Former GVC executives wage legal battle against UKGC
In a significant development in the UK gambling industry, GVC Holdings (formerly Entain Plc) former CEO Kenny Alexander and former chairman Lee Feldman have initiated legal proceedings against the UK Gambling Commission (UKGC). The duo, represented by London law firm Slateford, alleges that the UKGC has “misused private information.” They filed the case under “Part-53 of the Media and Communication Claims.”
This legal challenge marks the latest chapter in a series of high-profile events involving the former GVC executives. Last year, Alexander’s investment vehicle, FS Gaming, made a bold attempt to take control of 888 Holdings (formerly Evoke Plc), by acquiring a 6.5 percent stake in the LSE gambling group, and he was aiming to be CEO. This move, however, triggered an investigation by the UKGC, which expressed concerns over a historical bribery scandal involving Entain and its former Turkish subsidiary, Headlong.
The UKGC’s resulted in 888 raising questions about Alexander’s intentions. In response to these concerns, 888’s board ultimately decided to terminate discussions with FS Gaming. Months after Alexander’s bid for 888 fell apart, Entain reached a £585 million settlement with the Crown Prosecution Service regarding the bribery investigation. This settlement concluded a long-standing legal battle that had cast a shadow over the company.
At the time of the settlement, Chairman Barry Gibson said: “This legacy issue relates to a business divested by a past management team six years ago. Since then, the company has transformed, and the DPA process highlights just how much GVC has evolved into today’s Entain.”
“We’re focused on advancing our operations exclusively in regulated markets, and we’re recognised as a responsible leader with robust corporate governance across our business.”
The UK gaming industry
The legal challenge initiated by Alexander and Feldman is expected to shed light on the extent of the UKGC’s powers and the potential for regulatory overreach. The case could have significant implications for the future of the UK gambling industry, particularly regarding the balance between regulation and innovation.
As the legal proceedings unfold, industry observers will be closely watching for any developments that could shape the future of the UK gambling market. The outcome of the case could have far-reaching consequences for both operators and regulators, setting a precedent for future regulatory actions.
It remains to be seen how the UKGC will respond to the allegations and whether the will be able to justify its actions in a court of law. The case highlights the increasing scrutiny faced by the gambling industry and the need for a balanced regulatory approach that promotes innovation while protecting consumers.
The legal battle promises to be a long and complex process, with significant implications for the future of the UK gambling sector.
