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Compliance Updates

NJ Regulator Announces New Multi-Faceted Efforts to Curb Problem Gambling

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NJ Announces New Multi-Faceted Efforts to Curb Problem Gambling

 

Attorney General Matthew J. Platkin and Division of Gaming Enforcement (DGE) Director David Rebuck announced several new initiatives to bolster the office’s existing responsible gaming efforts: establishing a new position dedicated to responsible gaming, setting new advertising standards for operators, and simplifying access to self-exclusion for players struggling with a gambling disorder.

Attorney General Platkin made the announcement as he delivered the keynote speech before regulators and industry representatives at the East Coast Gaming Congress held at the Hard Rock Hotel & Casino in Atlantic City.

These latest efforts build on DGE’s groundbreaking Responsible Gaming Initiative announced in early February, which utilizes data on players’ gaming activity to determine if they might be suffering from a gambling disorder and offers them help.

“As New Jersey’s gaming and sports wagering industries continue to grow and mature, so do our obligations to assist patrons who are at risk for problem gambling,” said Attorney General Platkin. “By establishing a dedicated, senior level position within the Division of Gaming Enforcement to focus on responsible gaming, we are sending a clear message that we take this work seriously – and so should the industry. Our other initiatives announced today will help protect consumers and make it easier for individuals to access the help they need when their gaming behavior becomes problematic.”

“We have seen tremendous growth in sports wagering and online gaming in New Jersey,” said DGE Director David Rebuck. “In the face of that boom, we have a duty to protect the public from advertising that could be misleading or harmful. And for those in the grip of gambling addiction, we need to offer as many exit ramps from their condition as possible.”

DGE will establish a new position, the Responsible Gaming Coordinator, who will handle all issues impacting responsible gaming and ensure progress on existing initiatives. The Coordinator, which is to be filled by an experienced attorney, will report directly to the DGE Director and identify gaps and problems before engaging with stakeholders to develop recommendations to advance the state’s responsible gaming work.

The announcement comes as online and sports gambling continue to gain popularity in New Jersey. DGE’s March 2023 gaming revenue results showed that for that month, online gaming win reported by casinos and their partners was $165.7 million, a rise of 17.8 percent compared to $140.7 million for March 2022. Sports wagering gross revenue reported by casinos, racetracks, and their partners was $93 million for March 2023, a 40.1 percent increase compared to last March.

In addition, the initiatives announced today include new online and sports gambling advertising standards, which make it clear that operators must make responsible gaming a priority through the following:

  • displaying prominently New Jersey’s 1-800-GAMBLER hotline in their ads;
  • ending dubious promises of “guaranteed wins” or “risk-free” bets if the patron will not be fully compensated for the loss of their funds;
  • making wagering requirements clear in their terms and conditions;
  • limiting advertising in locations where it would entice those under 21 years of age to play; and
  • providing the public with the ability to swiftly opt out of direct advertising.

The full list of 15 advertising best practices can be found here.

DGE will also be making it easier for players with problem gaming behaviors to exclude themselves from gaming.

New Jersey’s existing voluntary self-exclusion program allows players to voluntarily prohibit themselves from accessing casinos’ gaming floors through in person appointments with specially trained DGE staff, or from online gaming through DGE’s online application.

Now DGE will be taking it further. Today, Attorney General Platkin announced that DGE will create a video-conference option to make it easier for players to escape from problem gambling without having to leave their homes.

Also, ahead of the busy summer season, DGE will establish a 24/7 hotline dedicated to assisting people with questions about the self-exclusion program and the process for signing up.

“The increase of online gambling opportunities, access and the amount of advertising has put many more people in New Jersey at risk for problem gambling. These measures will help enforce and expand responsible gaming, and will be bolstered with the establishment of a Responsible Gaming Coordinator,” said Felicia Grondin, Executive Director of the Council on Compulsive Gambling of New Jersey. “The standards outlined today reflect the Attorney General and DGE’s resolve to promote responsible play and make help available to those faced with a gambling addiction. We are grateful for the State of New Jersey’s efforts to focus on problem gambling and promote responsible gambling practices; they are needed now more than ever.”

