The Gambling Commission provided an update on its investigation into BetIndex and its Football Index platform, “due to the understandable and continuing interest of consumers”.
The Football Index, a betting offer through which players can trade stocks of professional football players similar to the stock market, suspended trading in March 2020 after a massive exodus of customers and investors as a result of its decision to cut the players’ dividends from 14p to 3p.
As a result, many customers lost thousands of pounds overnight, with the company entering administration and having their license suspended by the Gambling Commission.
“Ultimately, on the side of the courts, it is up to the administrators to resolve the return of funds to affected consumers from the financial resources still held by the company”, read a statement by the Gambling Commission. “This is not something that can be addressed by us, but we are in contact to ensure that any legal obligations covered by our assignments are met.”
“In terms of ‘Trust Deed monies’ – the money set aside by the company to cover customer holdings in the event of financial difficulties – these funds are currently being held by Jersey County.”
Following a court ruling earlier this month, repayment of money to clients’ wallets continues as planned, with a court hearing on June 22 in Jersey to recognize the Superior Court Order.
“The next steps will see customers being notified by email when the money is released. At that point, customers will be able to log into their Football Index account and place a withdrawal request.”
In addition, the commission is fully involved in the government’s independent review, which is being led by Malcolm Sheehan QC.
The Gambling Commission added “we have certain powers as a regulator and sometimes it’s supposed that we can do things we can’t do. That doesn’t mean we don’t recognize the anguish and clear disturbance that many Football Index clients are feeling.”