Compliance Updates
Sweden’s Konsumentombudsmannen to File Lawsuit Against Aspire Global’s Karamba Brand
Swedish consumer agency Konsumentombudsmannen (KO) has announced its intention to file a lawsuit against the Aspire Global’s Karamba brand in Sweden’s Patent and Marketing Court. KO accused that Karamba has violated the marketing provisions of Sweden’s Gaming Act and Marketing Act.
“The company promises bonuses and free spins that, in practice, force the player to play with too large sums, or else the money is lost,” KO said.
KO said that Aspire was misleading in its promotion of free bonus spins on its games by advertising bonuses that can only be achieved by playing with very large sums of money.
“In its advertising, the company promises SEK 2,000 (£165/€185/$202) in bonuses and 100 free spins. But in order to take advantage of the offer, a player must invest at least SEK 70,000, the bonus must be redeemed 35 times within 21 days and you only have one day to use free spins. In addition to violating the Gaming Act, KO considers that the company is in violation of the Marketing Act, the gambling industry’s own guidelines and the recommendations of the European Commission,” KO said.
“No information or reference has been provided in connection with the offer that it is subject to terms and conditions for consideration. Instead, the terms and conditions have been placed on the site with no objection small and difficult to read text,” KO added.
“We dispute that the bonus offerings contravene the requirements of moderate marketing in the Gaming Act and we are critical to having been chosen as the subject to KO’s enforcement in this manner. If the court issues a lawsuit, Aspire Global will object to KO’s interpretation of the law,” Tsachi Maimon, CEO of Aspire Global said.
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