Compensation action demanded in Netherlands
Image: Shutterstock

Kansspelautoriteit (KSA), the Gambling Authority of the Netherlands, has intensified its supervision of illegal gambling activities, in which it has undertaken new initiatives to block the promotion of unlicensed operators.

Issuing back-to-back updates, KSA informed that it had prohibited 20 apps from being downloaded on mobile stores and social media platforms.

KSA had to take action since the apps were advertising prohibited websites to customers. It was a critical situation because the apps were available for download by children, which ‘made the situation even more  alarming’.

The KSA noted that “underhand techniques” were used by the apps, including use  of false logos of licensed operators and the misuse of the Holland Casino logo. In most cases, the  apps were presented as just other games, such as plinko, but when downloaded, would direct  the user to the unlicensed gaming sites.

Since the last three months, the KSA has been  in close contact with the app stores to have these applications deleted. The authority asked people to remain vigilant  and report any other suspicious applications to them and provided specific guidelines on how to do it by naming the  app. The KSA also accepts reports from industry bodies and licensed providers which are made through Meld  Vals Spel platform and investigates them fully.

The effort to limit the accessibility of Dutch citizens especially  young people to the prohibited gambling sites with no protection against addiction or financial issues is part of a larger  plan.

Furthermore, the KSA made it clear where it stands on enforcement by announcing that it had  fined Curaçao-based Techno Offshore Limited €1.2 million for operating its websites  nolimitbet.com and simplecasino.com without a license and targeting Dutch players.

The operator  did not block Dutch users, did not put in place proper age check, and provided features such as  autoplay and turboplay that are known to contribute to problem gambling.

In his remarks on the fine,  KSA Chairman Michel Groothuizen said: “All licensees operating in the Netherlands must comply  with specific guidelines to prevent problem gambling.” Such providers are also illegal and do not impose the necessary restrictions  on gambling thus encouraging risky gambling behaviour and leaving the consumers unprotected. We take strong action against these parties.”

 The authority pointed out that it is not allowed to offer online gambling in the Netherlands without a  license. The KSA will continue to supervise digital channels, implement measures and penalties for persons who offer or  advertise illegal gambling within the Dutch territory.

Regulatory outlook

The Netherlands’ online gambling market will be  greatly changed in 2025 as the Kamer has agreed to create a new regulatory framework to replace  the current Remote Gambling Act (KOA) in 2025.

Minister of Legal Protection  Teun Struycken has tasked the KSA with creating a new framework for the promotion of black market  websites, and he is leading the initiative. The protection of Dutch youth under the age of 24  from the risks of gambling is to be a priority of the new regime to be presented to the  Kamer by December.

A new overarching deposit limit will be introduced for licensed operators and players will be required  to pass a financial capacity test to determine their ability to afford to play.

Although changes applied are drastic, the Dutch government is of the opinion that the new regime will assist the market  to meet its channelisation target of 90% where most of the players will be playing with the licensed operators.