EC Report Says Online Gaming Susceptible to Fraud

29 April 2008

A European Commission report has identified the online gambling sector as one that is "weak" with regard to susceptibility to fraud.

The report, due to be published on Monday, addresses the development of a cross-border payments system in Europe. Its main finding is that credit and debit card fraud threatens to obstruct such a system, according the Financial Times.

The FT summarizes: "Criminals have been taking advantage of gaps in the security procedures used by the payments industry and some e-commerce sites when accepting card transactions, such as failing to collect card security codes given on the back of a card systematically, or to reject transactions without a security code or with a false one."