Kindred Group faces potential £36m fine over failure to leave Norwegian market

Kindred Group has been warned it faces a potential NOK437m (£36.2m) total coercive fine by the Norwegian Gambling Authority (NGA) over its failure to leave the market. Via its Malta-licensed subsidiary Trannel International Limited, Kindred offers its services throughout Norway, albeit allegedly illegally according to the country’s gambling authorities. In the latest twist, the NGA said it would fine Trannel NOK1.2m per day should the operator not cease its illegal offering. Norway’s gambling authorities said it estimates Trannel posts annual gross profit of NOK437m, with the potential maximum fine set to fall in line with this total. Atle Hamar, NGA CEO, said: “When a gaming company that operates illegally in Norway can earn NOK437m from its illegal activities within a year, we owe it to the Norwegian people to do what we can to stop the illegal activities. “We are serious about the fact that the illegal supply of games has not yet ceased. Therefore, the Authority warns that we will now make a decision on a coercive fine, unless Trannel stops offering illegal gambling in Norway,” he added. A Kindred spokesperson told EGR: “Kindred Group does not offer gambling in Norway and its operations do not in any way violate Norwegian law. Norwegian customers participate of their own free will and it is not illegal for Norwegians to participate in international licenced offers of games. “It should be emphasised that the Norwegian Lotteries Authority does not have the authority to issue fines against foreign operators outside Norway.” Trannel runs the Unibet, Maria Casino, Storspiller and Bingo.com brands in the market. The long-running saga dates back to 2019 when Trannel was ordered to cease offering its services to Norwegian customers, which Kindred did not comply with, citing the decision went against EEA law. By holding a Maltese gambling licence, Kindred said it could not be barred from offering its services in the country. In July 2021, Kindred saw a legal challenge against the country’s gambling authorities thrown out by the Norwegian Supreme Court’s appeals committee. In assessing the case, justices said there was no “sufficient reason” for the Supreme Court to hold a full hearing on the dispute. Kindred had previously had cases in the Oslo Court of Appeal and the Oslo City Court dismissed in relation to the case. Under Norwegian law the provision of online gambling services is limited to a monopoly of two state-run firms, Norsk Tipping, which operates sports betting and online casino games and Norsk Rikstoto, which is responsible for race betting services in Norway.