Unpaid Fines Plague Spain’s Fight Against Illegal Gambling

Multi-million euro “fines” imposed by the DGOJ (Spain’s Directorate General for Gambling Regulation) on unlicensed companies operating in Spain have faced criticism. The core issue revolves around the perception created by the Ministry of Consumer Affairs’ announcements. These announcements often suggest that the fines are primarily levied against companies operating illegally, who don’t bother appealing and simply refuse to pay. However, general media outlets sometimes misrepresent these fines as targeting regulated gambling companies, which is often inaccurate.

Fortunately, general media outlets are beginning to understand the reality of these sanctions. A recent report by Infolibre highlights the impunity enjoyed by illegal gambling operators within Spain. Over the past four years, a staggering 75 companies operating illegally in the country have been sanctioned by the DGOJ for a total of €350 million. However, the total amount paid by these companies remains at zero euros.

Infolibre points out that these companies often operate from Curaçao, a jurisdiction known for its lax regulations. Due to the absence of a registered office in Spain or in countries with collaborative agreements, the sanctions are rendered ineffective. In addition to the fines, the DGOJ has blocked 1,616 illegal gambling websites, although many remain operational.

The Ministry of Consumer Affairs defends the current regulatory framework, asserting that website blocking keeps illegal gambling at around 4%. However, the inability to collect fines and the ease with which these companies circumvent restrictions raises a crucial question: “What is the point of imposing sanctions that no one complies with?”