NSW Gambling: government name and shame pubs, clubs
Free drinks, disguising EFTPOS transactions and even allegations “clubs spied on customers” to keep gamblers on the punt. A government report reveals the dodgy tactics used by pubs and clubs as the state posts a record gambling take.
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Declines in the number of gamblers across NSW hasn’t stopped punters from losing a record $9.8 billion in a single year — as the NSW Government name, shame and fine pubs and clubs that use alleged dodgy tactics to keep addicts in the game.
A NSW Government research paper has revealed that although the average number of the state’s residents placing bets has dropped to 53 per cent — a 12 per cent drop over 10 years — the total gambling turnover continues at an all time high of $92.9 billion (2017-18).
The report, by government researcher Lenny Roth, found punters slapping the pokies gambled away $6.4 billion in a single year, through a massive 93,618 machines across the state.
Losses at the casino numbered $1.6 billion and racing TAB posted $961 million.
“NSW 2018-19 data shows that clubs had total gaming machine net profits of $4 billion, while hotels had $2.6 billion,” Mr Roth said.
“The Fairfield local government area (LGA) had the highest per capita gaming machine profits for clubs and hotels combined in Greater Sydney (at) $2,447 per machine.”
Other LGAs that topped the list of highest per capita gaming machine net profits included Cumberland ($1581), Canterbury-Bankstown ($1520), Burwood and Strathfield ($1486) and Sydney ($1388).
The review placed a target on the backs of pubs and clubs using a range of tactics including offering free drinks, disguising EFTPOS transactions and even allegations “clubs spied on customers” to keep gamblers addicted, detailing actual or alleged improper practices.
ILLAWARRA STEELERS CLUB
In October 2018, the independent Liquor and Gaming Authority fined the Illawarra Steelers Club $100,000 for breaching provisions of the Liquor Act and Gaming Machines Regulation by offering free alcohol and disguising EFTPOS transactions as purchases in order to supply cash for poker machines.
The ILGA also banned the club’s former secretary from the clubs industry for life for a range of offences.
ALH VENUES
In June 2019, Liquor and Gaming NSW said that following “a comprehensive investigation into ALH venues which included inspections of more than 50 NSW hotels”, it had lodged a disciplinary complaint with the ILGA alleging that two ALH-run hotels on the North Coast illegally gave free alcohol to gaming machine players to keep them gambling.
DEE WHY RSL
In May 2019, Liquor and Gaming NSW lodged a disciplinary complaint with the ILGA alleging that Dee Why RSL encouraged Mr Van Duinen, a problem gambler who died by suicide after an alleged 13-hour stint of playing the pokies at clubs on the Northern Beaches, to misuse and abuse gaming machines.
A ILGA spokesman said a disciplinary complaint against Dee Why RSL was ongoing, following an investigation into alleged irresponsible gaming practices at the club.
“Liquor & Gaming NSW undertook a detailed investigation into claims that the club’s practices in relation to its gaming machines encouraged Mr Van Duinen to misuse and abuse gaming machines within the club,” the spokesman said.
“With the investigation now complete, Liquor & Gaming NSW has lodged a formal disciplinary complaint with ILGA.
The Association can impose fines of up to $550,000 and the suspension and cancellation of licences.
CROWN SYDNEY GAMING
In August 2019, the ILGA announced that it would be conducting an inquiry into the Barangaroo restricted gaming facility granted to Crown Sydney Gaming Pty Limited.
The spokesman said the investigation is ongoing, with hearings currently halted due to the coronavirus pandemic.
LADBROKES AND NEDS
Online gambling companies, Ladbrokes and Neds, were issued the biggest ever fine of its kind after the companies were convicted and fined $207,500 for offering illegal gambling inducements.
Liquor and Gaming NSW associate director, Dimitri Argeres, said all users on social media were subject to inducements to gamble and open a betting account.
“Inducements are known to increase the risk of gambling harm and these advertisements reached a broad segment of the population,” Mr Argeres said.
“In NSW such advertisements are restricted to registered betting account holders.
“This record fine should serve as a reminder that betting operators have an obligation to ensure their gambling advertising complies with NSW laws.”
A Liquor and Gaming NSW spokeswoman said investigations into Dee Why RSL and several ALH hotels, “the Independent Liquor and Gaming Authority is actively considering the ensuing complaints, which are highly complex”.
“Liquor & Gaming NSW is currently undertaking several investigations into pubs and clubs and cannot comment on ongoing investigations,” she said.
Mr Roth said the NSW Government has introduced various reforms over the past five years, including banning betting advertising during sporting fixtures, changing assessment schemes for poker machines, increasing penalties for offering temptation to gamble, and implementing stage one of the National Consumer Protection Framework for Online Wagering.
But also highlighted the NSW government received $2.3 billion in tax revenue from
gambling in 2017-18, up from $1.8 billion in 2000-01.
“Critics continue to argue that NSW has too many gaming machines in pubs and clubs and that much more needs to be done to address gambling harms,” he said.
“The Alliance for Gambling Reform is currently calling for (the government to) give local councils the right to cap gaming machines in their area, introducing $1 maximum bets for gaming machines, and banning loyalty programs for gamblers.”