An iGaming company director has been charged with misappropriating €800,000 from players after allegedly failing to pay them their winnings.

Michael Zwi Oros, 33, from Sweden, a director of Everleaf Gaming Ltd and Gold Man Gaming Ltd, pleaded not guilty to misappropriation, failing to pay his gaming licence and tax, failing to notify the Lotteries and Gaming Authority of the relocation of the control system, failing to deposit winnings and failing to disclose all ultimate beneficiaries, to ensure that all are fit and proper.

Magistrate Doreen Clarke granted him bail against a deposit of €10,000 and personal guarantee of €10,000.

The Lotteries and Gaming Authority said it had suspended the company’s gaming licences with effect from July 26 last year. Everleaf was ordered not to register new players, accept new deposits or offer any games.

The regulator said Everleaf pulled out of the US market in February 2012 following the seizure of $27,000 from a payment processor.

LGA chairman Joseph Cuschieri said that after months of investigations, the police arrested one of the two directors and efforts would continue to also bring to justice the other director, Jean Pavili.

“Our key objective is to recover the funds owed to the players. We are committed to ensure that player funds are protected at all times and, to this effect, the LGA will be taking concrete measures to strengthen its player protection mechanisms well beyond the benchmarks in Europe and other jurisdictions,” said Mr Cuschieri.

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