Two former top executives of gambling giant Entain have been defeated in a High Court civil action against the UK's gambling watchdog. Kenny Alexander and Lee Feldman, the former chief executive and chairman of the Ladbrokes and Coral owner, sued the Gambling Commission, alleging it breached their privacy. Their claim has now been dismissed.
The Failed 888 Takeover and Regulatory Intervention
The legal dispute stemmed from the regulator's actions during the pair's attempted takeover of online casino firm 888 last year. Talks collapsed after the Gambling Commission informed 888 that its operating licence would be subject to review. This move was prompted by concerns linked to Alexander and Feldman's previous leadership roles at Entain.
Entain was the subject of a major investigation by HM Revenue and Customs (HMRC), codenamed Operation Incendiary, into alleged bribery within its Turkish operations. The regulator asked 888 if it was aware whether the two men had been interviewed under caution or were suspects in that probe.
Unable to secure necessary assurances, 888 told the stock market it could not obtain "the most basic assurances" to satisfy the Commission's concerns, leading to the deal's failure.
Privacy Claim Dismissed with Costs Order
Alexander and Feldman, with Alexander famously known in the industry as "King Kenny", argued that the Commission breached their privacy by causing a public statement that disclosed both the licence review and its reasons. They brought their claim against the regulator in 2023.
On Monday, Mrs Justice Eady dismissed the claim in its entirety. She also ordered the two former executives to pay the legal costs incurred by the Gambling Commission. The detailed reasoning behind the judgment is currently under a temporary reporting restriction and cannot be made public.
Ongoing Criminal Proceedings and Past Settlement
This civil case is a separate legal matter from serious criminal charges facing the two men. In 2023, Entain itself agreed to pay a record £650 million as part of a deferred prosecution agreement with the Crown Prosecution Service, related to the HMRC bribery investigation covering activities from 2011 to 2018.
Subsequently, Alexander and Feldman were among 11 defendants charged with offences including fraud and bribery. A criminal trial connected to Operation Incendiary is scheduled to begin in 2028.
The Gambling Commission welcomed the dismissal of the civil claim, stating simply: "We welcome the dismissal." Representatives for Feldman and Alexander have been approached for comment following the High Court's decision.
