Caesars Sportsbook, a New Jersey online gambling operator, permitted self-excluded people to continue gambling, according to the state’s Division of Gaming Enforcement.
Caesars will pay a $251,250 civil penalty and disgorge roughly $45,000 “in funds which should not have been realized by Caesars Sportsbook.”
According to a New Jersey Action in Lieu of Complaint document obtained by GamblingHarm.org, Caesars Sportsbook violated several state regulations related to “responsible gaming” (RG). Those violations included the state’s problem gambling helpline rule, an updated daily self-exclusion list, and permitting self-excluded people to gamble.
The online sportsbook also provided an option for people to self-exclude for life, which is only authorized in person. People can use the online platform to self-exclude for 1 or 5 years, but not permanently.
The state provided few other details, including when the violations took place.
“Caesars Sportsbook’s errors prevented its system from functioning as intended, and as a result, responsible gaming matters were not identified or acted upon appropriately and in a timely manner, indicating a failure to maintain the safeguards necessary to ensure the integrity and proper functioning of systems,” the regulatory document stated.
Zooming Out
Six-figure penalties are not the norm for regulated online gambling operators in the U.S. They indicate more serious violations. Most violations, when they occur, are in the low five-figure or four-figure range.
Responsible gambling violations across the 39 sports betting states are relatively common for the industry when considering the number of active users and bets placed, but it’s unclear how many go unreported. In some instances, the operator self-reported the violation. In some other instances, consumers complained to the state and/or the operator. The state itself sometimes uncovers alleged violations.
Among the most common issues in the RG area is direct marketing to self-excluded players. Operators permitting these individuals to gamble on the platform appear to be much less common.
Many RG-related violations involve software issues, according to state documents reviewed by GamblingHarm.org.
GamblingHarm.org has covered responsible gambling involving brands such as Caesars, DraftKings, FanDuel, Bally Bet, BetMGM, Fanatics and Hard Rock. Alleged regulatory violations or misconduct have varied.
