Malta tightens reporting requirements for critical sports bets
Sports betting has become more and more popular in recent years disrepute. One reason for this lies in the possibilities of bet fraud and bet manipulation. The sports betting providers are trying to defend themselves against these allegations. An opportunity is seen in tightening the obligation to report suspected cases. Such an innovation is currently being introduced by Malta. We would now like to reveal what this looks like in detail and who is affected by it.
B2B companies must also report
The new regulations apply from October 1st. With these, Malta wants to make the sports betting business safer and prevent fraud. In order to achieve this, B2B companies must now also report. TheMGA explains thenew requirements in detail as follows:
From now on also have toCompany with a Critical Gaming Supply License Report. This occurs as soon as there is a feeling that bet manipulation or bet fraud is about to take place. With this, the Maltese Gaming Authority is trying to nip all illegal incidents in the bud. But which companies have the so-called Critical Gaming Supply License? The Maltese Authority designates these companies as having a “Business to Business (B2B) Business License to Offer or Conduct a Critical Gambling Offering”.
This defines companies thate.g. develop games of chance or provide software through which sports betting is offered. It also includes companies that supply or manage the gaming software. In addition, all companies must now report suspicious cases that are responsible for certain control systems.
In the further course of the public report, it is said that companies are also affected that offer "an important gambling offer in connection with sports betting".
Sports betting integrity department informs betting providers
In order to nip every possibility in the bud in the future, the information should not only work in one direction. Of course, all sports betting providers and associated companies must first report any suspicious activity to the Malta Gaming Authority. However, theSports Betting Integrity Department will in turn inform any company that may come into contact with possible bet manipulation. In this way, their attention is drawn and they can take a closer look.
In addition, the information about suspicious cases should ensure that affected licensees adapt theircontrol system accordingly and thus discover further cases. Thanks to this increased cooperation, sports betting should become safer under Maltese supervision. Combating corruption within sports betting is to be promoted in this way.
Now that many companies are now obliged to report suspicious activities, they naturally have to be informed first. Anyone who has not yet had any contact with betting manipulation will not recognize it either. For this reason, the Malta Gaming Authority encourages all companies to request further details. Only aclose cooperation would be able to make the sports betting market safer.
Which players are affected by bet manipulation?
Many online sports betting and gambling companies are based in Malta and hold a license from this country. With this license, the corporations did not only address gambling fans in Malta. They wereactive throughout Europe on the grounds that there is a freedom to provide services here. Thus, betting manipulation not only affected betting fans in Malta, but also from other countries. The new rules thus also increase the security of, for example, Canadian players who play through an online betting shop.
If greater security is achieved through cooperation with several companies, all players will of course benefit from this.Until now, only licensed gaming providers were obliged to report any unusual events to the MGA. If all companies that work in any way with the providers of sports betting now also have to make a report, the chances of preventing betting manipulation from the start increase.
With this knowledge it could also be achieved that professional players - especially in the lower leagues - no longer let themselves be persuaded to manipulate. Finally, because of the new rules, there is now a higher risk of being discovered. However, there still remains a risk that was allegedly present in recent years: theMGA is said to have colluded with gambling operators in an illegal manner.
Former CEO of MGA was charged
MGA's former CEO, Heathcliff Farrugia, stood up under suspicion with the also former CEO of the gambling group Tumas Gaming having collaborated illegally. Therefore, Heathcliff Farrugia was suspected of granting an advantage. This allegation led to his resignation as CEO of the MGA last year. Interestingly, this happened at the same time that charges were brought against him.
The accusation is primarily that hepassed on sensitive data to the then acting CEO of Tumas Gaming. Of relevance here would have been a review by former CEO Fenech involving money laundering at Casino Portomaso. The Portomaso Casino and the Oracle are owned by Tumas Gaming and are two of the four casinos based in Malta. Thus, Tumas Gaming holds a high position. An intimate and possibly illegal collaboration between the two companies would of course cast a bad name on the MGA. That alone is reason enough for the MGA to introduce the new tightening. This could relieve the MGA of the criticism it has been confronted with lately.