Lithuanian Regulators Fine Unigames for Breach of Conduct
Author:
Jacob McKenzie
Unigames received a fine from the Lithuanian Gambling Authority due to an unofficial live event that broke industry regulations in the Eastern European nation. According to industry spokespeople, the Vilnius-based congregation began as a social media stunt that fluctuated into an actual gathering of thousands of people. For obvious pandemic-related reasons, the government initially retaliated by sending police to break up the crowds and end Unigames’ fun. This kind of procedure falls outside of the guidelines and annoys public officials hurting Unigames’ brand reputation in Lithuania.
Lithuanian regulators are infuriated with Unigames for hosting an event in the capital city of Vilnius. According to eyewitness reports, the gathering comprised of numerous unregulated gambling activities, which local authorities or industry representatives hadn’t licensed. The fine could cause a major disruption to their day-to-day operations. ?NinasCreativeCorner/Pixabay
Unigames have been active in the Lithuanian market for over five years and are one of the country’s most successful online betting sites. The Eastern European nation has little to no restrictive access, international firms dominate most of the market, and domestic betting shops serve customers who have little time for the internet. According to academic research, Lithuania has one of the lowest internet using populations in Europe, meaning online sportsbooks are less likely to profit due to land-based demand elsewhere.
They are now facing a fine worth up to $52,300, and as Unigames are far more established in other European countries, their budget for Lithuania is already stretched, and it could have dire consequences for their operations in the country. While they look to recoup their losses by maintaining a stellar service, government officials are calling for further restrictions on Unigames for their illegitimate use of a public event, labeling it scandalous and a breach of their power.
Unigames are yet to respond to any such accusations, and while the event is confirmed to have happened, they don’t seem too phased by the negative press. A spokesperson for the company addressed public concerns and assured local media outlets that the event was completely safe and there were no social distancing concerns. Lithuania has one of the highest percentages of a fully vaccinated population; almost 58% of citizens have received both doses.
The gathering took place on the 18th of September, Unigames via social media promised numerous gambling activities and promised a large in-person lottery with a sizeable jackpot. These promises undoubtedly affected the turnout as thousands of adults turned up on a Saturday evening to partake. While no confirmations have been made about the gambling content, police reports indicate that much of the night was heavily unregulated, and security guards are suspected of allowing minors into the event without identification.
Lithuania has no time for ads
Another component of Unigames act was their heavy use of promotional material on Instagram and Twitter. Lithuania has banned the use of gambling advertisements, and this content no doubt fell into the category deemed illegal by the government. Betting adverts are common in most European countries, but Lithuania has permanently removed all related content from all media rotations, including television, radio, social media and even newspapers. They view gambling advertisements as a breach of human privacy and control and are concerned with the rise of problem gambling across the continent.
Even before the ban came in, advertising was already heavily limited. Football clubs weren’t allowed to partner with any online sportsbooks as fears of underage gambling spread among high-ranking officials, and this has become more common across Europe. Unigames are undeniably stunned by the government’s actions as they weren’t expecting a major shutdown of their high-profile gambling event in Vilnius. Industry experts have hinted at a Lithuanian withdrawal from Unigames as the market rate may not be financially viable in an economically turbulent year.
