"Fun Games": Perpetrators defraud players and authorities

For some time, we have been seeing an increase in the number of illegal slot machines in Germany. Nearly every day it is reported in the media that illegal slot machines are confiscated during raids. However even for the investigating authorities it is often not easy to recognise money slot-machines which are manipulated. What can the perpetrators earn from such illegal slot machines?

Exactly a year ago we had reported on GambleJoe about the fact that illegal slot machines are on the increase. In Germany one can still find many illegal slot machines. Nearly every day there are reports in the local media about raids in cultural organisations, cafés, shisha bars and casinos. During these raids the police confiscate many slot machines which are described as “Fun Games”. Recently the “Rheinische Post” reported about around 90 illegal slot machines which were confiscated by the police in 2022 and which are now being kept under lock and key.

Illegal slot machines are a lucrative source of income

“Fun Games”, i.e., the illegal slot machines, are machines which are used without the permission of the authorities. In many cases the slot machines involved have had their software manipulated. In this way the players are “prevented” from knowing that they have won since nothing is displayed on the screen. The respective amount of money is however still logged in as player winnings and is presented as such to the Tax Authority. The consequence: Hardly any, if any taxes are paid. In some cases, the authorities are not aware of these illegal slot machines.

Experts assume that the perpetrators earn quite a lot of money from the “Fun Games”. Depending on the number of times a slot machine is used this can be between 3000 and 10,000 Euro monthly per slot. The perfidy: the income from the illegal slot machine is tax free for the operator.

The illegal slots are mostly bought from abroad, on the internet and they cost between 1700 and 3000 Euro. Most of them come from China or Eastern Europe. Meanwhile the jurisdiction in Germany has come to a point that when such “Fun Games” are set up, one already has suspicions that this involves illegal games of chance.

Just in Duisburg there are 90 illegal slot machines under lock and key

If we take a short look at the situation in Duisburg (North Rhine-Westphalia), we can see that in Germany illegal money slot-machines in Germany are the cause of high financial damages. The current Commissioner of Police, Alexander Dierselhuis, has addressed the problem – together with his investigators he is fighting tirelessly the dangerous “Fun Games” and he wants to improve the situation. His results so far: According to a report in the “Rheinischen Post” in December 2022, just in Duisburg there are currently 90 illegal slot machines under lock and key. These were confiscated by the Duisburg police in 2022 and after the procedures are over they will be destroyed accordingly.

Conclusion

Similar to the online gambling industry there are also “black sheep” in the sector of land-based games of chance. We are here referring to the so-called “Fun Games” which are in fact illegal slot machines. These slot machines definitely provide fun for the (criminal) operators as these can bring in between 3000 and 10,000 Euro per month and they are tax free. It is a big challenge for the investigative authorities to tackle the many illegal slot machines. These are not only found in cultural organisations, but also in cafés, tea rooms and other similar establishments. 

Image source: https://pixabay.com/de/photos/spielautomat-spielsucht-sucht-slot-358248/