Illegal In-Play Bets Result in AU$263K Fine for Tabcorp

The existing gambling regulations do not permit in-play betting in Australia. Such bets are not accepted and thus illegal under the country’s 2001 Gambling Act. However, a major gambling operator was recently found to have breached those rules, after accepting hundreds of in-play wagers on tennis events for several months in 2023.

Technical Bug Results in More 854 Illegal In-Play Bets for Tabcorp

As announced by the communications and media regulator, the Australian Communications and Media Authority (ACMA), the recognizable gambling operator, Tabcorp Holdings Limited, recently paid a penalty after accepting in-play sports bets. The Authority uncovered details regarding the regulatory violations which dated back to last year.

An investigation by ACMA revealed that Tabcorp accepted in-play wagers for a total of 69 tennis matches between April and October 2023. Overall, the operator was found to have accepted a whopping 854 in-play bets. Still, ACMA did not confirm the sum those wagers involved. In light of the breach, ACMA announced that Tabcorp has paid AU$262,920 ($171,800) penalty.

Once the gambling operator was notified about the breach, it effectively voided all of the wagers, ensuring that no customers lost money and that it didn’t profit in any way from the illegal in-play bets. Additionally, Tabcorp notified the regulator that it has implemented controls to prevent such cases from happening and vowed to engage in proactive control to limit the risk of accepting in-play wagers in the future. The investigation into the operator uncovered that the bets were accepted due to a bug in its systems that permitted such wagers.

In-Play Bets Pose a Greater Risk for Gambling Harm

According to ACMA, Tabcorp’s actions, including voiding the bets, were considered prior to the announcement of the penalty. Several years ago, in November 2021, ACMA issued a formal warning against the gambling operator. Similar to the latest incident, at the time, Tabcorp was found to have accepted in-play bets for a college basketball game in the United States.

Carolyn Lidgerwood, one of ACMA’s members, spoke about the importance of the in-play betting ban that helps protect at-risk and problem gamblers. “In-play betting increases access to gambling opportunities and exacerbates the risks of gambling harm, as people can place bets with high frequency on multiple outcomes during sporting events,” she revealed.

Pointing to the significant expansion of the online betting sector, Lidgerwood highlighted that it is imperative for all licensed betting operators to comply with the established regulatory framework that prohibits in-play wagers. While acknowledging that Tabcorp resolved the issue, ACMA’s member said that it was “concerning” to see action from the operator after six months.