Corporate bookmaker BoomBet has been fined nearly $18,000 by the Northern Territory Racing and Wagering Commission (NTRWC) and ordered to repay a customer deposit of $1667.
In a recent hearing of the (NTRWC), which was previously named the Northern Territory Racing Commission, it found BoomBet contravened condition 16 of its sports bookmaker licence by not complying with clause 3.2 of the Northern Territory Code of Practice for Responsible Service of Online Gambling 2019.
It was found to not have had sufficient responsible gambling procedures in place between July 20, 2023 and September 1, 2023, during which time the complainant to the Commission lost over $40,000.
The punter had sought BoomBet to refund the $40,000, but the NTRWC determined that the bets made were legal.
Nevertheless, by failing to comply with the condition of its licence surrounding responsible gambling, BoomBet could have been fined up to $29,920 or had its licence cancelled.
Instead, it was fined 60 per cent of that amount.
“This is a serious breach and BoomBet should take immediate steps to address these deficiencies,” the Commission said.
“In this respect, BoomBet has submitted that while it considers that its actions were appropriate at the time, over the past 12 months up to December 2024, it has made considerable improvements to its responsible gambling practices, including increased resources and the implementation of system-driven alerts. The Commission acknowledges and welcomes these efforts.”
BoomBet has previously received two reprimands for breaches of its licence conditions, but the Commission said these were relatively minor offences.
While the punter had requested that BoomBet return the funds he deposited into his account between July 15 and September 1, the Commission found the bets were lawful.
“The complainant voluntarily chose to continue wagering, knowing the risks involved and despite at times making significant profits which he chose not to withdraw,” the Commission ruling said.
“Despite these periods of profitability, the complainant opted to keep betting. It was only after incurring losses that the Complainant shifted blame, claiming that BoomBet was responsible for his losses.
“Betting inherently involves risk and uncertain outcomes and the decision to continue wagering was made by the complainant without direct intervention or coercion from BoomBet. BoomBet’s failure to effectively engage with the complainant from a responsible gambling perspective does not absolve the Complainant of responsibility for his decision to wager.”
Warwick Barr
BoomBet was made to refund the deposits the punter made after he had advised them by email that he was experiencing harm on the day before his account was closed.
These totalled $2533, but BoomBet had already offered him a goodwill payment of $866, so the Commission found it should repay the remaining $1667.
When shown a draft notice of the final decision, the punter told the NRWC that the action did not adequately address the emotional and financial distress that he has experienced, nor does it reflect the true extent of the damages he has suffered.
“In this respect, while the Commission has determined that the deposits made after the complainant had declared himself to BoomBet as a problem gambler should be returned, this determination is not about providing damages for negligence or some other such claim, as this is not the appropriate jurisdiction to do so,” the Commission said.
“The return of funds in this instance, is based on BoomBet’s delay in taking the necessary action after the complainant identified himself to it as a problem gambler and is not related in any way to a civil claim for damages.”
Northern Territory’s wagering laws were shaken up last year, but this breach was under the previous legislation as it occurred in 2023.
Warwick Barr
Under the new legislation, failure to comply with conditions of a licence could result in fines of up to $440,000 for each offence, with strict liability imposed and penalties treated as cumulative.
Meanwhile, in another hearing, BlueBet was found not have breached the new Racing and Wagering Act 2024, despite a previously self-excluded customer being able to place bets for several days after the merger with betr in July.
The betr customer had self-excluded from BlueBet in 2016, but came across to the latter bookmaker during a customer migration when the two merged.
Staff Writer
It took 11 days for the customer’s details to be matched and for his now combined account to be closed. Betr refunded $640 in losses the customer had incurred during that period the following day.
However, it wasn’t found to have breached the law, because a 2019 code relates only to re-opening or opening a new account. The betr account which he had held before the merger, and the BlueBet account after the merger, were technically the same account, and not considered new or re-opened.
“In making this decision, the Commission notes that BlueBet upon receiving a complaint to it directly from the Complainant, took action to return the funds that were used by the complainant to wager between 1 July 2024 and 11 July 2024, thus ultimately resulting in the complainant’s financial position being unaffected by BlueBet not adhering to the commitments made by it to the former Commission in a timely manner,” the Commission said.
