Edited by Joseph Malvisini

Let's return to the topic of the dangers of criminal infiltration in the gaming world, drawing on the recent report by the Anti-Mafia Investigative Directorate and the words of Anti-Mafia Prosecutor Cafiero De Raho, during the hearing before the Parliamentary Commission of Inquiry into illegal gambling and the dysfunctions of public gaming on February 17.

First of all, it can be noted that, in the words of the Prosecutor and in the opinion of the author, gambling with authorization from the Customs and Monopolies Agency represents an important line of defense against criminal infiltration.

It should be underlined, however, that even within the authorised dealers there is a dangerous tendency in some gaming points on the physical network to place bets in a "under the counter” with other foreign dealers or in any case not included in the list of those who have obtained regular authorization to operate in Italy.

This practice, in fact, allows operators with a "legal guise" with the brand of an authorized dealer, to offer their customers different rates and operations, without the knowledge of the same legal Dealer with whom they have stipulated an agreement.

This practice, beyond the obvious violation of existing contracts with the legal licensee, poses a double risk for customers. The first is the potential confusion this "dual track" can cause, as players may be convinced they are operating in stores with a brand associated with leading Italian operators when in reality they are playing in a parallel system. The second is the reduced protection afforded to players regarding the certainty of winnings payment and the measures to protect against pathological gambling.

In order to combat these phenomena, it is necessary not only to strengthen internal control activities on the network of affiliated sales outlets by the commercial sectors operating in the territory, but also to strengthen the synergy of intervention between the Customs and Monopolies Agency and the Police Forces, aimed precisely at intervening in the cessation of such phenomena in violation of current legislation.

Another element of the dealers' responsibility is the selection of their points of sale. Careful evaluation of their partners, the prior acquisition of documentation certifying the absence of pending charges and criminal records (also useful for preventing potential refusals to issue a Public Safety License), and constant monitoring of reputational requirements, even in the face of changes in shareholder structure, are essential. Indeed, it is precisely during the continuation of the relationship that another potential critical factor arises. Unfortunately, we have had to observe how, during the pandemic, many companies, in order to cope with the inevitable economic difficulties, have come under pressure, and in many cases, have succumbed to "criminal interests" in their share capital.

I emphasize this element of caution, not necessarily aimed at changing legal representatives, but rather at "apparently minority interests" that do not officially alter the main aspects and, above all, allow the store manager to maintain ownership of the TULPS. Indeed, this avoids the need to close the store or issue new license registrations, which could, in effect, trigger investigations by the law enforcement authorities responsible for issuing a new TULPS.

The role played by the anti-mafia investigative directorates and the police forces is also important, as their investigations have repeatedly led to the denial of TULPS licenses or their revocation due to the subsequent lack of the subjective requirements necessary to continue gaming and betting activities.

Anti-mafia reports also represent an important control tool, as they represent the element that allows the Customs and Monopolies Agency to proceed with cancellation from the RIES.

Last but not least, another essential element, though still missing, is the establishment of a Single Register of Gaming Operators. This is an important element in the selective evaluation process, requiring registration of all components of the gaming industry, subjecting to scrutiny those grey areas of dubious operation (such as top-up points of sale) due to the lack of specific regulations.

This register also serves as a hub for anti-money laundering legislation, sharing information among all operators regarding operations in violation of the aforementioned legislation. This is achieved by specifically registering in a special section those individuals whose contracts have been terminated for conduct in violation of Legislative Decree 231.07. This information is essential for the definitive expulsion of such individuals from the sector.

Controls are in place, as are the varying degrees of responsibility among dealers. Risks certainly remain, but rather than intensifying controls, they require a strengthening of a culture of effective compliance, including against obvious economic advantages within the selection processes for new affiliates and audits of existing networks.