Your shield against financial fraud
Your shield against financial fraud
Back
Compliance

MiFinity Compliance Report

MiFinity Compliance Report

High-Risk Payment Processing, Illegal Offshore Casinos, and a Non-Transparent Group Structure

A detailed compliance review conducted by Scam-Or Project documents that MiFinity, a regulated Electronic Money Institution holding licenses from the FCA (UK) and MFSA (Malta), has been systematically processing payments for offshore online casinos operating without authorization in the UK and across the EU.

The group’s 2024 financial statements disclose a dramatic 307% surge in net income, reaching £8.6 million, coinciding with a rapid expansion into high-risk gambling merchants. At the same time, the accounts reveal more than £22.6 million in internal fund movements routed through affiliated entities with limited transparency.

Beneficial ownership remains unclear, and the death of founder Mike Busher in summer 2024 removed the primary individual with first-hand knowledge of the group’s historical offshore structuring.

Executive Summary

Scam-Or Project Intelligence has completed an extensive compliance assessment of the MiFinity Group, a cross-border payment processor licensed in the United Kingdom and Malta. The investigation identifies persistent regulatory and compliance weaknesses, summarized below.

Key Findings

1. Systematic Facilitation of Illegal Online Gambling

MiFinity has been identified as a core payment processor for multiple offshore casino operators that target regulated markets without holding the required local gambling licenses.

Documented examples include:

  • Legiano Casino — Licensed in Anjouan/Curaçao, yet actively accepting players from the UK and EU without national authorizations
  • Winning.io — Curaçao-licensed operator enabling global payments, including transactions from restricted jurisdictions
  • Scale of exposure — Evidence of MiFinity payment services appearing across 650+ gambling websites, many lacking proper regulatory approval

Regulatory context:
UK Gambling Commission rules and EU national gambling regulations require payment institutions to block or refuse merchants that operate without local licenses. The documented processing of payments for Legiano and Winning.io directly conflicts with these obligations.

2. 307% Revenue Growth Aligned With High-Risk Merchant Expansion

Indicator 2023 2024 Change
Net Income £2.1M £8.6M +307%
Total Assets £23.2M £77.0M +231%
Gross Margin 52.1% Far above industry norm

Key observations:

  • A 52.1% gross margin significantly exceeds the typical 2–5% range seen among low-risk, fully compliant payment processors
  • The growth spike followed the October 2023 appointment of Jim Purcell, former CFO of EBET Inc., as Chief Operating Officer
  • The margin profile strongly suggests premium pricing for high-risk merchants unable to access traditional banking rails

Compliance interpretation:
Such margins are consistent with a “processor of last resort” model, servicing merchants excluded by mainstream financial institutions due to regulatory risk.

3. £22.6 Million in Non-Transparent Inter-Company Transfers

The 2024 audited accounts disclose extensive internal transactions lacking clear economic justification.

Payment Flow Amount (GBP) Description
MiFinity UK → Concentric Data Services (Ireland) £6.8M “Service & Technology Fee”
MiFinity Malta → MiFinity UK £14.4M Payable due (purpose undisclosed)
MiFinity Payments (Ireland) → MiFinity UK £1.4M Payable due (purpose undisclosed)
Total £22.6M+ Undisclosed inter-company dependencies

Compliance concern:
The £6.8M annual payment to Concentric Data Services, an unregulated entity with no publicly described operational scope, raises serious questions about the outsourcing of sensitive functions such as merchant onboarding, AML screening, or transaction monitoring outside regulatory supervision.

Original MiFinity Financial Analysis.

