Dutch gambling regulator outlines AML requirements for operators

The Dutch gambling regulator (KSA) has released the first guidance document for operators around anti-money laundering and ID verification, targeting a risk-based approach to regulation.

The new guidance will only apply initially to land-based gambling venues, but the KSA has confirmed these rules will apply to online operators upon passage of the Remote Gaming Act.

All operators are required to install anti-money laundering standards with policies updated on a regular basis to ensure compliance with KSA standards.

In addition, operators must conduct regular training to keep staff knowledgeable in all areas of AML and fraud prevention.

The KSA said it expects operators to use a risk-based approach to AML and ID verification, identifying, assessing and continuously monitoring potential areas where money laundering can take place.

Operators are encouraged to investigate and verify the identity of players upon registration, where the transaction involved exceeds €2,000 or if there is any indication they may be involved in money laundering.

Under the new standards, licenced operators are required to report any suspicious transactions made by players to the KSA and the Dutch Financial Investigations Unit (FIU) within 14 days.

The KSA requires that all operators conduct investigations into the risk level of players and carry out extensive source of wealth checks into any player deposits.

In cases where the operator cannot effectively verify the player, the KSA has said it expects the operator to terminate the player relationship immediately.

In addition to these new standards, the KSA said any documentation collected by operators as part of their ID and AML procedures must be retained for a period of five years after the termination of any relationship.

The KSA confirmed it can issue fines against operators for non-compliance with these rules and has the power to revoke an operator licence in the case of serious offences.