Online bookmaking company O’Shea Bookmaking, which operates as TexBet, has breached NSW gambling laws and has been fined $33,000 by Liquor and Gaming New South Wales for targeting a customer who had requested to close their account.
The issue arose after the player, who initially sought to close their account in May 2022 and opted out of receiving gambling advertisements from the company, was sent four gambling-related promotional text messages. The betting agency also accepted 75 bets from the customer after the closure request. The customer subsequently filed a complaint with Liquor & Gaming NSW.
The case was brought before the Downing Centre Local Court last week, where TexBet was found guilty and fined. This ruling marks the first time an online betting agency has been fined in NSW for breaching regulations on direct marketing without consent and failing to close an account upon request.
The rules governing such activities have been in effect in NSW since 2019.
Jane Lin, the executive director of regulatory operations for Liquor & Gaming NSW, said that TexBet’s actions represented a serious violation of gaming laws and placed the customer at increased risk. “By engaging in this behaviour, TexBet has broken a law that was put in place to protect vulnerable people who are trying to exclude themselves from gambling,” Lin said. “These laws were specifically developed to reduce the risk of gambling harm by requiring online betting businesses to make it simple for people experiencing harm to self-exclude and opt not to receive ads about gambling products”.
Lin said that these laws were established to minimise the risk of gambling-related harm. They require online betting operators to provide straightforward self-exclusion mechanisms and respect requests to opt out of receiving gambling promotions. “Not only has TexBet broken the law, but it also placed this individual at greater risk of further gambling harm by sending them ads and accepting their bets after they specifically requested for their account to be closed and not to receive gambling ads,” she added. “Online betting businesses that operate in NSW need to ensure they have robust systems in place to prevent direct advertising to people who have opted out. If they fail to abide by NSW gambling laws, they should expect to be caught and prosecuted”.
This fine comes in the wake of recent compliance checks conducted by the regulator across the state. Liquor & Gaming NSW inspectors visited 528 hotels and clubs offering gaming machines during July and August to ensure venues adhered to the updated rules introduced in September.
The new regulations mandate the establishment of a responsible gaming officer and the creation of a gambling incident register at each venue. Additionally, venues are required to remove any gambling-related signage near ATMs.
These changes were incorporated into the updated Gaming and Liquor Administration legislation from 2016, which took effect on 1 September. According to Liquor & Gaming NSW, 93 per cent of venues are currently complying with the new requirements.
