Sportsbet has been fined $92,500 by the Northern Territory Racing and Wagering Commission (NTRWC) after sending marketing messages to 154 customers who had either self-excluded or had opted to take a break from betting.
A human error resulted in the distribution of SMS marketing messages containing a survey participation link to both an intended group of 747 customers and a broader group of clients who were not eligible to participate.
Flutter, Sportsbet’s global parent company, admitted the error had occurred during a period of training, and said that once it realised its mistake, the marketing operations team had ceased the SMS message send-out on the same day, thereby preventing a further 48,891 messages from reaching unintended recipients.
However, it conceded that the initial send-out on October 22, 2024, was a breach of the code of practice.
The list of 154 customers to whom the message was sent in error included 30 permanently self-excluded customers and 124 who were on either a short-term or long-term break.
The NTRWC could have fined Sportsbet up to $185,000 for the breach, but opted to levy half that amount, or 500 penalty points.
“In determining the appropriate disciplinary action to take, the commission has taken into account the serious nature of the conduct,” a commission statement read.
“It is imperative that marketing communications are not directed to individuals who have self-excluded or are taking a break from the use of online wagering services, as such actions risk undermining their efforts to manage gambling-related harm and may contribute to relapse.
“Moreover, doing so represents a failure to uphold the licensee’s ethical obligation to prioritise customer welfare over commercial interests.
“The reduction to 50 per cent of the maximum penalty reflects the commission’s recognition of the mitigating factors, including the licensee’s immediate action to rectify the situation, cooperation in self-reporting the incident, and the fact that the conduct was caused by human error rather than deliberate misconduct.
“The penalty is intended to reflect the seriousness of the violation, while also acknowledging the Licensee’s efforts to address the issue responsibly.”
Sportsbet has until July 17 to pay the fine.
