The Malta Gaming Authority rejected earlier today the recently emerged claims that it has subjected a former employee to retaliation in relation to allegations made by said employee of improper practices adopted by the regulator body.
Valery Atanasov, a Bulgarian national, had worked as an IT Administrator at the MGA until February 2015. Mr. Atanasov told Reuters last spring that the regulator has failed to conduct properly a crucial procedure related to the prevention of money laundering and other financial crimes for years. According to him, the procedure was supposed to be carried out before a gambling company received a license from the regulatory body.
The MGA denied the allegations, arguing that it had effective anti-money laundering controls in place and suggesting that Mr. Atanasov may have tried to mar the regulatory body’s reputation as a result from the termination of his contract. The Authority also filed a defamation lawsuit against Mr. Atanasov.
Over the past several years, Malta has turned into a leading online gambling jurisdiction. The Mediterranean island nation has become home to some of Europe’s largest online gaming and sports betting companies, with those providing both B2B and B2C services.
Retaliation Concerns
In a statement from Wednesday, the US National Whistleblower Center expressed concerns that by whistling the blow on the alleged irregularities with the MGA’s money laundering prevention controls, Mr. Atanasov may have been subjected to retaliation.
The NWC together with the European Center for Whistleblower Rights turned to the Group of States Against Corruption (GRECO) and the Prime Minister of Malta, Joseph Muscat, and requested that immediate action was taken against any form of retaliation that might have been and might be directed to Mr. Atanasov.
In its press release from earlier today, the MGA denied to have subjected its former employee to any form of retaliation. The regulatory body also explained that Mr. Atanasov had his contract terminated in 2015 and it was more than two and a half years later that he applied with the First Hall of the Civil Court of Malta for whistleblower protection.
The Authority stated that its former employee was laid off due to charges of “incompetence, poor performance, and abuse”. The charges dated back to 2011-2012, the MGA clarified. Mr. Atanasov had his employment terminated on February 26, 2015 after the necessary disciplinary proceedings were conducted. He submitted a whistleblower protection application on November 22, 2017.
The MGA said that while it denied fully Mr. Atanasov’s allegations, it would respect his request for protection as a whistleblower and would comply with any judicial declarations in relation to his allegations and his whistleblower status. The former MGA employee’s filing is still under judicial consideration and more details are to be released at a later stage.
