Worldline in Crisis: Allegations of Fraud Cover-Up Shake Digital Payment Giant

Worldline shares plummeted after a media investigation alleged fraud cover-ups to maintain revenue. The report claims the company accepted high-risk clients, including gambling and adult sites. Worldline stated it has strengthened compliance controls. Shares fell to a historic low, and a Dutch bank has launched an inquiry.

Worldline shares suffered a significant blow, plummeting after an investigative report by 21 European media outlets accused the French digital payment giant of concealing client fraud to sustain revenue streams. These allegations, part of the 'Dirty Payments' probe, have raised substantial concerns throughout the financial sector.

The report claims that Worldline accepted 'questionable' clients, including websites related to pornography, gambling, and dating. Responding to the allegations, Worldline declared it has improved its risk controls and severed ties with non-compliant clients, reflecting on captured revenues of 130 million euros by 2024.

Amid these allegations, the company stated its zero-tolerance policy for non-compliance, emphasizing its regular engagement with regulatory authorities. However, Worldline shares have seen a dramatic decline, falling to a new low in Paris trading. Meanwhile, investigations from Dutch financial regulators put additional scrutiny on Worldline's practices, further intensifying the situation.

(With inputs from agencies.)