BetMGM Canada penalized $110k by AGCO for prohibited marketing initiatives
In two separate incidents during 2024, BetMGM engaged marketing companies that offered cash to the public in return for opening new accounts with the operator.
Key Points
- Under AGCO’s Standards, operators are responsible for the conduct of third-party suppliers which are contracted to support the Ontario gaming businesses
- Ontario was one of the first jurisdictions worldwide to establish and enforce rules that strictly limit high-risk inducement advertising and marketing in the iGaming industry
The Alcohol and Gaming Commission of Ontario (AGCO) has officially served BetMGM Canada with an Order of Monetary Penalty in the amount of $110k for violations under the AGCO’s Standards for Internet Gaming.
In two separate incidents throughout 2024, BetMGM engaged marketing companies which would go on to offer cash to members of the public in return for opening new BetMGM accounts.
Under AGCO’s Standards, operators are responsible for the conduct of third-party suppliers that are contracted to support the operator’s Ontario gaming business, and must require third-parties to meet Ontario laws, regulations and standards.
According to the AGCO, the marketing activities also occurred in public forums, such as a major national trade conference.
“Responsible gambling safeguards and the protection of Ontarians on registered gaming sites is among our key priorities,” AGCO CEO and Registar Dr. Karin Schnarr said.
“The AGCO monitors the activities of all registered operators and their third-party suppliers to ensure they are meeting our high standards and we continue to take strong action to ensure they operate within the public interest.”
Good to know: GiG Software entered into an agreement with PowerPlay Online Casino and Sportsbook on March 25 to power its live online service in the Canadian province of Ontario
Ontario was one of the first jurisdictions worldwide to establish and enforce rules that strictly limit high-risk inducement advertising and marketing in the iGaming industry.
Registered iGaming operators are prohibited from offering gambling inducements, bonuses and credits as part of its broader public advertising and marketing activities.
Any registered operator served with an Order of Monetary Penalty by the AGCO has the right to appeal the Commission’s decision to the Licence Appeal Tribunal, which is an adjudicative tribunal independent of the AGCO and part of Tribunals Ontario.
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