Tabcorp has been fined A$4m (£1.9m) by the Australian Communications and Media Authority (ACMA) after the operator was found to have breached spam laws more than 5,000 times.
An investigation conducted by the ACMA found that between 1 February and 1 May 2024, Tabcorp had sent over 2,500 WhatsApp messages to its VIP customers without any option for recipients to unsubscribe.
Additionally, the ACMA also discovered that 3,148 SMS and WhatsApp messages sent within the same period did not contain “adequate sender information”.
There were also 11 texts sent without consent between 15 February and 29 April 2024, as per the investigation.
Samantha Yorke, ACMA authority member, described the breaches as “deeply concerning”, marking the first time such non-compliance has been found within an operator’s VIP programme.
“These programmes often involve personalised messages offering incentives such as bonus bets, deposit matching, rebates and offers of tickets to sporting and other events,” Yorke explained.
“The gambling industry needs to understand that spam laws apply to all direct marketing, whether it’s generic campaigns or personalised messages.
“VIPs should not be confused with gambling ‘high rollers’. These types of gambling VIP programmes can involve customers who are not well off and are experiencing significant losses. It is utterly unacceptable that TAB did not have adequate spam compliance systems in place.”
The ACMA’s update noted that under Australian’s Spam Act 2003, all businesses must have a user’s consent before sending marketing messages, while all messages must also contain an unsubscribe option as well as information about the sender.
Tabcorp has already paid the A$4m fine and agreed to a three-year court-enforceable undertaking, which will include an independent review of its direct marketing system and quarterly audits of its VIP marketing practices.
The operator is also expected to train staff on the issue and report to the ACMA regularly.
A Tabcorp spokesperson stated: “Tabcorp is remediating and significantly improving our processes, systems and overall compliance pursuant to an enforceable undertaking.
“Tabcorp assisted the ACMA throughout the investigation and will continue to work closely with the regulator to ensure ongoing improved compliance.”
This marks the latest regulatory action taken by the ACMA, which has issued A$16.9m in fines related to spam breaches across various industries within the last 18 months.
In other ACMA news, the regulator has requested that Australian internet service providers (ISPs) block access to multiple unlicensed operators, all of which have been adjudged to have breached the country’s Interactive Gambling Act 2001.
The sites under scrutiny from the ACMA include Casiny, CoinPoker, Crown Play, Fafabet9, SlotFred, Smart 93 and Vigor Spin.
Since the ACMA started overseeing illegal gambling regulations, around 220 unlicensed operators have left the Australian legal market.
The regulator has encouraged all Australian players to use its register to determine whether an operator is licensed before engaging with them.
The post Tabcorp hit with A$4m fine after VIP marketing breaches first appeared on EGR Intel.
Operator also set to start three-year undertaking to remedy failings and review its practices after ACMA uncovers spam law non-compliance
The post Tabcorp hit with A$4m fine after VIP marketing breaches first appeared on EGR Intel.