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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.”

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“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.

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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.”

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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

IGSA Welcomes Sharp Vision as Silver Member

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The International Gaming Standards Association (IGSA) has welcomed Sharp Vision as a new Silver member. Sharp Vision is a leading provider of regulatory turnkey solutions for gaming authorities.

“We are delighted to be a part of IGSA and we look forward to contributing to the advancement of best practices among regulators in the fast-growing gaming industry,” Damien Raymond, COO of Sharp Vision, said.

“IGSA is very excited to welcome Sharp Vision to our membership. We believe that IGSA Standards can enhance Sharp Vision’s products supporting regulatory authority oversight. We look forward to their participation in IGSA committees,” Mark Pace, President of IGSA, said.

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Compliance Updates

PGCB Places Seven Individuals on Involuntary Interactive Exclusion List for Online Gaming Fraud

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The Pennsylvania Gaming Control Board (PGCB) on Wednesday approved recommendations by its Office of Enforcement Counsel (OEC) for the placement of seven individuals on the iGaming Involuntary Exclusion List.

The online transactions that these seven individuals engaged in, totaling $27,168, were investigated by the Board’s Bureau of Investigations and Enforcement (BIE) and found to be fraudulent in two major respects:

  • an individual used a fraudulent scheme to obtain an online account or accounts in another person’s name and identifiers, placed funds into these accounts utilizing other persons’ payment methods, and without engaging in any gaming activity, managed to have funds withdrawn from the fraudulently-established account or accounts directly into their own bank account; or,
  • requested and received a refund for a disputed credit or debit card transaction from a card issuer even though that refund was fraudulent.

The specific fraudulent conduct of each individual is further described below:

  • Created two separate online sports wagering accounts using the personal identification and credit cards of other individuals, and withdrew $300;
  • Created 13 separate online casino-type games accounts using the personal identification and credit cards of other individuals, and withdrew $545;
  • Created six separate online sports wagering accounts using the personal identification and credit cards of other individuals, and withdrew $1000;
  • Created four separate online sports wagering accounts using the personal identification and credit cards of other individuals, and withdrew $1123;
  • Created two separate online sports wagering accounts using the personal identification and credit cards of other individuals, and withdrew $1500;
  • Illegally requested and received six chargebacks to a credit card associated with an online casino-type games account totaling $10,100;
  • Created one online sports wagering account using the personal identification and credit card of another individual, and withdrew $12,600.

The Board’s actions in these matters stem from its commitment to keep individuals who have committed fraud from gaming online in Pennsylvania. The additions made bring to 37 the total number of individuals who are currently on the iGaming Involuntary Exclusion List.

The Board also placed four other individuals on its Casino Involuntary Exclusion List. The number of individuals currently on that list totals 1197 and stems from various reasons including theft, cheating, child endangerment disorderly conduct, and using counterfeit currency.

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Compliance Updates

PandaScore secures their first US betting license, by entering Colorado

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After a meticulous and measured research process in consultation with the needs of its clients, PandaScore has acquired a license to operate in the US state of Colorado.

Through the license, PandaScore has signalled its intentions in the US market: forging a supplier-led path to esports betting success in the US. Existing PandaScore clients can now enter the Colorado market, scale up their esports offering and build their future audience in the state’s esports-friendly regulatory framework.

Future clients can also be confident that working with PandaScore supports their growth strategy in the lucrative US market. The state’s esports-friendly regulatory framework serves as a solid foundation to cultivate an esports audience and take advantage of PandaScore’s innovative, revenue-driving products such as BetBuilder, player props and microbetting.

PandaScore selected Colorado as its first point of entry into US licensing thanks to the state’s large catalogue of esports titles and competitions that are eligible for regular betting, and the wide range of markets that can be offered. Additionally, the state’s flexible and innovation-friendly licensing regime makes it a strong market for PandaScore and its clients.

Securing the license also serves as proof of concept for the French esports supplier, PandaScore Legal Counsel Alexis Brunet noted that “securing the Colorado license is a strong signal of our intentions in the US and are serious about its potential. Esports in the United States is a fast-evolving regulatory environment, but it’s only going in one direction: expansion. We intend to provide our best-in-class products and services to our customers no matter where they are, and service one of the largest markets in the world.”

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For PandaScore CEO Flavien Guillocheau, entry into Colorado in the US market was the natural next step in the company’s client-first, service-oriented approach: “For esports to succeed in the US, suppliers must lead from the front. Suppliers need to address the uncertainty around regulation which has held back operator investment and thus growth of the vertical.

“We’ve proven we know the market, get a license efficiently and do it in a way that puts operators first. We’re confident that if our clients are seeking entry into a given market, we can be completely straight with them, show them the viable pathway to success, and create the foundation and access they need to fully harness the potential of esports in one of its biggest consumer markets.”

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