News

Ukraine: $21m fine and licence revocation for Favbet Game Slots

According to the regulator, PlayCity, a routine inspection found extensive violations of the technical rules governing gaming machine operations.

· 1 min read
Share this article
Follow us on Google
AI Summary
Sign in to listen
PlaycityFavbet
Key Points
A scheduled inspection found widespread breaches of technical rules, including 108 uncertified gaming machines
The regulator said the equipment could not be verified for fairness or compliance due to missing valid technical inspections

Ukraine’s state gambling regulator, PlayCity, has cancelled the operating licence of Favbet Game Slots following a major compliance investigation. The regulator also imposed a UAH 933m ($21.17m) fine on the operator.

According to PlayCity, a scheduled inspection uncovered widespread breaches of technical regulations governing gaming machine operations.

Authorities identified 108 gaming machines that had not undergone mandatory certification, raising concerns that they were operating outside Ukraine’s legal and regulatory framework.

PlayCity said the absence of valid technical inspections meant the equipment could not be verified for fairness or compliance with state standards.

This week, PlayCity also revoked the online casino licence held by Cosmolot operator Spaceix after identifying breaches linked to payment processing.

According to statements attributed to acting Minister of Digital Transformation Oleksandr Bornyakov, the regulator found that the operator accepted peer-to-peer (P2P) card transfers instead of using transparent payment details.

PlayCity imposed two separate fines on Spaceix totalling almost UAH 13m. The regulator said UAH 8.6m related to the use of P2P payments, while a further UAH 4.3m was linked to the ability to top up accounts using cards belonging to third parties.

Authorities are stepping up enforcement efforts as the first phase of the State Online Monitoring System for gambling has been launched in a test environment.

The platform aims to ensure tax authorities have access to primary transaction records used to calculate gross gaming revenue and apply relevant taxes.

PlayCity has also begun cooperation with YouTube to block illegal gambling advertising.

Good to know

Last week, PlayCity fined FC Shakhtar more than UAH 5m for gambling advertising breaches.

Reaction Board

News Analysis

View All
roadblock analysis

Roadblock threatens recovery: Can Bally’s help The Star navigate AU$260m setback?

The Star Entertainment Group has shown early signs of recovery, but a substantial regulatory penalty and ongoing financial uncertainties continue to cloud its outlook.

6 min read • • By Marieta Lezaic
machines duty

Paul Sculpher: The industry wasn't crying wolf – MGD rise will close shops and casinos

The Global Gaming Insider contributor and land-based gaming expert asks whether the tax rise may reduce overall tax revenue, highlighting the importance of genuine job losses.

3 min read • • By Tim Poole
linebet-Q&A

The human touch: Africa's World Cup acquisition playbook

Thomas Thornton, Chief Marketing Officer at Linebet Partners, speaks to Global Gaming Insider about World Cup conversion in Africa, expansion across developing markets and the importance of natural conversation.

6 min read • • By Will Underwood

In The News

View All