BetEasy ordered to pay Gambler’s Help $5000 for Kayo ‘inducements’
A court has ordered online bookmaker BetEasy to pay $5000 to Gambler’s Help after it lured in about 6000 new customers following an advertising campaign promising free subscriptions to sport streaming service Kayo.
Melbourne Magistrates Court heard on Wednesday that BetEasy, now owned by Sportsbet, ran advertisements offering new customers a three-month subscription to Kayo – in breach of its licensing conditions – between October 2019 and June 2020.
The offending advert.
Prosecutor Robert O’Neill told the court that while close to 6000 people took up the offer, there was no way of knowing whether these were first-time online gamblers nor the value of bets that were subsequently placed from those accounts.
He said in order to make sport and racing bets with BetEasy, customers must sign up for an online account. But under Victoria’s Gambling Regulation Act, wagering service providers are not allowed to offer credit vouchers or rewards as an inducement to open a betting account, Mr O’Neill said.
During the time of the offending, Mr O’Neill said the company ran an advertisement on its website offering a free three-month Kayo subscription to both new and existing BetEasy customers that were new to the sport streaming service.
“The reward was an inducement to open a betting account for those persons who did not already hold an account with BetEasy,” Mr O’Neill said.
“The accused should have been, and I’m sure was, well aware of the existence of this provision and its responsibility being this is the Act that governs its activities.”
BetEasy’s lawyer Lucinda Thies said her client had pleaded guilty at the earliest opportunity and, since being acquired by Sportsbet, was now better resourced to ensure its compliance.
Ms Thies said in pleading guilty, her client took full responsibility for its actions. But she noted that during the offending BetEasy believed the ads had complied with regulatory obligations.
Magistrate Rob Stary said ignorance of the law was no excuse for non-compliance and placed the company on a 12-month adjourned undertaking.
He also ordered BetEasy pay $5000 to the national Gambler’s Help and pay the prosecution’s $4400 costs.
“One would expect [a large corporation to] know what their obligations are,” Mr Stary said.
“Social mores have changed.”
In October, BetEasy was caught breaching its licensing conditions after allowing a known problem gambler to rejoin the service.
The Northern Territory’s racing commission fined the betting platform more than $50,000 in October after the problem gambler was able to create a new account under his wife’s name, where he lost more than $700,000.
If you or anyone you know needs support call Gambler’s Help on 1800 858 858
The Morning Edition newsletter is our guide to the day’s most important and interesting stories, analysis and insights. Sign up here.
Most Viewed in National
From our partners
Source: Read Full Article