The New South Wales government has prosecuted two gambling operators over the course of the past week. An NSW crackdown on illegal gambling advertising has been announced now that the government has successfully managed to prosecute the operators.
Two Operators Convicted for Breaking Advertising Laws
New South Wales' Racing Administration Regulation 2012 makes it clear that gaming operators are not allowed to launch any advertising campaigns that offer rewards or vouchers as incentives to gamble online. The operators are not allowed to offer any credits or other incentives to players via their advertising.
It has been confirmed by the Office of Liquor, Gaming & Racing that the New South Wales government plans to continue to prosecute sports betting operators that attempt to encourage its residents to gamble.
While other states do allow advertising with player incentives, New South Wales does not, and requires sites that offer online betting and gaming throughout Australia to exclude NSW when making various offers.
On Monday this week, Sportsbetting.com.au, licensed in the Northern Territory, plead guilty to having run advertisements against the NSW guidelines. In both June and July this year, Sportsbetting.com.au offered new players the chance to receive 100% and 200% bonuses when making deposits to their new online betting accounts. The operator was convicted because it had failed to exclude NSW residents from this incentive.
The company was fined AUS$1,650 by Jane Mottley, the Deputy Chief Magistrate. In addition to this, Sporsbetting was instructed to pay the $1,800 in legal costs incurred by the Office of Liquor, Gaming & Racing.
ClassicBet was also convicted of launching illegal gambling adverts. The operator was fined AUS$1,000, and was ordered to pay legal costs amounting to $4,500.
The Acting Director of Compliance and Enforcement at the Office of Liquor, Gaming & Racing, Sean Goodchild, said: "The wagering industry is warned they are being monitored - including social media and company websites - and if material is found to offer illegal gambling inducements to NSW residents then action will be taken. Further prosecutions are currently pending against several other wagering operators."
Hard Line on Misleading Advertising
While NSW has begun its clampdown on those gaming operators that offer incentives to its residents, Federal Court has ruled that Bet365 has been heavily fined for misleading advertising. The operator offered “free bets" to new customers for a number of months in 2013 and 2014. There were a number of qualifications to receive the bets that had not been clearly stated. Legal action, led by the Australian Competition and Consumer Commission, began in August this year.