ATG handed SEK 3 million fine as Swedish court finds AML breaches

• Sweden’s leading betting operator ATG receives a SEK 3 million penalty after a court rules on AML breaches
• Case stems from 2022 investigation and lengthy legal dispute with the gambling regulator
• Court notes failures in customer due diligence and handling substantial sums, highlighting sector-wide compliance scrutiny

Swedish betting giant Aktiebolaget Trav och Galopp (ATG) has been ordered to pay a penalty of three million kronor after the Court of Appeal in Jönköping found that the company had failed to meet anti-money laundering (AML) obligations.

The ruling, which was published in mid-October 2025, concludes a legal battle initiated when the Swedish Gambling Authority (Spelinspektionen) first levied a fine on ATG in November 2022 for inadequate AML measures.

Court clarifies breaches and penalty decision

The dispute began after Spelinspektionen’s investigation in 2021 highlighted deficiencies in ATG’s approach to customer due diligence and monitoring, impacting eight customers over a three-year period.

The regulator argued that ATG’s procedures were not sufficiently risk-based or proactive, meaning the operator could not reliably assess or counteract risks associated with money laundering and terrorism financing.​

ATG initially appealed the original threat of a SEK 6 million fine imposed by Spelinspektionen. The lower Administrative Court sided with ATG, stating the breaches were not serious enough to warrant both a warning and the full penalty. But this week’s Court of Appeal ruling reversed that decision, emphasising the seriousness of the failures.

“The violation concerns a breach of core customer due diligence rules, involving significant amounts of money,” said judge Louise Millqvist in a press release.​

While the court acknowledged that the failures were serious and involved substantial sums, it found the problems were limited in scale and not systemic. The penalty was therefore reduced to SEK 3 million instead of the initial SEK 6 million proposed by the regulator.​

Regulator’s tightening approach to AML compliance

Spelinspektionen’s continued enforcement reflects heightened scrutiny in Sweden’s regulated gambling sector. The case is expected to serve as a reference point for future assessments of operator compliance, especially around customer identity verification and anti-money laundering obligations.

Recent years have seen the regulator warn about the growth of unlicensed gambling, estimating that up to 30 percent of Swedish gaming activity occurs outside its purview, a far cry from the government’s desired 90% rate of regulated play.​

For ATG, the judgment comes at a challenging time. The operator faces shrinking revenues due to increased gambling tax and weaker consumer spending. In the second quarter of 2025, ATG’s net gaming revenue fell 2% year-on-year, partly attributed to the gambling tax hike from 18% to 22% in mid-2024. The fine itself represents less than one percent of the company’s quarterly profits.​

Sector outlook and future implications

Sweden’s regulated gambling sector continues to evolve, with compliance standards under closer surveillance. Operators may need to reinforce internal controls and invest in enhanced customer verification processes to avoid regulatory action. The ATG case signals greater regulatory resolve and sets a warning for others operating in the Swedish market.

Operators, investors, and regulators will be monitoring subsequent enforcement cases closely, as Sweden seeks to maintain integrity in its gambling industry and protect its licensed market share.