Gambling giants who lure punters will face new fines which have been increased tenfold

FINES for gambling giants luring punters with illegal inducements including bonus bets and money-back offers when they lose will be increased tenfold after the state government conceded it had been far too “lenient” on the issue.

FINES for gambling giants luring punters with illegal inducements including bonus bets and money-back offers when they lose will be increased tenfold after the state government conceded it had been far too “lenient” on the issue.

The Daily Telegraph can reveal the strict new fines are part of a suite of regulations expected to be announced today. The state government considers promotions including bonus bets, inducements for signing up and money back if you lose a serious threat to problem gambling risks.

These inducements are illegal in NSW, but Racing Minister Paul Toole said it had become clear gambling operators view the fines as the “normal cost of doing business”.

Minister for Racing Paul Toole says gambling operators see the current fines as “normal costs of doing business”. Picture: Adam Yip

Under the government’s tough new laws, corporations being investigated will also be compelled to answer questions and provide relevant documents with the tough coercive powers the state has over hotels, clubs and the casinos being extended to wagering operations. Fines will be lifted from $5500 to $55,000 for each case of offering a bonus-bet style inducement. The strict laws will also hike fines for other unlawful betting services from $11,000 to $110,000.

Despite proactive prosecutions for things such as bonus bets by Liquor and Gaming NSW, the current penalties have not changed behaviour. Since April 2015, major online operators have been prosecuted 11 times for offering inducements to open betting accounts. These included Ubet, Crownbet, Ladbrokes, Sportsbetting.com.au and Tab.

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Online operators such as Tab have been prosecuted in the past. Picture: John Grainger

In total, across 11 cases and 32 offences, the fines totalled just $97,400.

“It will no longer be good enough for directors to turn a blind eye and say they were unaware their company had committed offences,” Mr Toole said.

“Gaming machines get a lot of attention, but some people have a problem with other forms of gambling.

“These changes will ensure compliance with the law.”