Tabcorp faces scrutiny and fined for breaching gambling regulations

Tabcorp, one of Australia’s renowned bookmakers in the gambling industry, is facing increasing scrutiny for its advertising and operational practices. Regulatory bodies have imposed fines on the company and are demanding stricter adherence to compliance standards.

In a recent case in New South Wales (NSW), Tabcorp was fined AUD$15,000 for violating advertising regulations on its website.

The problematic advertisement contained an inducement to gamble, visible to all visitors regardless of their account status.

The Downing Centre Local Court ruled that this visibility directly contravened NSW regulations, leading to disappointment from Jane Lin, Executive Director of Regulatory Operations at Liquor & Gaming NSW.

Lin expressed her expectations for a corporation of Tabcorp’s size to have robust internal controls in place and emphasised the need for vigilance in preventing the public from being exposed to gambling inducements.

While gambling promotions can legally target existing betting account holders, wagering operators are prohibited from enticing individuals to open accounts or engage in gambling.

Additionally, NSW law prohibits inducements related to account referrals, maintaining accounts, or consenting to receive gambling advertising. Violators can face penalties of up to $100,000, while individuals responsible for publishing prohibited ads may be fined up to $11,000.

Tabcorp’s troubles extend beyond NSW.

The company recently faced a substantial $1 million fine in Victoria for its actions during a system outage in 2020, particularly during the Spring Racing Carnival.

The Victorian Gambling and Casino Control Commission criticised Tabcorp for its failure to provide information about the outage and for its behaviour during the subsequent investigation. The regulator highlighted Tabcorp’s “repeated failure” to adhere to instructions, resulting in the imposition of this record-breaking fine.

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