The Swedish Gambling Authority, known as Spelinspektionen, has temporarily suspended the casino operating license of Charm Entertainment AB, mandating an immediate halt to all activities authorized under this license.
This decision, effective from October 1, 2026, is to remain in place until a final judgment is reached or until April 1, 2027, at the latest.
On May 27, 2026, Spelinspektionen commenced a supervisory examination of Charm Entertainment AB to assess the company's adherence to the Swedish Gambling Act alongside relevant tax, accounting, and bookkeeping regulations. This review included an analysis of annual reports submitted by Charm for the years 2023 to 2025 and scrutinized documents related to an ongoing criminal preliminary investigation in the Södertälje District Court.
The authority cited numerous reasons for the suspension, declaring that there are “probable reasons” to suspect that Charm no longer meets the statutory requirements for maintaining a gaming license. Current and former executives connected to Charm face serious allegations, including aggravated accounting crimes linked to Lucky 21 Casino AB, another casino that previously held a license.
Notably, the proximity of both operations and the shared personnel have raised concerns that unethical practices identified in Lucky 21 might have continued within Charm's gaming activities.
Investigations revealed significant discrepancies in Charm's annual financial statements, particularly the submission of two separate reports for the financial year 2023, which raised alarming questions about the integrity of their bookkeeping practices.
The regulator pointed out the gravity of the alleged infractions and the connections between individuals at Lucky 21 and Charm. Considering the potential for ongoing misconduct, Spelinspektionen deemed an immediate suspension necessary to prevent further gambling operations from facilitating criminal activities or adhering to inadequate accounting standards.
The temporary revocation is subject to appeal but can remain in effect for an initial six-month period, with a possible extension of six more months under special conditions.
Recently, Spelinspektionen had its fine against the Malta-based online operator LeoVegas overturned. The operator was previously penalized for supposed violations of the duty of care provisions under Sweden’s Gambling Act. However, the court found the evidence against LeoVegas to be unequivocal, leading to a complete reversal of the prior regulatory sanction on June 12, following a thorough examination of the evidence and arguments put forth by LeoVegas.
