Controversy: the Swedish Gaming Authority vs The Administrative Court

In July 2023, the Swedish regulator, Spelinspektionen, ordered payment provider Zimpler AB to cease working with unlicensed operators in the Swedish market. Specifically, Zimpler was providing its e-identification service, BankID, for transactions with offshore gambling sites. The regulator warned Zimpler that failure to comply could result in a fine of up to SEK 25 million (approximately £1.9 million or €2.2 million) 

However, Zimpler appealed this order, and last month, the administrative court upheld that appeal. The court found that Spelinspektionen lacked sufficient grounds to issue the injunction, leading to its cancellation. Despite this, Spelinspektionen has now appealed the court’s verdict. The regulator argues that Zimpler, being a Swedish company, indirectly promoted illegal gambling by offering its payment services to offshore operators. Spelinspektionen contends that the games in question were effectively aimed at Sweden, even if not explicitly targeted 

As part of its appeal, Spelinspektionen is calling for a higher court to review the case due to a lack of precedent. The regulator emphasizes the importance of clarifying when gambling companies are considered to be targeting Sweden and the scope of the promotion ban. Spelinspektionen asserts that Zimpler’s knowledge of the illegal status of offshore operators constitutes promotion, regardless of explicit intent 1

In summary, the legal battle continues, with Spelinspektionen seeking further examination by a higher court. The case raises questions about the boundaries of promoting illegal gambling and the role of payment intermediaries like Zimpler in the Swedish market