AGCO Slams FanDuel with $252K Fine Due to Integrity Failures

The Alcohol and Gaming Commission of Ontario (AGCO) has slammed FanDuel with a six-figure fine due to certain integrity-related concerns. Officials emphasized that operators are expected to remain vigilant and proactive when it comes to detecting suspicious activity.

FanDuel Accepted Bets on an Event with Integrity Issues

In its official announcement, the AGCO said that FanDuel Canada will have to pay a fine of CAD 350K (approximately $252K) for “failing to appropriately identify and report unusual and suspicious betting and match-fixing activity involving events with known integrity concerns.”

The regulator elaborated that its investigation discovered that between October 23 and November 30, FanDuel accepted 144 bets from three Ontario player accounts on Czech Table Tennis Star Series matches. As it turned out, the matches in question had displayed multiple indicators associated with potential match-fixing.

The flags included sudden shifts in betting behavior and betting lines on matches involving a certain duo of athletes, a rapid increase in wagers on athletes losing their matches, a near-perfect win-rate and signs of synchronized wagering across multiple accounts.

To make matters worse, this wasn’t the first time integrity concerns regarding this particular tournament series had been raised.  

As a result, the AGCO determined that FanDuel had failed to meet its obligations to identify the suspicious activity, report the findings, and respond appropriately. Not only that, but the operator continued to take bets on the same event for a few weeks.

Operators Should Maintain Public Trust

As mentioned, FanDuel’s failure to comply with Ontario’s requirements led to a fine of CAD 350K. Per the local rules, online gaming operators served with an Order of Monetary Penalty may try to appeal the regulatory action to the License Appeal Tribunal within two weeks of the announcement.

In any case, the AGCO emphasized that it expects regulated gaming operators to comply with the local rules, watch out for suspicious betting patterns and report any potential findings to the relevant authorities.

Dr. Karin Schnarr, the AGCO’s CEO and registrar, commented on the matter, emphasizing iGaming operators’ important role in the war on fraud within the betting and sporting sectors.

In an era of heightened scrutiny on sports integrity, igaming operators must be vigilant and proactive in detecting suspicious betting activity and taking appropriate steps to protect their patrons. We will continue to hold all regulated operators accountable to these standards. Protecting fair play is essential to maintaining public trust.

Dr. Karin Schnarr, CEO and registrar, AGCO

Last year, the AGCO issued a CAD 105,000 fine to theScore after the operator allowed a high-risk player to gamble CAD $2.5 million, resulting in a loss of around CAD 230,000.