“We congratulate Attorney General Platkin and DGE Director David Rebuck for their continued leadership in responsible gambling. The initiatives announced today further bolster responsible gambling protections and reduce barriers for people seeking help,” said Keith Whyte, Executive Director of the National Council on Problem Gambling. “We hope regulators across the country will emulate New Jersey, including by working with the National Council on Problem Gambling and our state affiliate chapters, such as the Council on Compulsive Gambling of New Jersey.”

Today’s announcements follow the introduction, at the beginning of this year, of DGE’s Responsible Gaming Initiative to monitor player behavior for red flags indicative of a gambling disorder. Player data already captured by operators began being used to uncover potential problem gambling patterns, such as an individual’s gambling time increasing from week to week or a player wagering until they have less than one dollar in their accounts.

Gamblers exhibiting warning signs are now approached using various circumstance-dependent interventions, including progressive responses if the indications of a potential disorder keep recurring after attempts are made to assist. At level one, a patron receives automated outreach regarding responsible gaming resources. If the warning signals continue, the patron is shown a video tutorial explaining responsible gaming and available resources before being allowed to continue gambling. At the third level, the operator’s responsible gaming lead or team will directly contact and address the issue with the patron.

Compliance Updates

Brazil’s Ministry of Finance Appoints Régis Dudena as Secretary of Prizes and Betting

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Regis Dudena, a seasoned lawyer with expertise in Public and Regulatory Law, has been appointed as the new Secretary of Prizes and Betting at the Ministry of Finance in Brazil. Dudena’s appointment ordinance is signed by Rui Costa, Minister of the Civil House.

The new secretary had already been visiting the Ministry of Finance and getting closer to the entire group at the Secretariat of Prizes and Betting, until then led by Simone Vicentini, deputy secretary.

The appointment of the lawyer is attributed to the Executive Secretary of Finance, Dario Durigan. Dario and Dudena worked together at Palácio do Planalto during Dilma Rousseff’s government.

Both worked in the Legal Affairs secretariat of the Civil House. Dudena’s name is linked to other names on the left. He has good relations with Edinho Silva (PT), mayor of Araraquara (SP).

The SPA started operating two months ago. Since then, it had been without a permanent boss. Lawyer José Francisco Manssur, special advisor to the Ministry of Finance who coordinated the regulation of sports betting from the beginning, was the most likely to take on the position. But he was exonerated under pressure from Centrão politicians.

Bets representatives welcomed the name Régis Dudena.

From the beginning, the SPA was under the responsibility of Simone Vicentini, appointed as deputy secretary. Since then, it has edited the ordinances that defined requirements for laboratory accreditation and the sector’s regulatory policy.

Under her supervision, three laboratories have already been approved, GLI, eCogra, and BMM. Last week, the ordinance establishing the rules for payment transactions to be complied with by sports betting and online gaming operators was also published.

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Compliance Updates

Arkansas Casino Seeks iGaming Approval

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An Arkansas casino is seeking approval to operate an iGaming app, allowing people within the state to go online to play casino games such as slots, blackjack, craps and more.

On March 13, Carlton Saffa, Chief Market Officer for the Saracen Casino Resort in Pine Bluff, wrote to Arkansas Racing Commission Chairman Alex Lieblong asking for a change in the rules to allow Internet casino gambling, which is often referred to as iGaming or iCasino platforms.

On Monday, Saffa told Gambling.com he hopes to appear before the Arkansas Racing Commission on May 6 seeking approval to offer iGaming. The Arkansas Racing Commission regulates all gambling matters in the state including horse racing and casino games.

iGaming Doesn’t Hurt Bricks-And-Mortar Casinos: Saffa

Nationwide, only a half dozen states from Michigan to Connecticut offer Internet casino gambling. Arkansas would be the first in its region with iGaming, permitting users who want to log onto a computer or download an app to play traditional casino games for money. Other states in the region already offer sports betting.

In his March 13 letter to state regulators, Saffa said estimates indicate Internet casino gambling from the Saracen Casino Resort alone would generate an additional $12 million in taxes annually for the state. Internet casino gambling, or iGaming, generally raises more tax revenue than sports betting in states that have both.

