The Australian Communications and Media Authority (ACMA) has issued a formal warning to wagering and racing giant Tabcorp for accepting 37 illegal online in-play bets on a United States college basketball game.
Online in-play betting – betting on a sporting event after it has commenced – is prohibited in Australia under the Interactive Gambling Act 2001. According to a response from Tabcorp, the bets were placed on 3 January 2021 after it failed to close betting in time due to incorrect match information from a third-party provider, followed by a technical error by Tabcorp. Tabcorp subsequently paid out winning bets and refunded losing bets upon realising the error.
Authority Member Fiona Cameron said this is the first time the ACMA has taken action against an operator for a breach of online in-play betting rules.
“We know that in-play betting, such as bets on the next point in a tennis match or the next ball in cricket, can pose a very high risk to problem gamblers,” Cameron said.
”These rules have been in place for many years and Tabcorp has had more than enough time to put systems in place to ensure that in-play betting is not offered on local or international sports.”
The decision to issue a formal warning took into account Tabcorp’s actions to deal with the illegal bets and its commitment to improve its systems and processes, Cameron added, with alternative enforcement options including potential penalties under an infringement notice and application by the ACMA to the Federal Court for the imposition of a civil penalty or injunction.
“The ACMA considered that the paying out of winning bets by Tabcorp was inappropriate and that all illegal bets should have been voided so that neither operators nor punters benefit from prohibited activity,” she said.
“The industry is now on notice that it must have robust systems in place to prevent in-play bets and that the ACMA will investigate evidence of non-compliance with these important consumer safeguards.”