DraftKings slapped with C$100,000 penalty for breaching advertising rules in Ontario

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DraftKings has been fined C$100,000 over marketing breaches in Ontario by the province’s Alcohol and Gaming Commission (AGCO).

According to the AGCO, DraftKings “posted or aired multiple broad gambling inducements” via television and social media between May 19 and May 31, 2022.

This was in violation of Ontario’s Standards for Internet Gaming, specifically standard 2.05.

Ontario’s gambling regulation includes clear restrictions on the advertising of inducements, bonuses or credits, except when they are on an operator’s site, or through direct advertising and marketing issued after receiving active player consent.

Ontario strictly prohibits broad public advertising of bonuses, free bets and other inducements to gamble.

AGCO CEO Tom Mungham: “The AGCO will continue to monitor the activities of all registered operators and hold them to high standards of responsible gambling, player protection and game integrity.”

Tom Mungham, CEO and registrar of AGCO, said: “The AGCO will continue to monitor the activities of all registered operators and hold them to high standards of responsible gambling, player protection and game integrity.

“It is in the public interest that we ensure they are meeting their obligations under Ontario’s Gaming Control Act and the Standards.”

DraftKings has the right to appeal at Ontario’s Licence Appeal Tribunal.

The Nasdaq-listed betting heavyweight is not the first company to be hit with a fine in Ontario.

In spring, BetMGM and PointsBet received financial penalties for similarly failing to comply with Ontario’s marketing standards.

DraftKings was granted its Ontario licence six weeks after the launch of the market on 4 April and therefore later than many of its rivals.

The DraftKings mobile app was only available to download four days after the company went live in the province.

About the author

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Sonja Lindenberg

Sonja Lindenberg is an experienced editor and journalist, with a strong focus on business, finance, trade and investment. She holds a degree in business journalism and throughout the past two decades has covered companies and industries in various markets and for different media, including newspapers, news agencies, inflight magazines, country reports and trade publications. Sonja joined iGaming NEXT in June 2022.

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