How do companies like Starscream Limited evade multi-million fines?
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18 Jan 2026 •
Reading time: 3 minutes In the world of offshore casinos, dodging fines is child’s play. By using volatile legal structures that they liquidate at the slightest sanction, they make recovery impossible and continue their activities with impunity.
The headline hit hard: a €4.2 million fine for an illegal gambling site. But in the world of offshore operations, that amount is more of a formality than a slap on the wrist.
Starscream Limited, the company behind multiple illegal gambling platforms, has experience with these kinds of situations. Will the fine be paid? Will it have the intended effect? Michael Schmitt of Malta Media doubts it and explains why.
Sanction on paper, but without real consequences
On paper, it sounds substantial: multi-million fines for parties that do not adhere to Dutch law. In reality, it is mostly symbolism.
Starscream operates outside the EU and can change its structure quickly. The imposed fine does not hit the operations, nor the staff, nor the profit. It only hits a company name, and in this game, that is as replaceable as a domain.
The cost of a new setup with a license from Curaçao or Anjouan? A fraction of the imposed fine.
“Operators from this corner have mapped out the route long ago, including legal loopholes and new entities,” writes Michael Schmitt of Malta Media on LinkedIn.
Gammix previously showed how it works
Anyone looking back at the Gammix Limited case in 2024 sees the same pattern. A hefty fine, a lot of media attention, strong statements from regulators. But behind the scenes, little happened. Gammix fought back, dragged the case out, and then started liquidating its company in Malta.
“The Kansspelautoriteit reportedly hasn’t seen a cent. And players in the sector know that. They build in their risks, both financially and emotionally.”
‘The only thing we see is a press release’
Ksa chairman Michel Groothuizen emphasizes that the authority has a broad enforcement toolkit. But how broad is a toolbox if the most important weapon has no effect?
“The fine for Starscream changes nothing about the operation of the company. No website goes offline. No money flows back. No player gets protection. What remains is a press release. Regulatory theater, experts call it: enforcement for show,” according to Schmitt, who knows what he is talking about.
And that raises an uncomfortable question. Are these fines still enforcement instruments, or are they mainly intended to show that something is being done?
In Belgium, the problem is similar
This sense of powerlessness does not stop at the Dutch border. In Belgium too, the Gaming Commission is fighting a comparable battle, often described as tilting at windmills.
While the Belgian regulator does not hesitate to impose heavy administrative sanctions on illegal operators to protect players, actually collecting these sums is a true ordeal.
Just like the Ksa with Starscream, Belgian fines run up against complex legal structures based in tax havens or outside the EU, making recovery procedures nearly impossible.
The conclusion is bitter. Without binding international agreements, these financial sanctions remain largely theoretical, allowing offshore operators to continue their activities with no real impact on their bottom line.