The biggest sports bettor in Britain is admitting his clients won´t get their cash back after the firm that runs it admitted it had failed to properly vet the firm´s clients.
James Haughton, CEO of sports betting company Sportsbet, told the BBC that the firm was in “a really tricky position” and that it was “very difficult” to recover from any damages.
The sports betting site is one of the biggest in the UK.
It was set up in 2010 by former football player Daniel Levy and has had a long and illustrious career.
Its founder, Daniel Levy, is said to have a personal relationship with former Premier League boss David Moyes.
But Sportsbet admitted in a statement that its “business and risk assessment has been flawed” and has been unable to provide evidence that its clients were the rightful winners of the bet.
“Our customers were not in fact the rightful owners of the betting and there is no doubt that their money was lost,” said Sportsbet.
Mr Haughtons statement follows a week of intense speculation over how many customers may have lost money to the sports betting operation.
The website had earlier said that its customers were in the minority, claiming that the majority of bettors lost money, with the remainder of the bets being “mistaken”.
Mr Haugton said that Sportsbet’s failure to adequately vet the clients it was dealing with “wasn’t a decision we were taking lightly”.
“We take every issue that comes up in the course of the business very seriously and we do everything we can to protect our customers,” he said.
“We have no doubt the decision was made with the benefit of a more complete understanding of the situation than what we were given.”
Mr Houghton said SportsBet had taken action to address the issues raised in its statement, and that he had been told by his boss that the company was “working on it”.
He said that he hoped to have the firm’s statement to the BBC in hand within a week.
Mr Levy said that the allegations of money laundering were “utterly false”, and that SportsBet was “a proud owner of a strong reputation and we stand by that”.
He told the Press Association: “I can tell you that the betting has not been compromised, nor has it been altered or tampered with.
It has been a very good investment.”‘
We did not know the clients’Mr Huggton told the Telegraph that the Sportsbet client list was “not exhaustive”, and said he had not been able to determine the identity of the clients.
“I have no idea who these clients are,” he added.
“There are many of them that are well known people in our industry, and we have a number of other people who are well respected in our sector.”
They may not have been the rightful winner of the money.
“However, Sportsbet confirmed to the Telegraph it had “no knowledge” of the alleged money laundering.”
It is untrue to suggest that we did not fully understand the risk we were putting ourselves into,” a spokesperson said.
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