The New South Wales gambling regulator, Liquor & Gaming NSW, penalized O’Shea Bookmaking for targeting a customer with gambling ads after they had requested the closure of their betting account. The online bookmarker, trading as TexBet, was sentenced in the Downing Center Local Court for violating the Betting and Racing Act 1998 (NSW). It is expected to pay an AU$33,000 (US$22,860) fine. This is the first time an online betting company has been penalized in NSW, Australia, for direct marketing without consent after it became illegal in 2019.
TexBet to Pay AU$33,000 Fine over Account Closure and Advertising Breaches
Photo by Picryl, CC PDM 1.0
Key Takeaways
- The NSW fine was for violating an account closure request
- TexBet was also penalized for accepting the client’s bets after the request
- The case was viewed and finalized at Downing Center Local Court
Significant Legal Violations
The case against TexBet arose from a complaint by a former customer of its online betting services, who requested account closure and retracted consent to receive gambling advertisements. However, TexBet ignored the request and sent four betting ads through text messages. It also accepted 75 new bets from the client after they had put in a closure request.
NSW Clamps Down on the Rule Breaker
The violation resulted in an AU$33,000 fine imposed by Liquor & Gaming NSW, which highlighted the significance of such irresponsible behavior. Jane Lin, Executive Director of Regulatory Operations at Liquor & Gaming NSW, underscored the crucial nature of such regulations. She noted in a press conference, “By engaging in this behavior TexBet has broken a law that was put in place to protect vulnerable people who are trying to exclude themselves from gambling.”
Lin further spoke on the dangers linked to unprompted gambling advertisements, pointing out that “These laws were specifically developed to reduce the risk of gambling harm by requiring online betting businesses to make it simple for people experiencing harm to self-exclude and opt not to receive ads about gambling products.” She emphasized the heightened risk of gambling harm to individuals due to TexBet’s violations.
Bolstering Regulatory Compliance
Slapping TexBet with a fine shows dedication by Liquor & Gaming NSW to ensuring all online betting entities adhere to the state’s laws and regulations regarding advertising to individuals who have withdrawn their consent. The state regulator has inspected 528 venues to confirm their adherence to legislative amendments under the Gaming and Liquor Administration Act of 2016. The authority reported that about 93% of the venues comply with the new laws, a positive response to strengthened enforcement.
Lucas is a New Jersey-born and raised copywriter. His content encompasses casino, software provider, and game reviews, news, and blogs. Lucas’ professional writing experience spans more than six years. He works globally with clients from the US, the UK, New Zealand, Australia, South Africa, and Canada. Before he started writing gambling content, Lucas went to Rutgers University to pursue a bachelor’s degree in psychology. Just to shake things up, he became a painter, following in his father’s footsteps. He now writes full-time and doubles in painting now and then.
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