Bet365 Fined Again in New Jersey for Accepting Bets

Bet365 Faces Regulatory Scrutiny in New Jersey for Accepting Bets on Past Events

Bet365’s reputation is once again under fire as the online sportsbook faces fines in New Jersey for violating state regulations. The gambling giant, which has been repeatedly fined in the U.S., finds itself at the center of controversy for accepting bets on already completed events. As the sports betting landscape grows more competitive, maintaining regulatory compliance is crucial for player trust and industry integrity.

Bet365’s Ongoing Regulatory Issues in New Jersey

England-based Bet365, one of the world’s largest online sportsbooks, operates in New Jersey through a partnership with Hard Rock Hotel & Casino Atlantic City. Recently, the New Jersey Division of Gaming Enforcement (DGE) revealed that Bet365 was fined $33,000 for taking bets on a mixed martial arts (MMA) match that had already taken place a week prior. The incident highlights a significant oversight in the platform’s operations, which allowed customers to wager on a pre-recorded event mistakenly listed on its sportsbook.

The regulatory action didn’t stop there; the DGE also accused Bet365 of accepting wagers on other prohibited sporting events, further complicating its compliance track record. These infractions took place between February 2022 and January 2023, drawing the attention of DGE Interim Director Mary Jo Flaherty, who replaced long-time director David Rebuck earlier this year.

Settlement and Regulatory Response

After a thorough investigation, the DGE agreed to a settlement with Bet365, citing the operator’s prompt remedial actions as a factor in the decision. Flaherty stated, “Having considered the Stipulation of Settlement, which the parties executed and finding sufficient legal and factual support for the recommended penalty therein, I hereby order that the settlement be adopted and that a civil penalty in the amount of $33,000 be imposed upon Bet365.”

This fine adds to Bet365’s recent regulatory troubles in New Jersey. Just weeks prior, the company was ordered to return over half a million dollars to bettors after a DGE probe concluded that Bet365 unlawfully altered odds after bets were placed, reducing the payout for nearly 200 winning wagers. Bet365 contended that the initial odds were offered in error, but the DGE maintained that altering odds post-bet is a clear violation of state regulations.

Implications for Bet365’s Business Operations

The DGE’s findings revealed flaws in Bet365’s internal software and manual trading processes, highlighting the operator’s failure to ensure the accuracy of its data feeds. The regulator criticized Bet365’s operational lapses, stating, “These failures are problematic as to Bet365’s business ability to conduct online gaming and the integrity and reliability of its operational systems, and therefore unacceptable as they resulted in misleading wagering information that was relied upon by its patrons.”

Bet365’s compliance issues underscore the importance of regulatory oversight in maintaining fair play and consumer trust in the burgeoning U.S. sports betting market. As the industry expands to nearly 40 states, regulatory bodies like the Massachusetts Gaming Commission are closely examining sportsbook practices, particularly how they handle customer accounts and payouts.

Growing Concerns Over Industry Integrity

Bet365’s fines come amid broader concerns about the legitimacy of online sports betting and iGaming operations. Regulators across the U.S. have criticized sportsbooks for allegedly limiting successful bettors and exploiting less experienced players. These ongoing issues have prompted investigations into how operators decide to restrict certain customers and what measures are in place to protect player interests.

In a related incident, DraftKings recently faced backlash in Connecticut after running an online slot with a 0% payout rate, misleading players into believing they were merely experiencing bad luck. Following intervention by the Connecticut Department of Consumer Protection, DraftKings was ordered to refund nearly $24,000 to affected players, further highlighting the need for stringent oversight in the iGaming space.

Bet365’s repeated regulatory missteps in New Jersey illustrate the ongoing challenges that sportsbooks face in adhering to state regulations while maintaining operational integrity. As the U.S. market continues to grow, compliance will be more critical than ever to sustain consumer confidence and industry credibility. For Bet365, these fines serve as a stark reminder of the importance of transparency, accuracy, and adherence to regulatory standards in the competitive world of online sports betting.