Chelsea and Liverpool Cut Sponsorship Deals with 1XBet

11.09.2019, 19:35

Following a string of allegations against 1xBet, a Russian–based gambling firm, Chelsea and Liverpool have severed their sponsorship agreement with the bookmaker.

The firm had earlier on caught public attention owing to probe conducted by the UK Gaming Commission against 1xBet. It was conducted following a report by Sunday Times Investigation. The firm is on the limelight due to incompliance with the UK gambling laws. It has, for example, been involved in promoting “pornhub casinos” which use topless croupiers intending to attract punters. Additionally, the company has also been offering bettors wagers on children’s sports as well as cockfighting. On top of that, illegally featuring Premier League soccer matches is an issue that has made the firm vulnerable to facing the UKGC’s wrath.

Following these allegations, 1xBet recently shuttered its operations in the UK. Tottenham was the first football club to sever ties with the firm and barely a week after, Liverpool and Chelsea have also severed theirs, which they had just signed in July. Tottenham pulled out of a long-term sponsorship deal between the firm and the club with the firm serving as its African betting partner, which was signed in August 2018.

By holding on to ties with the gambling operator, any club risks being held liable, as the commission warned. As such, no club is allowed to hold advertisements with the firm as its operations have been suspended within the United Kingdom. Failure to comply with this may attract legal prosecution under the Gambling Act, accompanied by hefty fines and imprisonment. Thus, to be on the safe side, Tottenham backed off early enough.

1xBet UK Background

1xBet kicked off its operation as a Russian betting service, but over time it has begun overseas operations licensed in Curacao and based in Cyprus. Its public profile was further boosted as legendary football clubs such as Liverpool, Chelsea and Barcelona signed betting partnerships.

To deflect the blame, 1xBet said that the appearance of its brand on prohibited websites should be blamed on third-party networks and affiliates. The company also pledged to commence an immediate internal investigation on the same issue.

1xBet has been operating under the FSB’s gambling Commission license partner with reports that its certification to operate in the market is underway. FSB technology was quick to assure players who have accounts with 1xBet that their balances were safe. Further, it added that it had been reviewing its future with 1xBet, claiming it has always met UK’s regulation standards.