BlueBet has been found guilty of 43 charges for displaying gambling advertisements on or above public roads, a violation of the Gambling Regulation Act 2003 in Victoria.
This conclusion follows an investigation by the Victorian Gambling and Casino Control Commission (VGCCC) prompted by a public complaint.
Over two weeks in August and September 2022, BlueBet’s digital billboards prominently advertised along freeways at several locations.
The VGCCC’s decision to press charges led to a court case where Magistrate Greg Thomas expressed skepticism towards BlueBet’s claim of ignorance about the legality of their actions, highlighting the strategic placement of the billboards targeting males aged 15-54 years.
Thomas noted, “It’s difficult to accept BlueBet’s defence that it did not know it was breaching the law,” underscoring the deliberate targeting involved.
Though Thomas chose not to record a conviction, he pointed out that if the violations were unintentional, it indicated a “high degree” of negligence on BlueBet’s part.
He mentioned that under different circumstances, he would have imposed a $70,000 fine and recorded a conviction.
However, due to BlueBet’s guilty plea, its cooperative attitude during the VGCCC investigation, and its corrective actions to prevent future violations, the fine was reduced to $50,000, which BlueBet is required to pay along with covering all legal costs agreed with the VGCCC.
VGCCC CEO Annette Kimmitt remarked on the verdict, stating, “Gambling advertising has no place on public roads where it is readily visible to children and other vulnerable groups.
This decision sends a clear message to wagering providers that flout these protections for our community.”
The ruling coincides with Victoria’s implementation of new regulations for online gambling, effective April 1.
These regulations aim to give players better insights into their gambling habits by mandating that net loss calculations exclude free and bonus bets, and requiring gambling statements to be written in plain language and include messages about gambling harm.
The VGCCC has been actively enforcing these new rules, highlighted by recent fines and regulations against other operators like MintBet and Tabcorp for failing to adhere to responsible gambling standards.
Despite the fine, BlueBet continues to focus on expansion. Recently, the company announced a deal to acquire Betr, which will significantly increase its scale and market presence in Australia.
This acquisition involves issuing about 265.4 million new shares, representing 56.9% of the current shares, pending approval from BlueBet shareholders.
The deal is expected to finalize by July 1, assuming all conditions are met. BlueBet’s leadership has recommended shareholders support the merger, citing significant potential value.