4. Opaque Ownership and Governance Structure

  • Ultimate Beneficial Owners: Not publicly disclosed
  • Named controllers:
    • Paul Kavanagh — Chief Executive Officer
    • Kieron Nolan — Chief Financial Officer
  • Founder:
    • Mike Busher (b. 1951, US national), former majority shareholder (>75%), deceased in an aircraft accident in summer 2024

Additional red flags:

  • Busher appears in the ICIJ Offshore Leaks (Paradise Papers) as a shareholder in Concentric Data Services Malta Ltd, confirming historical offshore linkages
  • MiFinity Payments Limited (Malta) functions as the group holding entity yet provides no consolidated public financial reporting

5. Regulatory Arbitrage via Multi-Jurisdictional Design

The group structure appears optimized to exploit differences in supervisory rigor:

  • Merchant onboarding routed through Malta (MFSA)
  • Payment execution and banking access via UK (FCA)
  • Technology and support functions outsourced to Ireland through an unregulated entity
  • Holding and ownership opacity maintained at the Maltese parent level

Result:
This configuration creates structural blind spots, allowing high-risk merchants to be onboarded under weaker oversight while still accessing UK and EU financial infrastructure.

Overview of the Full Compliance Report (2026 Edition)

The complete 26-page MiFinity Group Compliance Report covers:

Part 1 — Corporate Structure

Mapping of seven entities across four jurisdictions and analysis of £22.6M in internal fund flows.

Part 2 — Beneficial Ownership & Key Individuals

Profiles of Kavanagh, Nolan, the late founder Busher, COO Jim Purcell, and Franklin Cachia (Chief Compliance Officer, also affiliated with CSB Group).

Part 3 — Business Model & Merchant Exposure

Detailed examination of MiFinity’s gambling-focused merchant portfolio, including case studies of Legiano and Winning.io.

Part 4 — Regulatory Framework & Oversight Gaps

Assessment of FCA (Reg. 900090) and MFSA (Reg. C64824) supervision, highlighting the absence of visible group-level AML/CFT controls.

Part 5 — Compliance Hypothesis

The 307% growth in 2024 is directly linked to aggressive onboarding of offshore gambling operators unable to secure compliant payment services elsewhere.

Part 6 — Structural Red Flags

  • Multiple entities with unclear operational roles
  • Historical offshore links confirmed by Paradise Papers
  • Founder death eliminating a key source of ownership transparency
  • Ireland–Malta–UK routing enabling regulatory arbitrage

Part 7 — Findings & Enforcement Recommendations

Potential actions involving:

  • UK Gambling Commission
  • Financial Conduct Authority (FCA)
  • Malta Financial Services Authority (MFSA)
  • UK National Crime Agency
  • EU Financial Intelligence Units

Compliance Risk Assessment

Overall Risk Level: CRITICAL

Risk Area Rating Supporting Evidence
Merchant Due Diligence CRITICAL Processing for Legiano & Winning.io
AML/CFT Controls CRITICAL Lack of public policies; outsourcing to unregulated entity
Beneficial Ownership CRITICAL UBOs undisclosed; offshore opacity
Transfer Pricing & Fund Flows HIGH £22.6M unexplained internal transactions
Consumer Protection HIGH Facilitation of unlicensed gambling
Regulatory Coordination HIGH No visible group-wide AML/CFT framework
Financial Crime Exposure MEDIUM-HIGH Transaction patterns consistent with laundering typologies

Enforcement urgency: Immediate regulatory scrutiny is warranted.

Call for Whistleblowers

Scam-Or Project invites current or former MiFinity employees, merchants, partners, and compliance professionals to submit relevant information via the Scam-Or Project whistleblower section.

All submissions are handled confidentially and may be forwarded to appropriate regulatory or law-enforcement authorities where justified.

About This Report

Scam-Or Project Intelligence specializes in investigations into financial crime, payment-system abuse, and high-risk fintech operations.
This report reflects six months of independent research, financial analysis, and regulatory review.

Prepared by: Scam-Or Project Intelligence Unit
Date: January 2, 2026
Distribution: Regulators, law-enforcement bodies, media partners, compliance professionals

add a comment

Have questions? We can help!

Fill out the form for a consultation on disclosures and fraud issues.

Leave A Reply