Regulators in Pennsylvania have signed off on a settlement with BetMGM after uncovering a series of fraud-related failures tied to how the company verified its customers. The agreement, approved March 25, comes with financial penalties and the removal of credit cards from the BetMGM platform starting March 31. The decision follows a detailed review of multiple cases where fraudulent users were able to open accounts, move money, and withdraw funds using stolen or fabricated identities. State officials said those incidents exposed gaps in the company’s safeguards, particularly around its Know Your Customer processes. ## Fraud cases and regulatory findings Investigators described a pattern of control failures that stretched across multiple years. According to Senior Enforcement Counsel John Crohe, the case involved “four incidents of interactive gaming know your customer requirement violations” that allowed fraudulent behavior to persist. One scheme stood out because of its scale and duration.…