Compliance Updates
NBA to backup legal sports betting provided the league takes 1 per cent of the operations

The National Basketball Association (NBA) pointed out that would backup legal sports betting provided the league takes 1 percent of the operations.
NBA, which is currently in the act of pushing for legislation of sports betting with the condition of receiving 1 percent of the profits of legal operations, anticipates the ruling of US Supreme Court’s in favour of the gaming sector. However, experts estimate that the condition could be an advantage only for illegal bookmakers.
Calvin Ayre’s report states that, financial and legal experts in the United States suggested that the 1 percent condition established by professional sports leagues could produce a ripple effect on the development of legal sports betting operations as it would “ultimately hinder gamblers from switching from illegal gambling houses and offshore markets to the legal ones.”
Moreover, a recent poll of New Yorkers highlight that almost 70 percent of American citizens were opposed to the 1 percent demand but also backed up legalisation of the industry. Over 18 states in the US have shown interest in legalising the sports betting industry, and the US Supreme Court will promptly determine whether the PASPA amendment that prohibits operations could be altered.
Nevertheless, Dan Spillane, the Senior Vice President and Assistant General Counsel for the NBA, defended the demand by arguing: “Without our games and fans, there could be no sports betting. And if sports betting becomes legal in New York and other states, sports leagues will need to invest more in compliance and enforcement, including bet monitoring, investigations, and education. To compensate leagues for the risk and expense created by betting and the commercial value our product creates for betting operators, we believe it is reasonable for operators to pay each league 1 percent of the total amount bet on its games.”
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