Sportsbet fined $313k for 'systemic failure' to thousands of customers
Australia’s largest online bookmaker has been fined $313,000 for breaching its licence conditions, in what one gambling researcher described as a "slap on the wrist".
Australia’s largest online bookmaker Sportsbet has been fined more than $313,000 for failing to protect thousands of customers from potential gambling harm.
The company was found to have breached its licence conditions by failing to provide 6,131 customers with "activity statements" over an 18-month period between 2022 and 2024.
The monthly statements from online bookmakers to customers are mandatory, to provide sports betting customers with a detailed breakdown of their gambling habits.
Australia’s de facto online gambling regulator, the NT Racing and Wagering Commission (NTRWC), fined the company $313,140 for the breaches, which it described in its decision notice last month as "appropriate and proportionate".
Under industry regulations, online bookmakers are required to provide sports betting customers with a detailed breakdown of their gambling habits. (Getty: svetikd)
The NTRWC said Sportsbet’s breaches represented "a distinct and recurring failure to comply with a core consumer protection requirement".
“The ongoing nature of the contraventions demonstrates a systemic failure in the licensee’s governance and assurance framework,” the decision reads.
The NTRWC said the penalty reflected "the seriousness of the conduct", which it found had led to a "heightened potential for consumer harm".
Sportsbet blamed "several technical issues" on its failure to produce 51,525 statements in total and told the commission it "regrets the incident" and "sincerely apologises" to affected customers.
The NTRWC also found Sportsbet did not report the breaches until five months after it had investigated its internal technical problems, which the commission said "reduc[ed] transparency and limit[ed] the commission’s ability to assess the issue in real time".
Alastair Shields says the NTRWC "will continue to take firm enforcement action to ensure compliance". (ABC News: Pete Garnish )
In a statement on Monday, NTRWC chair Alastair Shields said the "assessment of multiple breaches has resulted in a substantial total fine, underscoring the seriousness of the non-compliance and the commission’s response to it".
"The commission will continue to take firm enforcement action to ensure compliance and promote a safer wagering environment," he said.
Mr Shields said the commission had not been notified of any legal challenge to its decision.