Following a t investigation with the Swedish Consumer Agency, the regulator found the organisations had breached multiple provisions of the Gambling Act in relation to the Kombilotteriet lottery, including a failure to ensure sufficient control over outsourced telemarketing firms.
It follows local news reporting about the aggressive sales tactics the third-party firm hired by the SAP had used in marketing related lottery products.
The Consumer Agency concluded that they had used aggressive sales tactics via telephone to promote lottery subscriptions, particularly targeting elderly consumers.
It found evidence that callers exerted undue pressure, misled individuals into g up for subscriptions they believed were one-time offers, and continued ing people who had explicitly asked not to be approached again.
Regulator slams ‘serious’ violations
The regulator said the violations were “serious” and involved breaches of consumer protection, marketing rules and operator responsibility.
It said: “The licensees have not had such control as is required for the operation to be conducted under controlled and secure conditions.
“The infringements are therefore to be regarded as serious. A warning is an adequate measure in view of the corrective actions that have been taken to prevent recurrence.”The party organisations said they had since halted all telephone sales and cut ties with the underperforming subcontractor.
Additional changes included replacing the CEO and board of the operator Kombispel, and commissioning a full review of marketing and governance procedures.
The authority added: “The breaches of the Act on Gambling cannot be excused by subsequent remediation. The responsibility remains with the licence holders.”
Separately, Sweden’s Breast Cancer and Prostate Cancer Associations were each fined SEK500,000 and issued with warnings over similar shortcomings.
In those cases, complaints emerged from consumers who received bills for subscriptions they did not knowingly agree to.
The regulator stressed that in both cases, operators had failed to maintain adequate control over commissioned sales agents.
It said the breaches risked undermining public confidence in Sweden’s regulated gambling framework.