Central Bank of Curaçao and Sint Maarten to take actions against trust management firm representing illegal gambling operators
The Central Bank of Curaçao and Sint Maarten (CBCS) has revealed that it would be taking measures against local trust management firm Carmanco NV, which has once again drawn the ire of the Dutch gambling authority, Kansspelautoriteit, for representing a company that targets Dutch players without the necessary authorization to do so.
Carmanco is one of four subsidiaries of Curaçao Trust Management NV. The latter company holds a license from the CBCS to provide trust services to interested international companies.
News broke earlier this month that one of Carmanco’s clients has been slapped a €350,000 fine for providing online gambling services to Dutch customers, despite the fact that products of this type are currently illegal in the Netherlands. CyberRock Entertainment, a company registered and licensed in Curaçao through Carmanco, and its affiliate company Honeydew Trading Limited were the latest to be penalized by the Dutch gaming authority for operating in the Netherlands.
The two companies were found to have been targeting local customers through multiple brands, most prominently the Play2Win and Supreme Play online casinos. As previously reported by Casino News Daily, CyberRock and Honeydew brands have been blacklisted by multiple online casino review websites over the years following complaints from players over predatory behavior and inadequate response to issues of various nature.
Curaçao news outlet the Curaçao Chronicle reported on Monday citing the CBCS that a supervised institution is obligated to inform the bank about any incidents it or its clients might have been involved in due time and manner. A CBCS spokesperson went on to say that the bank has taken note of the recently emerged news about Carmanco and its client CyperRock and will take the necessary measures.
Previous Incidents
The recently imposed fine by Kansspelautoriteit was not the first time when Carmanco has been in trouble with the regulator and the CBCS. In 2015, the trust management company and its director George Praag were officially warned by the Dutch gambling authority after the latter had penalized a Carmanco client for targeting Dutch gamblers.
Mr. Praag, whose name appeared in the Panama Papers in relation to his offshore financial activities, promised back in 2015 that his company would make sure that its operations and those of the clients it represented were compliant with laws and regulations.
The Curaçao Chronicle pointed out that Carmanco was sued in Willemstad earlier this year in a separate case. The firm was scolded for “improper management” and “seriously blameworthy and therefore unlawful action.”
Commenting on the matter, Kansspelautoriteit has said that it had previously advised trust offices working with gambling companies to reflect on such activities and that Carmanco has clearly not fulfilled its previous promises. The gambling regulator further pointed out that it aims to work closely with the competent Curaçao authorities in future in a bid to curb illegal online gambling.
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