EGBA Files Complaint Against Lithuanian Payment Provider

The European Gaming and Betting Association (EGBA) has filed a complaint with the Bank of Lithuania against Walletto, a Lithuanian payment service provider, accused of processing payments linked to illegal online gambling operators. This complaint is part of an investigation revealing how these operators exploit the same payment networks used by consumers.

Issues in the Payment Chain

Illegal operators rely on access to conventional payment methods and card networks to operate on a large scale. As long as they can process transactions, they will continue to evade regulations and expose consumers to risks. Illegal platforms lack necessary safeguards such as identity verification and responsible gaming tools, allowing access to minors and self-excluded individuals without effective controls.

Call for Coordinated Action

The EGBA emphasizes the need for a coordinated approach between lawmakers, gambling regulators, financial regulators, and payment providers. Card networks, being the regulators of payment networks, have access to crucial transaction data and must take action to prevent these flows from facilitating illegal activities.

Compliance with Existing Regulations

The EGBA urges financial regulators to rigorously enforce regulations such as the EU Payment Services Directive and anti-money laundering laws. According to Maarten Haijer, Secretary General of the EGBA, "Payment providers should not process transactions for illegal gambling operators. These operators thrive by exploiting legitimate financial channels and conventional payment networks. Our goal is to shut them down completely and eliminate the payment channels they use to reach European consumers."

The EGBA seeks to continue promoting joint actions to exclude illegal operators from the European online gambling market.