Sportsbet Fined For Breaching Advertizing Rules

Published Friday, March 08, 2019 -
Sportsbet Fined For Breaching Advertizing Rules, also known as Sportsbet, is an Australian online bookmaker, and as of October 2012, was Australia's biggest corporate bookmaker. Sportsbet was established in May 1993, and was Australia's first licensed bookmaker. Irish online gambling operator Paddy Power Betfair fully acquired the company in February of 2016. The company recently pleaded guilty to breaching the New South Wales guidelines on ads regarding gambling. The question whether the advertisement enticed customers to encourage their friends to open gambling accounts was the aim of the legal action. The company admitted to the Australian Parliament in August 2011, that it paid around $3 to 4 million Australian dollars per year in commissions to firms and individuals that referred gamblers to Sportsbet which may have been in breach of legislation that prohibited secret commissions. The company was found guilty of the violation and has been issued a fine of $10,000 and must pay accompanying legal fees amounting to more than $7300. New South Wales has a prohibition on gambling advertisements that encourages more betting which the company ignored. Sportsbet has been convicted and fined after it was found to offer illicit “inducements” to customers. The Australian betting company is not the first gambling operator to utilize these methods on players. Bet365 was recently in the news for using cash rebates to continue the stream of cash from losing players. Liquor & Gambling NSW, investigated after an advert was posted on on July 5, 2018. The ad showed two men sticking up their thumbs with the caption: “Refer a Friend – Get a $100 Bonus Bet for every friend you refer to join A spokesperson for the operator commented on the decision, “Despite Sportsbet’s long-standing record of compliance with advertising legislation across Australia, we accept that in this particular instance, we didn’t meet the required standard.” Magistrate Jacqueline Trad commented the fine was necessary, and that the community needed protection.

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