The Gambling Supervision Commission has published the island’s first dedicated Gambling Sector Money Laundering Risk Assessment.
It has concluded that the sector presents a Medium‑High risk of money laundering.
The assessment, which updates the position last reviewed in 2020, provides a data‑driven analysis of risks across online gambling, terrestrial operations and associated software supply chains.
The online sector remains the primary driver of overall risk due to its international scale and exposure to increasingly sophisticated criminal methodologies.
The terrestrial sector continues to present a Medium‑Low risk.
Risk Assessment Findings
The report highlights that the Isle of Man “has an increased risk of being used to launder the foreign proceeds of crime” and warns that organised crime groups, particularly in East and Southeast Asia, are “exploiting online gambling… for money laundering, cyber‑enabled crime and other illicit activities”.
It also notes the risk of criminal control of licensed entities and vulnerabilities within B2B structures and software supply chains, including “significant cross‑border invoicing and opaque ownership chains”.
Since 2020, the GSC has strengthened its regulatory and supervisory framework, creating a dedicated AML/CFT division, enhancing data returns, refining risk‑based inspections and improving entry controls.
However, the report states that domestic investigations continue to reveal “material vulnerabilities” and that threats have evolved rapidly.
Recommendations
Key recommendations include tighter oversight of B2B arrangements and software suppliers, improved intelligence sharing, enhanced suspicious activity reporting and further strengthening of inspection and enforcement powers.
GSC Chief Executive Mark Rutherford said the findings provide “a sharper lens on where risks lie – particularly around complex cross‑border structures, technology‑driven threats and B2B arrangements”.
Minister for Justice and Home Affairs Jane Poole‑Wilson MHK said the assessment demonstrates both the challenges posed by organised crime and the strength of the Island’s controls.
The GSC said the publication reinforces the Isle of Man’s commitment to high regulatory standards, transparency and international cooperation.
