The Massachusetts Gaming Commission has fined Fanatics Betting and Gaming $20,000, following a vote that landed at 4-1.
The issue was due to accepting prohibited bets on a non-tournament Massachusetts collegiate football team, with the item discussed in a recent meeting on 4 December. It was initially recommended by the Investigations and Enforcement Bureau (IEB) that the commission assess a civil administrative penalty upon FBG Enterprises Opco LLC, which does business as Fanatics Betting and Gaming, for a non-compliance event.
According to the meeting notes, the event occurred from September 15, 2024, through September 20, 2024, and the IEB originally briefed the regulatory board on the happenings in January. It’s reported that the company’s trading team mistakenly overrode an offering limit for the game, which enabled the illegal bets to be accepted through the online platform. During the meeting, it was explained how the employee had been let go.
The incident allegedly included 83 wages, which had been accepted for a total handle of $3,325 while the market was live. The wages are described in the meeting as having been a combination of both straight bets, 23 wages for a $2,118 stake, and parlay bets with 60 wages for a $1,207 stake. The sportsbook operator voided the losing wagers and paid out those that won.
Fanatics fined following September 2024 incident in Massachusetts
The IEB investigated the matter and had further discussions with Fanatics, with a review finding that no additional information was uncovered that would materially change the nature of the non-compliance.
After deliberations began, and explanations as to how Fanatics have taken steps to try and eliminate the issue as best they can, Commissioner Eileen O’Brien stated she wasn’t satisfied with the fine.
“I think only going up 5,000 each time they do this is not much of a deterrent on the operator. Hearing somebody that made a mistake loses their job is good in some senses, but in the other sense, the risk is really on the employee and not the company.”
The commissioner continued to state that she would have gone ‘harsher’ and highlighted the revenue they make before it concluded with a vote.
Featured Image: Via Massachusetts Gaming Commission on Facebook
