As I said, you do have a unique situation there – and you must prohibit that by exercising the clause in the player T&Cs. If prohibited and closed at the player level, it has zero affect on the affiliate. Thus it should not be considered an affiliate issue, even if the affiliate happens to know the player.
My point is that you can cut it off at an earlier junction and thus you should do that, rather than leaving it to the affiliate employees to manage.
There is no advantage to the player to play this way (unless they are doing it to try to clear a bonus which is in the T&Cs not allowed). So if the player and affiliate are linked, it is quite obvious that this is affiliate fraud. I don’t want affiliates who are going to purposely try to scam us. An affiliate is supposed to be a partner, not a scammer. Players and affiliates are two separate systems, so seeking affiliate fraud is my job, not the job of the person taking care of player fraud. It’s possible for the RM dept to tell me when a particular bannertag sends a heap of dodgy players, but sometimes it can be an affiliate who sends craploads of traffic and just so happens that a handful of fraud players signed up through his id. So the affiliate is not fraudulent, and I know that, because I have a relationship with them. The RM guys wont know that, so they would close an account for no reason. Thats why aff fraud is the job of the aff manager.
The issue with playing under your own account is that if you calculate royalties, bonuses, loyalty points, admin, affiliate commission etc and it keeps going round and round, eventually the percentages end up being over 100%.. so the casino is actually then making a loss on the player that is playing under their own affiliate account. This is why most aff groups do not allow it.