UKGC says Ladbrokes misled it in Black Dave case probe

The UK Gambling Commission clarified that the betting company Ladbrokes misled it during the investigation into the Black Dave case. The case in question was closed yesterday. But UKGC has warned the bookmakers of the need to be more careful when handling Rule 4 deductions in horse racing.

Back in 2017, the trainer David Evans faced a monetary penalty under the ruling body of the local racing industry for delaying notifications of a non-runner, Tango Sky. According to investigation findings, this provided him with the chance to back Black Dave, the other entrant, before its odds shortened. At the time of placing his bet, Evans also told Ladbrokes that he planned to withdraw Tango Sky.

Ladbrokes, on its turn, had claimed that three years after the event, it could not be sure of the reason why the odds of Tango Sky were reduced shortly after David Evans had made his bet. However, the UK gambling regulatory body managed to find evidence that the bookmaker did so in order to boost the deductions made from winning bets already placed under Rule 4.

As revealed by the Commission, Ladbrokes had failed to properly review the entire information available before it provided what was called inaccurate explanations by the watchdog.

The Commission insisted that gambling operators must take into account what had happened in the Black Dave case and Ladbrokes’ actions and reminded them that the viability of the sector in the long-term was based mainly on customer trust. The watchdog further explained that it would continue to monitor the situation and if necessary, t would consider exercising its formal regulatory powers on both the bookmaker that is in breach and the industry as a whole.

Despite the fact that the UK Gambling Commission found certain failings of the company in terms of the above-mentioned case, Ladbrokes still escaped punishment, due to the fact that its actions were not categorised as a violation of the licence conditions or code of conduct set by the UKGC in terms of the proper application of Rule 4.

In addition, the British bookmaker was given credit for the fact that it brought the case to the attention of the local racing regulatory body on the very same day of the race. At the time of the investigation, it also became clear that the operator saved only £7.70 by cutting the price of Tango Sky in the race which did not bring it much of a turnover.

The bookmaker issued a statement on the matter, saying that the company’s initial understanding of what had happened at the time when the price was changed turned out incorrect, but this had only become evident when the case was reviewed in depth. What is more, the company also explained that the reduction of Tango Sky’s odds contradicted to its trading policy at the time and shared that its traders had already been warned about that.

As a result, the UK Gambling Commission has provided more information about the manner in which all gambling operators are expected to apply Rule 4.

Source: casinoguardian.co.uk