SEC Fines Flutter $4 Million

This story was published more than 1 year ago.

Gaming giant Flutter Entertainment has been fined $4 million by the US Securities and Exchange Commission after subsidiary The Star Group was found to have accounting lapses related to third-party consultants in Russia.

The offenses took part from May 26th, 2015 and May 15th, 2020, a time before Flutter owned TSG. The company said that TSG paid $8.9 million to consultants within Russia in an attempt to get online poker legalized in the country. The company failed to maintain sufficient auditing controls in relation to these consultants, and it failed to record payments for different matters in the country. Some of these payments included gifts to Russian government officials as well as payments to internet censorship group Roskomnadzor.

The company was found to have violated Sections 13(b)(2)(A) and 13(b)(2)(B) of the Securities Exchange Act of 1934.

Flutter purchased The Stars Group in 2020, and is therefore responsible for the charges. The company admitted no wrongdoing but agreed to cease and desist from future infractions while paying the settlement fee. Flutter had previously pulled out of the Russian market after the country invaded Ukraine early last year.

No comment from the company was available at press time.

About the author

Therese Williams // UK Correspondent
Therese Williams
Therese is a fervent fan of slot machines and pub fruities, often trying her luck at some of the top online casinos. She covers news for Casino Listings with a focus on the UK and Europe. Therese studied arts and creative writing at university and has written for newspapers in the UK.