Gaming operators have an obligation at law to segregate and
protect their players'/customers' funds. This obligation is
not only locally imposed but it has also achieved international
standing around the globe. When looking at the Maltese landscape
with particular focus on the protection of player funds, such
obligations mostly stem from the Maltese Gaming Act1 (the
"Act") and subsequent directives issued by the Malta
Gaming Authority, predominantly the Player Protection Directive2 (the "Directive").
Part IX of the abovementioned Directive clearly states that
"the Act and the regulations made thereunder establish
funds as being the separate and distinct patrimony of the players,
and are not funds belonging to the licensee." The Act
goes on further to state that "Player funds may be held
within credit, financial and, or payment institutions licensed in
Malta, or licensed outside Malta but within the EU/EEA or other
approved jurisdictions".
