The Administrative Court of Appeal in Jönköping has ordered a second reduction of Kindred’s Spooniker subsidiary’s historic fine, now set at SEK 30 million or approximately £2.2 million, £2.6 million, or £2.8 million.
Spelinspektionen is a Sweden gambling regulator. In March 2020, Kindred was first issued with a fine and penalty. During this time, the penalty fee was set to SEK100m, referencing offering unauthorized bonuses and lotteries without a license.
With all other offers being prohibited, licensees in Sweden can only offer sign-up bonuses to customers. Nonetheless, checks on Kindred-owned Unibet, Maria Casino, Storspelare, Bingo and iGame websites in March 2019 uncovered different unauthorized bonuses. These included an online bingo loyalty scheme.
Kindred argued that these were not bonuses but rather an in-game mechanic, hitting back against the claim. Nevertheless, further checks in May and June 2019 uncovered more offers, like free spins, free online bingo, and free bets.
Moreover, Kindred was found to be offering rewards for playing poker including prize draws. Spelinspektionen said Kindred was was not licensed to offer as this was deemed a type of lottery game.
Spelinspektionen was led by the findings to issue the SEK100m penalty fee and an official warning to the operator.
Kindred filed an appeal in response with the Administrative Court in Linköping. By the way, the court in July 2021 chose to reduce the fine, breaking it in half to SEK50m.
Kindred repeated its ongoing argument responding to the decision. It is of the opinion since the rules on bonuses were vague and open for interpretation, the sanction fee should be reduced in its total. It changed its offerings to meet the requirements, it also noted that after initial contact from the regulator.
Spelinspektionen is yet to comment on the further reduced penalty fee.