UK Regulator Tightens The Screws

UK Regulator Tightens The Screws

by Svyat
April 29, 2021
All rights reserved

The UK Gambling Commission has been overseeing the gaming segment within the British jurisdiction since 2007. The regulator is highly regarded and well known by online gaming operators advertising on the Foggy Albion. Over the past 14 years, the UKGC has had its licenses suspended many times due to irregularities in the online gambling business. At the end of April 2021, a similar fate befell Nektan (Gibraltar) Limited specializes in gaming content for mobile devices.

History Of Nektan (Gibraltar) Limited

This UK B2C gambling division came into being in 2011. Founder Richard Sagman located the main office in Gibraltar for obvious reasons. The other two Nektan offices are located in the heart of the gaming industry in Las Vegas and the UK capital. The Gibraltar-based company chose a profitable specialization from the outset, spotting distinctive market trends in time. Where gaming site users were more likely to opt for mobile devices.

Nektan soon emerged as a leader in its segment, collaborating with renowned gaming software providers such as Microgaming, NetEnd, Evolution Gaming, and others. The company regularly reported on its activities to the regulatory authorities and its business flourished. She was making lucrative deals, for example with the Sun newspaper to create an ambitious innovation project. But unexpectedly, in the summer of 2018, losses were announced at the end of the financial year.

Justified claims against the company

Since 2018 Nektan has begun to see notable changes. First, the company announced that despite a solid turnover of £19.4 million at the end of the financial year, it was making a loss. It then sold its subsidiary Grace Media for £200,000, after which all proceeds from the deal were spent on organizational matters. Nektan failed to file its 2020 annual report and ceased activity on the London Stock Exchange.

Since early summer 2021, the UKGC has suspended the B2C license of Nektan's business managing remote game content sites pending a formal investigation. The main reason for the problems encountered is believed to be non-compliance with the licensing objectives. Despite the situation, the licensing authority has ordered Nektan to fulfill all its obligations to users of the sanctioned gaming resources.