The Isle of Man has proposed an amendment to its gambling legislation that would empower the gambling regulator to impose civil penalties on individual executives for compliance failures.
This would mark a shift from the current practice of sanctioning companies alone.
The initiative has sought to enhance accountability among directors, compliance officers and other key personnel within gambling operators.
The Isle of Man Gambling Legislation (Amendment) Bill 2025 would grant the regulator authority to levy fines against individuals when breaches occur under their consent, connivance, or negligence.
The regulator included this move as part of its broader reform programme to strengthen entry controls. It would further expand investigative powers in line with evolving risks in the sector.
The bill, guidance and consultation
The Bill has introduced novel direction-making powers, enabling the gambling regulator to issue formal written directives to licence and certificate holders. Such directions could mandate information provision, implementation of corrective measures, suspension or discontinuance of operations, or orderly winding down upon licence surrender.
Non-compliance with these directions could carry severe consequences. Under the amendment regulators could revoke or suspend licences and certificates.
These would be punishable by up to six months’ custody or level-5 fines, with elevated penalties possible upon indictment.
Alongside the bill, the Gambling Supervision Commission (GSC) has released draft guidance detailing how it would evaluate individual culpability and calculate corresponding fines.
The guidance clarifies that personal sanctions would act alongside, not in place of, company-level penalties.
The regulator has engaged in extensive consultation on its wider legislative reforms and has opened a dedicated public consultation focused on these personal accountability measures. Stakeholders in the gambling sector are invited to submit their views between 23-25 May 2026.
A history of enforcement
The draft legislation follows enforcement action where the GSC imposed a £200,000 fine on Shelgeyr, the operator behind Maverick Games, in February. This was due to systemic failures in customer due diligence and ongoing account monitoring. The regulator has also taken firm action in other recent cases. This includes penalties issued to Celton Manx over compliance shortcomings, and the licence revocation of Boldwood Software’s owner.
The GSC highlights that the Isle of Man’s money laundering risk is currently assessed at a “medium high” level.
Following the closure of the consultation period, the Gambling Supervision Commission will review submissions before finalising the bill.
To assist the industry in understanding the practical application of personal accountability, the regulator also plans to hold an online question and answer session, providing further clarity on how the new measures would be enforced.
Original article: https://igamingbusiness.com/legal-compliance/regulation/isle-of-man-civil-penalties-individuals-bill-reaches-consultation-stage/
