Home Technology ReadyBet breaches gambling laws by messaging self-excluded users via BetStop

ReadyBet breaches gambling laws by messaging self-excluded users via BetStop

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The Australian Communications and Media Authority (ACMA) says ReadyBet, an online betting company with a license to operate, broke national gambling rules by contacting people who had signed up to BetStop, the National Self-Exclusion Register (NSER), to avoid gambling.

Between August and December 2023, ReadyBet sent more than 250 marketing messages to individuals who had chosen to block themselves from gambling services.

According to the authority, this included 250 messages sent to people the company already knew were self-excluded, 23 messages sent without properly checking the recipients’ exclusion status, and over 2,300 push notifications that didn’t include the required BetStop reference.

The authority said these breaches were due to larger problems within the company, like poor oversight and flawed manual processes. In one case, a staff member used the wrong column in a database while creating a marketing list, which resulted in promotional texts going out to people who had opted out of gambling.

ReadyBet also kept sending notifications even after the Register operator had already told them that the recipients were on the self-exclusion list. In the report, it states: “ReadyBet acknowledged that ‘Some NSER registered individuals received a ReadyBet marketing push notification’ on 14 October 2023.”

As a result, 159 push notifications were sent to individuals already marked as self-excluded in ReadyBet’s own system. The ACMA found that the information about self-excluded individuals should have been clearly visible to ReadyBet staff, and the messages should never have gone out.

ACMA enforces action against ReadyBet over BetStop violation

Because of these findings, the ACMA has issued a formal order under the Interactive Gambling Act requiring ReadyBet to take corrective action. The company now has 30 days to bring in an independent auditor to review its systems. That audit has to be completed within three months, and any recommendations from it must be fully implemented within six months.

ReadyBet also has to create and deliver training on compliance for all staff, contractors, and service providers involved in customer marketing or communications. For the next 12 months, the company is required to report any possible breaches or complaints related to electronic marketing and self-exclusion. They also have to keep detailed records of all marketing messages and complaints and provide them to the ACMA if asked.

The ACMA said these kinds of violations weaken the purpose of BetStop, which is meant to support people in managing their gambling habits. The report pointed out that when someone signs up to BetStop, they expect gambling companies to respect that choice. Ignoring it not only breaks the law but also damages public trust in tools meant to protect consumers.

If ReadyBet doesn’t follow the ACMA’s directions, it could face fines. Each breach can result in penalties of up to AUD 24,750 ($16,347), with additional daily fines if the non-compliance continues.

ReadWrite has reached out to ReadyBet for comment.

Featured image: Canva





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