GVC brands hit with $207,500 Australian fine over NSW advertising breaches
Ladbrokes and Neds issued with largest-ever penalty over 2018 marketing rules violations
GVC’s Australia-facing Ladbrokes and Neds brands have been ordered to pay a combined total fine of $207,500 for offering illegal gambling inducements to players in New South Wales.
The fines were handed down in two separate court judgments by the Downing Centre Local Court, following a NSW Department of Liquor & Gaming investigation.
These are the largest fines ever meted out by the Australian regulator for illegal advertising and centre around four separate adverts by Ladbrokes, together with two ads for Neds shown on Instagram, Facebook and Australia’s Channel 7 TV station in 2018.
The ads offered bonus bets for a smaller deposit, such as: “Deposit $50, get $250 in bonus bets.”
These bonus bets only applied to people who opened new betting accounts.
Under NSW law, betting firms found to be offering or promoting inducements to gamble can potentially receive fines of up to $110,000 per offence.
In addition, company directors of operators can be criminally prosecuted under the law.
NSW Liquor & Gaming director of compliance Dimitri Argeres said the ads were clearly aimed at inducing individuals to gamble and open sports betting accounts.
“Inducements are known to increase the risk of gambling harm and these advertisements reached a broad segment of the population. In NSW such advertisements are restricted to registered betting account holders.
“This record fine should serve as a reminder that betting operators have an obligation to ensure their gambling advertising complies with NSW laws,” Argeres added.
Several operators have been issued with fines by NSW regulators over the past year, including Unibet, Tabcorp, PointsBet and Sportchamps.
GVC had not confirmed if it will appeal the fines at the time of publication, despite being contacted by EGR.