However, in some states without iGaming, casino operators have fought legalization, contending customers won’t visit a bricks-and-mortar casinos and spend money at restaurants and on other amenities including entertainment and lodging if they can log onto cellphones or computers and gamble from anywhere. In his letter to state regulators, Saffa pointed to research showing iGaming doesn’t cannibalize bricks-and-mortar casinos but instead gives them ‘a lift’.

State Rule Change Required

Arkansas already allows online poker, though that has not been made available to consumers, Saffa said. He said the ability to allow iGaming would require the Arkansas Racing Commission to amend a rule to include Internet casino games in addition to the currently legal online card games such as poker.

“A solution exists by amending ARC Rule 5, which already authorizes online poker, to include other types of table games and slots,” Saffa told Gambling.com on Monday. “Doing so would provide significant tax revenues to government and, just as important, ensure that operators be held accountable by the government. Given that we have seen online operators in the fantasy sports space ignore cease and desist demands from the state, merely attempting to police the matter is not a workable solution.”

Saffa recently made a similar argument on the topic of unregulated gambling, telling Gambling.com on The Edge he opposes a ban on college player props bets, saying, “Sunlight is the best disinfectant.”

“People in Arkansas are already gambling in online casinos and those companies are not regulated or taxed by the Arkansas Racing Commission,” Saffa said Monday. “Those companies are not held to the standards the people of Arkansas set forth for operators to include that a customer must be 21.”

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Compliance Updates

U.S. INTEGRITY AND ODDS ON COMPLIANCE ANNOUNCE REBRAND AS INTEGRITY COMPLIANCE 360

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U.S. INTEGRITY AND ODDS ON COMPLIANCE ANNOUNCE REBRAND AS INTEGRITY COMPLIANCE 360

 

Following the successful completion of their merger, U.S. Integrity and Odds On Compliance Launch IC360, Establishing the One-Stop-Shop Standard for Integrity and Compliance Solutions

U.S. Integrity and Odds On Compliance announced the completion of their merger and the launch of the combined entity’s new name, Integrity Compliance 360 (IC360). The merger cements IC360 as the unequivocal global leader in delivering best-in-class integrity and compliance regtech products and services for the sports betting and gaming sector.

IC360 will leverage the combined expertise, resources, and industry knowledge of U.S. Integrity and Odds On Compliance to continue delivering innovative solutions that empower organizations to achieve and maintain the highest standards of integrity and compliance.

“The coming together of U.S. Integrity and Odds On Compliance represents a strategic alignment of values and a shared commitment to excellence,” said IC360 CEO Matt Holt, formerly CEO of U.S. Integrity. “As IC360, we are dedicated to providing our clients with 360-degree solutions that address their unique compliance challenges, ensuring they can operate with integrity and confidence in today’s complex regulatory environment.”

The strategic unification of these two prominent organizations reflects a commitment to providing unparalleled compliance and integrity solutions in a rapidly evolving regulatory landscape. “Our vision is clear: to help lead our industry forward on compliance and integrity standards, empowering our partners to raise the bar. We believe the IC360 brand represents just that. This is only the beginning of an exciting chapter for Integrity Compliance 360,” commented Eric Frank, President of IC360, formerly CEO of Odds On Compliance. The merger creates a comprehensive and dynamic suite of solutions and services.

IC360’s portfolio of services includes integrity monitoring, compliance advisory, and education, along with established products like the Integrity Monitoring dashboard, a foundational product for monitoring real-time sports integrity issues, PlayBookAI, the robust online repository of sports betting laws and regulations, and ProhiBet, the pioneering solution for ensuring compliance for athletes, coaches, and staff.

“With a comprehensive suite of services and leveraging the collective expertise of U.S. Integrity and Odds On Compliance, this is an evolution of a journey dedicated to setting industry benchmarks and creating a one-stop-shop for integrity and compliance needs,” added Scott Sadin, COO of IC360, formerly COO of U.S. Integrity. “Integrity Compliance 360 looks forward to a future marked by continued growth, impactful partnerships, and a steadfast dedication to the highest standards of integrity and compliance.”

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