A nearly five-year legal battle has brought to light explosive allegations linking Playtech to a covert campaign against its rival, Evolution AB. The claims centre on a report allegedly commissioned through Israeli private intelligence agency Black Cube, which Evolution says contained fabricated information designed to damage its business and reputation.

The dispute, which has been unfolding since 2020, took a decisive turn this month after the New Jersey Superior Court confirmed Evolution’s right to identify those behind the report. Evolution now plans to amend its lawsuit to include Playtech as a defendant, with defamation proceedings expected to continue into 2026.

Evolution accuses Playtech of funding ‘smear campaign’

In comments to NEXT.io, Evolution Chief Executive Martin Carlesund expressed deep disappointment, saying the revelations “take away a large piece from my belief in fair play, humanity in general and good ethics and morals.”

“That a company, that is our competitor, can hire a company like Black Cube, hide underneath several layers of other companies and fabricate false statements about us to harm our business and reputation, is just so bad that it is hard to understand,” he said.

According to the report, high-level Playtech executives, including CEO Mor Weizer, were in contact with Black Cube during the investigation. Evolution alleges that Black Cube was paid more than £1.8 million to produce a “defamatory” report, which was later found by two US regulators and a New Jersey court to be “lacking in evidentiary support” and “untruthful.”

Accusations of deception and covert operations

Evolution also accused Black Cube of using “highly unethical” tactics, such as disguises, falsified identities, and secret recordings to fabricate evidence. The firm reportedly posed as investors, consultants, and even representatives of a Sudanese billionaire to meet current and former Evolution employees under false pretences.

“These included by posing as representatives of a Sudanese billionaire seeking to invest in the Nordic tech sector, a consulting firm representing investors and trustees of a client wanting to enter the online gambling market,” the spokesperson said.

Evolution further claimed that Black Cube used “alcohol and entertainment, paying for flights and hotels, paying in cash and wearing what looked like wigs and fake beards to cover their tracks.”

Despite these accusations, Black Cube has maintained that its work was legitimate. In a statement to NEXT.io, the agency said it “proudly submitted its findings in coordination with its client,” and that “the case now enters its decisive stage – where years of Black Cube’s intelligence work will finally be brought to light and thoroughly examined.”

It added that its evidence “leaves no room for doubt: Evolution knowingly and deliberately allowed its games to operate in sanctioned jurisdictions and black markets – both before and after the report’s submission.”

Playtech responds: ‘We stand by the investigation’

Following Evolution’s public statements, Playtech issued its own response strongly denying any wrongdoing.

“The suggestion that its subsidiary, Playtech Software Limited engaged in a smear campaign is wholly untrue and is designed to distract from serious questions about Evolution’s business practices,” Playtech said.

It confirmed that Playtech Technology Services (PTS) “commissioned an independent business intelligence firm to investigate credible and repeated concerns raised by operators, suppliers, and regulators about Evolution’s activities in prohibited and sanctioned markets.”

Playtech said the investigation was “undertaken lawfully to better understand and verify concerns of significant regulatory and commercial importance,” and claimed that the findings showed Evolution’s practices “undermine lawful and compliant gambling operations.”

“Such conduct damages trust in the credibility of the entire industry and also ultimately impacts government tax collection,” Playtech added.

The company said it “stands by the decision to commission the report” and “welcomes court examination of the report and its findings.” Playtech insisted that the proceedings will “confirm the credibility and legitimacy of the investigation.”

A rift that could reshape the iGaming landscape

What began as a confidential investigation has now become one of the most high-profile legal battles in iGaming history, with potentially billions at stake.

As a result of this ordeal, Playetech Plc’s stocks have taken a plunge, falling to 223.50 on 21st October (yesterday).

Evolution argues that the report has caused “multi-billion-dollar damage” to its business, while Playtech maintains that its actions were motivated by legitimate compliance concerns.

With court proceedings still ongoing and both sides standing firm, the outcome of this legal fight could have far-reaching consequences for transparency, ethics, and competition within the global gaming sector.