Ukrainian Gaming Regulator Cancels Patriot Lottery Operator’s Licence

(AsiaGameHub) –   The Ukrainian gaming regulator has revoked the operating licence of the betting firm Patriot’s lottery.

The regulator, PlayCity, stated it took action after receiving information about Patriot’s operator from the Ukrainian State Bureau of Investigation.

On its Telegram channel, PlayCity wrote: “When issuing licenses to lottery operators and gambling organizers, we always involve law enforcement agencies.”

Following a “comprehensive check” of the company and its connections, the bureau and the regulator agreed that Patriot was “non-compliant with legislative requirements.”

The decision deals a significant blow to Patriot, which obtained its operating permit only in late January this year.

PlayCity initially granted lottery operating permits to just three firms: the aforementioned Patriot, MSL, and the Ukrainian National Lottery.

Earlier this month, the Ministry of Digital Transformation confirmed that all three lottery operators had successfully paid the government the mandatory 24.2 million hryvnia ($554,000) licensing fee, as reported by the Ukrainian media outlet Interfax-Ukraine.

Ukrainian Regulator: Lottery Operator Failed Compliance Check

“The modern Ukrainian lottery market prioritizes security for the state and citizens, as well as the transparency and accountability of businesses,” PlayCity wrote. “We will continue to establish honest and understandable operational rules, under which only trustworthy operators will conduct business.”

The regulator provided no further explanation for its decision, though Patriot retains the right to challenge it in court.

Patriot began offering gambling products in the Ukrainian market in 1997. According to the Ukrainian media outlet Liga, the company is owned by the British firm Andalidi Invest.

Liga reported that its “ultimate owner and beneficiary” is Andriy Matyukha.

The outlet noted that between 2015 and 2018, the National Security and Defense Council imposed sanctions on Patriot.

Lawmaker’s Accusations

Lawmaker Danylo Hetmantsev, a member of the Verkhovna Rada’s tax committee, has repeatedly claimed that Matyukha holds Russian citizenship. Matyukha has denied these claims.

In a post on his Facebook page last year, Hetmantsev referred to Matyukha as “a swindler with a Russian passport.”

The Ukrainian gambling sector has drawn attention in recent months, with some lawmakers calling for a ban on online casino use by members of the armed forces.

This month, Ukrainian casino industry officials dismissed claims from critics that gambling is rampant in the country’s military.

Gambling industry officials stated that military personnel “gamble no more than the average Ukrainian.”

They noted that gambling addiction is not widespread in the military, “nor is it unique to any group, including military personnel.”

Late last year, PlayCity announced it had blocked residents’ access to over 2,500 illegal online casinos.