The Ohio Casino Control Commission finally concluded the process against DraftKings and Barstool Sportsbook. The settlement was made on Wednesday, and it was decided that the companies had to pay a huge fine because of their past actions.
Huge fines for Barstool Sportsbook and DraftKings:
It is decided that Barstool Sportsbook has to pay a fine of $250,000. The company made a mistake when it organized a live event outside the football stadium that belongs to the University of Toledo. That action has violated two rules: Barstool Sportsbook advertised inside a college campus or near it. The second mistake was targeting potential users who didn’t turn 21 yet.
In order to have the right to gamble in Ohio, you need to be at least 21 years old.
The owner of Barstool Sportsbook and the Hollywood Casinos, Penn Entertainment, admitted the guilt and said that the company was aware of breaking the major rules of the state.
Chris Soriano, Chief Compliance Officer at Penn Entertainment, said: “In this matter, we fell short of the mark. We accept responsibility for that.”
Another company that has to pay a huge fine because of its recent actions is DraftKings. The company needs to pay a fine of $500.000 because of its sportsbook, and the reason also lies in targeting people under 21. In December, the company sent promotional emails to them. On top of that, the company didn’t have a message related to the problem gambling. They promoted “free” and “risk-free” bets, which are strongly prohibited.
A Director of Regulatory Operations in the company, Jacob List, found an excuse in the fact that the company used a database prepared for Fantasy sports. It led to advertising to underage people, and the issue has been solved, as the company representative claimed. He also commented on the messages in DraftKings’ ads, claiming that the company takes care of responsible gaming messages, so the ads don’t contain words such as “free” or “risk-free.”
Legal sports betting in Ohio:
Legal sports betting has been allowed in Ohio since January 1, and it seems the companies weren’t prepared for all the regulations, which resulted in many violations.
Caesar’s Sportsbook is one of those that settled with authorities. It is agreed that the company needs to pay a fine of $150.000 because the message about problem gambling wasn’t included in the company’s ads. Additionally, “risk-free bets” have been included.
BetMGM is in exactly the same situation as Caesar, but the settlement hasn’t been reached yet.
Ohio has strict rules when it comes to sports betting advertising. All companies need to include a phone number that customers can call for additional resources, and a clear message that will prevent problem gambling is required.
Also, the words “free” and “risk-free” are forbidden if the potential customer needs to use their own money to get the promotion. All of the companies broke this rule.
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