Ladbrokes fined $78k over responsible gambling failures

March 7, 2023 5:42 pm.by Peace Nwankpa

Ladbrokes gambling news

The Northern Territory Racing Commission (NTRC) has slapped Ladbrokes with a fine of almost $80,000 for a significant violation of its sports betting licence with regards to responsible gambling practices.

Financial planner Gavin Fineff recently pled guilty in the New South Wales district court to charges of defrauding his clients of millions of dollars. He lost over $8 million of the money acquired from friends and clients to sports betting and is currently awaiting sentencing.

The NTRC discovered that rather than digging for Fineff’s source of income and how he afforded his expensive bets, Ladbrokes encouraged Fineff to place more bets with bonuses that went up to $528,890. In response, the regulatory body has imposed fines on Ladbrokes which amount to $78,540 for breaching three industry codes.

The betting company reportedly contacted Fineff in 2018 after a staff member discovered his gambling history with a different bookmaker. He was allegedly encouraged at the time to open a betting account with Ladbrokes.

Fineff had experienced losses worth millions in several other bookmakers before joining the gambling company. While he opened an account with Ladbrokes using a pseudonym, the company discovered and verified his actual identity.

Per NTRC’s judgment, Ladbrokes was more concerned about using Fineff to increase its coffers than making sure it gave gamblers a responsible gaming environment.

Fineff spent at least $17.5 million during his 21-month stint with Ladbrokes. During that time, he lost $758,519. The NTRC did not discover any unlawful bets that would have forced Ladbrokes to return the money stolen from multiple victims. This means the company will keep the amount Fineff lost during his gambling spree.

“Despite the failings of Ladbrokes with respect to its compliance with its license conditions and the 2016 and 2019 Codes, the integrity of each bet placed by [Fineff] with Ladbrokes has not been undermined to the extent where each bet should not be enforced,” the NTRC wrote.

A Ladbrokes and Entain spokesperson revealed that the company had accepted the NTRC’s ruling. The company’s investment in increasing its consumer protection approach was also pointed out.

“Entain Australia accepts the NTRC ruling, and since these interactions occurred it has invested significantly to strengthen its approach to customer protection,” they said.

Lauren Levin, Financial Counselling Australia’s director of policy and campaigns, accused Ladbrokes of not fulfilling its moral and legal obligation to protect patrons that were obviously at risk.

Levin also commended NTRC’s judgment, calling it the “most significant decision of the decade”. She stated that, to a degree, it would ensure compliance from gambling operators that needed to inquire about the financial status of their customers before accepting bets.

Fineff submitted a request to an ongoing parliamentary inquiry saying that while he intended to accept his punishment, he wanted a change in the gambling regulation to stop the destructive effect of the activity.

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