AGCO issues $100,000 in monetary penalties to Draft Kings Canada for alleged advertising and inducement infractions

In order to protect the public interest and ensure Ontario’s igaming market operates responsibly and with integrity, the Registrar of the Alcohol and Gaming Commission of Ontario (AGCO), has served Crown DK CAN Ltd. with an Order of Monetary Penalty totaling $100,000 for alleged infractions of the Registrar’s Standards for Internet Gaming (the Standards), pertaining to advertising and inducements.

Contrary to Standard 2.05, between May 19, 2022, and May 31, 2022, Crown DK CAN Ltd posted or aired multiple broad gambling inducements that included inducements of boosted 2:1 odds. The promotion was distributed widely via television and social media channels. DraftKings Inc. (DE) is the parent company of Crown DK CAN Ltd.

The Standards were put in place to protect Ontarians. They include clear restrictions on the advertising of inducements, bonuses or credits, except when they are on an operator’s site, or through direct advertising and marketing issued after receiving active player consent (Standard 2.05).

Ontario strictly prohibits broad public advertising of bonuses and other gambling inducements.

A registered operator served with an Order of Monetary Penalty by the AGCO has the right to appeal the Registrar’s action to the Licence Appeal Tribunal (LAT), which is an adjudicative tribunal independent of the AGCO and part of Tribunals Ontario.

QUOTES

“The AGCO will continue to monitor the activities of all registered operators and hold them to high standards of responsible gambling, player protection and game integrity. It is in the public interest that we ensure they are meeting their obligations under Ontario’s Gaming Control Act and the Standards.”

Tom Mungham, Chief Executive Officer and Registrar – AGCO