The Jersey Gambling Commission named Adam Cole, the founder and former CEO of Football Index, as persona non grata. In an official statement, the regulatory body cited Mr Cole’s past record as the main reason for its decision to do so and further revealed that as a result of the ruling, he would no longer be able to hold a position with any entity that holds a Jersey Gambling Commission-issued licence.
The regulatory body backdated its announcement to April 6th, which is also the original date since the former Football Index CEO is not permitted to take the aforementioned positions, whether employed or not.
Adam Cole has been linked to Football Index during the time when the operator lost customer open bets worth a total of £124 million. He was serving as chairman of the company after previously resigning from his CEO position at the time when the incident occurred.
The recent announcement of the Jersey Gambling Commission resulted in even more criticism faced by the UK Gambling Commission (UKGC). The UK gambling watchdog has been blamed that it had shown little to no interest in properly monitoring the rapid growth of BetIndex, the parent company of Football Index. As Casino Guardian reported at the time, some lawmakers and customers have seen this relaxed policy of the UKGC as one of the main reasons why the unfortunate financial crash occurred in the first place.
Football Index Financial Crash among the Biggest Regulatory Failures in the UK Regulated Gambling Sector
As a result of the scandal with the customer open bets at Football Index, many people called for the UKGC to be scrapped as the main regulator of the country’s gambling industry and for a new, more responsible and adequately working watchdog to be established in its place. However, despite the calls, the Gambling Commission remains the major gambling regulator in the UK, with its newest CEO, Andrew Rhodes, recently announced.
The massive financial crash of the platform, which allowed British consumers to bet on both the future performance of professional athletes and buy “stakes” in them, and the rules of the platform itself, started with the company suddenly making an announcement that it would be forced to make significant reductions of the dividends on athlete performances and media coverage. Soon after that, BetIndex went into administration and an investigation into the company’s operations was held by Malcolm Sheehan QC.
As a result of the probe, the company lost consumer funds and ceased operation, with the case being described as one of the largest regulatory failures in the entire history of the UK legal gambling sector.
Despite the latest announcement made by the Jersey Gambling Commission, the UKGC has not shared any immediate plans to currently act against Adam Cole or other officials of Football Index. Unlike in the UK, licence suspension of gambling companies’ executives is very common in the US, where state regulatory bodies make thorough checks not only into the operators’ businesses but also into the individuals running these businesses.
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Olivia Cole
