Integrity is a core requirement within the Isle of Man’s online gambling regulatory framework. To reinforce and clarify this standard, the Gambling Supervision Commission ("GSC") has issued Integrity Guidance on its expectations regarding the character and conduct of individuals involved in licensed operations.
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The guidance sets out the GSC’s approach to assessing integrity under the Online Gambling Regulation Act 2001 (OGRA), including the categorisation of roles, the approval process, and the implications of adverse findings.
The GSC’s guidance is rooted in the regulatory legislation that mandates certain roles within a licensed entity, which must be of integrity. The GSC has an obligation to ensure this requirement is met in accordance with the Online Gambling Regulation Act 2001 (“OGRA”).
OGRA defines a number of roles which must be approved by the Commission before they can be appointed (Approved Roles). Such roles include those with ownership, control, influence and/or management of the company/licence holder.
The GSC also requests information regarding roles which have responsibilities for management within the Company but have limited or no influence or control over the Company/licence holder. These roles do not require formal approval by the Commission before they can be appointed (i.e., are Non-Approved Roles).
The implications of not being a person of integrity are considerable. The GSC is within its rights under OGRA to object to the appointment if it is not satisfied as to the person’s integrity.
The GSC will consider all relevant circumstances on a case-by-case basis. The nature of any cause for concern and its relevance to the licence or proposed role of the person, will also be considered as part of integrity investigations.
The investigations regarding a proposed role-holder’s integrity are performed by the GSC’s Inspectorate. Presently, the Inspectorate make a formal recommendation to the Commission as to the person’s approval or disapproval for the role during the Commission’s monthly meetings.
In the event of adverse information being identified within the integrity investigation process, the Inspectorate will provide a case to the Commission stating their rationale for not recommending the approval.
Oversight, Compliance, and Transparency
Individuals who have been approved to hold an Approved Role will be subject to routine assessment of this integrity. Where a person no longer holds either an Approved or Non-Approved Role, the person or licence holder should notify the GSC at the earliest opportunity.
The GSC considers itself fair-minded, therefore if an application for an Approved Role is denied, the case for an appeal may be heard by the Gambling Appeals Tribunal, regarding licensing decisions made by the Commission.
In accordance with Article 6 of the General Data (Application of GDPR) Order 2018 (“GDPR”), the GSC is processing personal data on the following basis; 1(c) processing is necessary for compliance with a legal obligation to which the GSC as a controller is subject; and, 1(e) processing is necessary for the performance of a public task carried out in the public interest.
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Causes for Concern & Decision Making
The GSC’s Integrity Guidance document outlines several causes for concern that could call into question the ownership and control of a proposed applicant or licence holder.
The Integrity Guidance provides that the GSC adopts a balanced approach to its decision making, which is based on several factors. For a person to demonstrate their integrity, the GSC will assess the individual’s personal and professional conduct and will look at any evidence that may be provided to support their character.
Assessment Outcomes
The GSC will consider identified causes for concern and decide regarding a person’s integrity.
Possible outcomes include the GSC:
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Remaining satisfied of the person’s integrity and allowing the appointment to take place.
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Not being satisfied and determining that the appointment may not take place.
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Noting its reservations regarding the person’s integrity and seeking to mitigate any perceived risk by imposing ongoing and enhanced due diligence measures, or by limiting the nature of the appointment.
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Adverse Media and Disclosure
As an outward facing regulator, the GSC promotes an open and honest relationship with the sector and its licence holders. Applicants and holders of Approved Roles are urged to bring any matters that may provide reservations to the GSC to its attention at the earliest opportunity. There is also an expectation that any enquiries are receive full cooperation in a timely and honest manner.
All applicants or holders of a licence or role are expected to have looked for any adverse media in anticipation of their application. The GSC expects supporting information or an explanation to be provided to any such occurrences, noting any efforts made by the individual or licence/role holder to correct the matter.
Consideration will be given to the length of time that has elapsed since the matter occurred, including, in relation to criminality, whether a conviction is spent or unspent.
Culture of Integrity
It is important to remember that integrity is not simply about meeting regulatory requirements, but about fostering a culture of honesty, transparency, and ethical conduct within an organisation.
Integrity is not about just following rules. It is about demonstrating ethical conduct in all aspects of business operations. It is also about being honest and transparent with customers, treating them fairly, and delivering on promises.
By following the Integrity Guidance, applicants and role holders can build a successful, reputable, and ethical online gambling business in the Isle of Man.
If you are considering applying for an Isle of Man online gambling licence under OGRA, please contact a member of our expert team to ensure that you meet requirements and to help ensure the highest standards of integrity in creating a pragmatic framework for your business.