The implementation of major internal controls in Malta-based remote gaming companies : an evaluation

Abstract

The purpose of internal control within a gaming operation is to manage and control risk appropriately, rather than to eliminate it, as well as to establish the credibility of the IT system and instill confidence that the results of the system are correct and reliable. The objective of this study is to evaluate the implementation of selected major internal controls and their possible pitfalls as experienced by Malta-based remote online gaming companies. The research was spread over a period of seven months and consisted of interviews with major local remote gaming operators and with others who are in continuous contact with such companies. The study revealed that, in general, this industry is already highly regulated and that adequate attention is already given to internal controls. However the continuous emerging risks in this industry and the propensity of these companies towards money laundering, fraud and cyber crime require careful constant attention by personnel.