Chief Stipe Posted August 23 Share Posted August 23 BettingIndustry Tabcorp fined $4.6m for betting licence breaches Tabcorp has been hit with a massive $4.6 million fine for wagering law breaches. By Adam Dobbin 12:35pm • 23 August 2024 5 Comments Betting firm Tabcorp has been hit with an eye-watering $4.6 million fine by the Victorian Gambling and Casino Control Commission for "systemic operational deficiencies and non-compliance with the conditions of its wagering licence". The unprecedented penalty follows extensive investigations by the Commission into Tabcorp which unearthed several instances of non-compliance with its regulatory obligations over a 2-½ year period. Included in the raft of findings was an instance where a Tabcorp account manager placed a ‘Responsible Gambling Call' to a customer due to concerning betting behaviour which concluded with a $2000 deposit match offer being allocated to the customer's account. "This action is indicative of a culture in which the licence holder's harm minimisation obligations were not taken seriously," Commission Chair Fran Thorn said. "The recorded call provides evidence of a lack of commitment to responsible gambling policies and demonstrates a lack of concern for the customer's wellbeing. "Instead of offering support or making suggestions to help the customer manage their gambling, the call was used as an opportunity to encourage them to continue gambling." • Gillon McLachlan appointed $1.5 million-a-year Tabcorp CEO In handing down the monster fine, Ms. Thorn added that Tabcorp had repeatedly breached the Wagering and Betting Licence and Responsible Gambling Code of Conduct between August 2020 and February 2023. "Tabcorp's breaches reflect systemic operational deficiencies and non-compliance with the conditions of its licence, the consequences of which have included significant harm to a customer," Ms Thorn said. Tabcorp has been slugged with a $4.6 million fine by the Victorian Gambling and Casino Control Commission • Is Gillon McLachlan the man to turn around Tabcorp's fortunes? "The hefty fine, the largest the Commission has ever issued to Tabcorp, is proportionate to the seriousness of the licensee's misconduct. It sends a clear message to the gambling industry that this kind of behaviour is not acceptable and will not be tolerated." Other breaches which led to the substantial fine includes instances of direct marketing material being sent to a customer six times despite the customer having opted out of receiving the material. The Commission also declared Tabcorp had "failed to minimise the potential for gambling harm through inadequate training of employees" and "failed to provide appropriate support to a customer exhibiting observable signs of distress or indicators of potential gambling harm". To address the breaches, Tabcorp has been ordered to implement a transformation program to overhaul its operations. "The Commission has given Tabcorp clear instructions on what it must do to improve its operations and prioritise gambling harm minimisation," Ms. Thorn added. "The directed transformation program is intended to future proof Tabcorp's gambling operations to ensure it complies with the law. "We will be actively monitoring to ensure that the transformation program requirements are not only implemented quickly but are effective in ensuring ongoing compliance with the law." Following news of the decision by the VGCCC, a spokesperson for Tabcorp said "the harm minimisation measures in place by Tabcorp at the time did not meet community or regulatory expectations. Nor did it meet the expectations that current management expect of the company and its people. "Tabcorp has since taken significant steps to improve customer safety, including re-structuring the Safer Gambling Team which has led to an increase in customer interventions. "We are also introducing new technology to detect changes in customer behaviour faster so we can intervene sooner to protect customers from gambling harm. "Tabcorp will continue to work collaboratively with the VGCCC to support the important work they do to keep the community safe." Read all news by Adam Dobbin Quote Link to comment Share on other sites More sharing options...
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