That's the price paid for one's ignorance and stubbornness.

[Slow death]

Still on the case, if the punishment of accounts blocking is the price that ignoramus and stubborn gamblers has to pay, what does the casino do with such money after then? Do they convert the money for themselves or they have an authority they pay such money to?

The casinos keep the money, this is very clear in the casinos' TOS where it says that if someone is found to have too many accounts, cheating or involved in money laundering the casino reserves the right to block that person's accounts and confiscate all of that person's funds.

The casino will not give the government the money if the customer is involved in money laundering, unless the government through the court orders issues an order asking for the money and the customer's details to take him to prison.

[Churchillvv]

If the issue that results to the locking of accounts or funds is internal more like disobeying the laid down rules of casinos then it's the casino that gets all the money for the house edge but when it's external like money laundering related issues it's reported to the appropriate authorities and I believe they also get a percentage from the funds and the rest to the government.

 
I don't actually know what they do with the money that's why I asked, and the case  am referring to here is not about money laundering but just the usual cheating and going against some normal terms such as multiple accounts, VPN use.

Since you're basically talking about the internal terms of operation then the casino is in favour of every funds seized out of bridging the terms and conditions or ToS.

Most of the time they use it to increase the house edge that keeps them above customers and not to bankrupt when there is a big win some also could use it as compensation to those who deserves compensation since most of the time they are the once who bridge the terms of services to their customers.

[Mate2237]

I think every organization that you join has rules and regulations so before a casino can lock you out of your account you must have done something that is against their community rules so they are right to do anything to your account because before you sign up for the casino you have signed some rules that empowers the casino to take any action with or without your concent so it's not a strange thing to me.


What ever that the casino use the money that is in the account for is not your concern at this point because they have the legal backing to do that, we should always endeavour to stick to the rules and regulations of the casinos because there are penalties that follows accounts that don't follow the rules of the game

[|MINER|]

I saw some topics where some gamblers complaind on how they were locked out of their accounts by the casino and they lost their funds because they could not gain access to the casino again. For cases that was not the gamblers fault, the casino treated the problem and unlocked the account of that gambler, while for those gamblers that was at fault by violating the rules and regulations of the casino, their accounts was never opened by the casino and the gamblers lost their money for ever to that casino. Still on the case, if the punishment of accounts blocking is the price that ignoramus and stubborn gamblers has to pay, what does the casino do with such money after then? Do they convert the money for themselves or they have an authority they pay such money to?

Well said.
Not only in some cases but in most cases it is seen that we gamblers do not read the terms and conditions of the casinos properly before gambling and as a result we make a deposit without understanding the rules and regulations of that type of casino and later when our account gets frozen due to violating the rules then we make scam accusations. Which I think is actually unusual like as you said on the op.
However, in some cases, I have seen casinos give discounts depending on the size of the rule violation. From that point of view, if I say that if the player break the rules the can take lightly, then the casino can refund your money if they want and that would creates positive marketing for the casino.

[Wakate]

I saw some topics where some gamblers complaind on how they were locked out of their accounts by the casino and they lost their funds because they could not gain access to the casino again. For cases that was not the gamblers fault, the casino treated the problem and unlocked the account of that gambler, while for those gamblers that was at fault by violating the rules and regulations of the casino, their accounts was never opened by the casino and the gamblers lost their money for ever to that casino. Still on the case, if the punishment of accounts blocking is the price that ignoramus and stubborn gamblers has to pay, what does the casino do with such money after then? Do they convert the money for themselves or they have an authority they pay such money to?

Maybe you need to tell us what kind of stubbornness that can make a gambler to lose his account to the casino. At least you supposed to give us an instant and how this can be possible or what could make casinos to luck out accounts at least for the newbies here to have full understanding about what could happen to anyone. I have seen many instances where gamblers funds were locked and they could not access their funds again. Gambling can be very addictive also when we are trying to hard to make money for ourselves. The casino doesn't really make to see much people making money from them which is why not many would become successful gamblers.

[slapper]

The casino collects the funds. Simple. Their regulations, their playground, their profit model - all of which is their playground. Should ignorance or stubbornness cause someone to be locked out, that is still another source of income for the house. There is not a conspiracy here. It’s just business. You’re expecting fairness in a system designed to extract maximum value from its participants. The casino never loses. The gambler does. It is not whether the casino keep the money or hands to some "authority". The question is why people keep plunging themselves into a game where they have no control. Gamblers keep returning because they find the illusion of control over an essentially rigged system appealing. The most expensive addiction is false hope.

[mirakal]

if the punishment of accounts blocking is the price that ignoramus and stubborn gamblers has to pay, what does the casino do with such money after then? Do they convert the money for themselves or they have an authority they pay such money to?

They can do whatever they want to do with it; they will likely add it to their reserves. I don't think they need to explain this to anyone; its not even in their terms what they are going to do with it, and it cannot be questioned unless they confiscate it without due process.
To avoid this, gamblers just need to follow the terms, and they are good to go if they are not comfortable with the terms; they can just play elsewhere.

The casinos having access with our account, then they have all the means if the gambler has been caught of cheating. You’re right, no need to question where the money will go. For sure, it will be held by them for future usage. However, they can still release the money if there are instances that the gambler had only made some considerable mistakes, but cheating against the casino, that’s a serious offense. The best remedy is just do what a responsible gambler should do. Follow their rules so there won’t be future problems.