Online betting operator fined record $586,000 for offering punters inducements to gamble

Playup Interactive, which trades as Draftstars, was fined $586,000 in Downing Centre Local Court on Monday 12 August following an investigation by Liquor & Gaming NSW, which found 33 illegal advertisements on its website.

The company was found guilty on all 33 counts of publishing advertisements which included inducements to participate, or to participate frequently, in gambling activity – as well as an  inducement to open a betting account, which is an offence in NSW.

Liquor & Gaming NSW Director Compliance & Enforcement Dimitri Argeres said online betting operators were well aware of the legislation in NSW on offering inducements.

“NSW bans the advertisement of any offer of an inducement to participate in a gambling activity, including an inducement to bet more frequently, to persons who do not hold a betting account with the betting operator,” Mr Argeres said.

“Wagering operators like PlayUp Interactive are able to legally advertise their products in a variety of ways, but they can’t advertise or promote inducements such as offers of increased odds or bonus bets to entice people to open a betting account.

“It is the responsibility of the betting service provider to ensure prohibited gambling advertising is not published or communicated in NSW.

“Liquor and Gaming NSW will continue to take a zero-tolerance approach to these offences, and this sentence shows that strong penalties can apply.”

In NSW it is prohibited to offer any inducements to open betting accounts, refer friends to open betting accounts, keep a betting account open or consent to receive gambling advertising.
A maximum penalty of $110,000 applies to any corporation and $11,000 for individuals who publish prohibited gambling advertising.