The Lithuanian Gaming Control Authority (LPT) has fined Olympic Casino Group Baltija (OCGB) €8.4 million for failing to monitor the gambling activities of Šarūnas Stepukonis, a former partner at BaltCap Fund accused of embezzling €42 million.
Between 2016 and 2021, Stepukonis allegedly misappropriated funds and lost up to €6.4 million while gambling at Olympic Casino. The LPT's investigation revealed serious compliance failures, including inadequate monitoring of high-risk players and failure to report suspicious transactions to Lithuania’s Financial Crime Investigation Service (FNTT).
The regulator cited the casino for three key violations:
- Failure to verify the source of funds – OCGB neglected to confirm that Stepukonis' gambling funds were legally obtained.
- Lack of reporting on suspicious transactions – Despite clear red flags, the casino did not alert authorities.
- Encouragement of excessive gambling – The casino provided Stepukonis with a €1.3 million incentive to continue gambling, even as Lithuania banned such financial promotions in mid-2021.
LPT Director Virginijus Daukšys condemned OCGB’s actions, emphasizing the need for robust compliance in gambling operations. This case highlights the importance of anti-money laundering regulations and responsible gaming oversight. The fine serves as a warning to operators failing to uphold regulatory obligations, reinforcing Lithuania’s commitment to transparency and consumer protection in the gambling industry.
