual or suspicious transactions promptly to the FIU, and maintain documentation and internal controls to demonstrate ongoing compliance with the Wwft.
Despite achieving a high level of channelization (over 90%) in the local market, the Dutch gambling market is still struggling to contain the gross gaming revenue. The expanded ban on gambling advertisements, which came into effect on July 1, 2025, is part of the ongoing efforts to regulate the market more effectively.
In summary, the KSA’s specific Wwft requirements for licensed gambling companies in the Netherlands focus on robust Anti-Money Laundering (AML) measures including risk-based due diligence, transaction monitoring, source of funds investigations, reporting obligations to the FIU, and documenting compliance frameworks. Enforcement actions are actively used to ensure adherence to these standards.
[1] Dutch Gambling Authority Website [2] Dutch Financial Intelligence Unit Website [3] Webinar Recording on Wwft Compliance
- The Dutch Gambling Authority (Kansspelautoriteit, KSA) has been focusing on casino-and-gambling companies, emphasizing the necessity for casino-games operators to comply with anti-money laundering (AML) regulations, such as lotteries and gambling trends, under the Wwft guidelines, to prevent illegal activities and ensure proper tracking of suspicious transactions.
- As the Dutch gambling market continues to face challenges in containing gross gaming revenue, it is crucial for licensed companies to adhere strictly to Wwft guidelines, including comprehensive customer due diligence (CDD) and continuous transaction monitoring, to effectively combat money laundering and terrorism financing, ultimately maintaining a regulated and secure gambling environment for all players.
