The UK Gambling Commission (UKGC), the entity tasked with the regulation of Great Britain’s gambling industry, confirmed today it is to suspend the UK license of Addison Global Limited, the Gibraltar-based company responsible for the operations of MoPlay. The operator can no longer legally offer betting and gaming services via its UK domain as the license suspension comes into effect immediately.
The UK regulator decided to suspend the license while it is in the process of reviewing Addison Global Limited’s operations under sections 116 and 118 of the 2005 Gambling Act. The UKGC cited suspicions of licensing conditions breach as the main reason for the suspension under section 120(1)(b).
The gambling company is deemed unsuitable to service UK customers under section 120(1)(d) of the same Act. The license suspension does not prevent the gambling company from returning registered customers’ outstanding balances, the regulator specified. The operator was also warned that the watchdog expects unambiguous messaging to customers in regard to their accounts.
The Gambling Brand Lost Its Gibraltar License on Wednesday
The news comes only a day after Addison Global Limited had its operating license suspended by the Gibraltar Gambling Licensing Authority. The Gibraltar regulator released an official statement yesterday, explaining the gambling brand had failed to honour its outstanding liabilities.
This was the primary factor that influenced the regulator’s decision to suspend the company’s Gibraltar license. According to the official press statement, the Gibraltar Gambling Commissioner had been working closely with Addison Global’s executives on the restructuring proposals brought forward by a shareholder in the company.
Said shareholder assured they were to support Addison Global and its further development. However, it became clear the company had not received the financial support it was expected to get when it first obtained its Gibraltar license.
Thus, the regulator determined it was best to suspend Addison Global’s license as a means of shielding the company’s customers from further detriment. In the meantime, the company’s directors have no other option but to address the insolvency issues Addison Group Limited is currently facing.
The Gibraltar-based gambling operator allegedly owes considerable amounts of money to several of its affiliate partners. The company owes a debt exceeding the sum of £500,000 to a single affiliate. Insider sources suggest that this amount has been owed to said affiliate since March 2019.
The Gibraltar regulatory body did not address the subject of the customer funds’ status in yesterday’s statement. Nyreen Llamas, the Chief Strategy Officer of Addison Global Limited, is yet to officially comment on the license suspension and the status of customer funds.
The Gibraltar-based company, which employs locally around 130 staff members, has experienced financial troubles for some time now despite receiving solid initial investments, including sponsorship deals with several Premier League teams. In September 2019, Watford and Manchester United even filed lawsuits against Addison Global. The Red Devils sought the hefty amount of £9 million in outstanding funds from the company.