Australia
TAREN POINT HOTEL PENALISED FOR PROVIDING POKIE GAMBLER WITH FREE ALCOHOL
Taren Point Hotel licensee James Hughes has been ordered to pay over $23,500, and the hotel’s approval to keep gaming machines has been suspended for seven days, after a patron playing the pokies was unlawfully provided free alcohol over a six-hour period.
Under NSW gaming laws, it is illegal to offer or supply free or discounted alcohol as an inducement to play gaming machines in a hotel.
The incident happened between 10.30am and 8pm on 13 February 2019, when hotel staff gave the 49-year-old man 10 complimentary schooners of full-strength beer while he was playing the pokies. The Miranda man lost around $3000.
He complained to Liquor & Gaming NSW and, in December 2019, they submitted the complaint to the Independent Liquor and Gaming Authority specifying grounds for compliance action.
The Authority’s Chair Philip Crawford said the fine imposed on Mr Hughes reflects the seriousness of incentivised gambling on the community.
“Taren Point Hotel licensee James Hughes has contravened the Gaming Machines Regulation 2010 by engaging in conduct that encouraged, or was likely to encourage, the misuse and abuse of gambling activities,” Mr Crawford said.
“In addition to paying $23,692 in costs and fines, Taren Point Hotel is banned from operating their gaming machines for a week from 17 May 2021, a penalty that will see the venue forego a significant amount of profit.
“The gaming room staff had a well understood discretion to supply free liquor to gaming machine players, but with no adequate controls or checks with respect to the limits on the “reasonable” number of drinks to be served.
“This led to the Miranda man being supplied with 10 drinks over the course of his gaming session in circumstances where the man was displaying multiple signs of problem gambling.
“This should serve as a reminder to gaming machines venues in NSW to operate at the highest legal and ethical standards and be mindful of their responsibilities with respect to identifying and addressing signs of problem gambling.”
Mr Hughes has a right to appeal the decision.
Australia
Roadmap for Gaming Reform report published
The Independent Panel brought together, for the first time, a mix of industry representatives, harm minimisation experts, police, experts in cybersecurity and privacy, academics, community organisations and a person with lived experience of gambling harm.
Specifically, the Independent Panel examined the feasibility and acceptance of implementing cashless gaming technologies in clubs and hotels in NSW to gain insights from the technology to inform the Roadmap report.
Independent Panel for Gaming Reform Chairperson Michael Foggo said the panel’s Executive Committee has put forward an ambitious roadmap for gaming reform for the government to consider.
“This has been challenging and complex work, and I thank each of the panel’s 16 members for their time, expertise and enthusiasm over the 16 months of the panel’s work, and for contributing their views to developing the recommendations,” Mr Foggo said.
“The trial of this new technology was an important step to better understand the benefits and challenges for its implementation, giving technology providers, venues, patrons and government insights on operational issues tested in the real world.
“The trial learnings, advice from experts, research and evidence have informed the recommendations and safeguards to manage gambling harm and money-laundering risks and inform reasonable implementation timeframes to minimise impacts on industry.
“The roadmap also includes recommendations to progress the government’s commitment to reduce the overall number of gaming machine entitlements in NSW, as well as removing unnecessary complexity and further streamlining existing gaming regulatory regimes.”
The Independent Panel provided the government with separate advice on issues including mandating facial recognition technology to identify self-excluded patrons, and the establishment of a statewide exclusion register with third party exclusions.
The Executive Committee noted that further work needs to be undertaken by the government in developing its preferred approach to gaming reform.
Australia
Victoria’s Gambling Industry Held to Account
In 2023–24, the Victorian Gambling and Casino Control Commission (VGCCC) took 88 disciplinary actions against gambling licensees and employees, demonstrated zero tolerance for betting on or by minors, and began implementing a new risk-based, intelligence-led regulatory approach.
Tabled in Victoria’s Parliament, the VGCCC annual report demonstrates a commitment to ensuring gambling providers not only live up to the letter of the law but abide by its spirit.
“Our regulatory response is proportionate to the risks posed and harms caused when a gambling operator fails to comply with its obligations,” VGCCC Chair Fran Thorn said.
“We have no tolerance for deliberate or opportunistic contraventions of the law and will not hesitate to take appropriate action when we detect a breach.”
During the year, the VGCCC undertook more than 1600 audits, completed 2770 inspections of venues across the state, including a regional blitz, and brought 10 successful prosecutions.
Disciplinary action was taken against various licensees, including Tabcorp and the Australian Leisure and Hospitality Group (ALH). They included fining:
• Tabcorp $1 million for repeated failure to comply with directions during a VGCCC investigation into a major system outage
• ALH $480,000 for operating poker machines at 8 venues outside of nominated trading hours and failing to observe mandatory shutdown periods
• Myndit Pty Ltd, the former operator of the Rye Hotel, $80,000 for multiple breaches of cheque payment and financial record-keeping requirements. On one occasion, Myndit paid a cheque for poker machine winnings to a person who was not in the venue at the time the winnings were accrued.
Ms Thorn highlighted the success of the VGCCC’s new tip-off function, which makes it easier for members of the public to anonymously report inappropriate or suspicious conduct.
“In the first year, we received more than 260 tip-offs across a range of issues,” she said.
Following an online complaint from a member of the public, the VGCCC investigated and prosecuted bookmaker Bluebet Pty Ltd for illegally displaying gambling advertising on a public road. The company was found guilty of 43 charges and fined $50,000.
“We also worked with the AFL to implement tighter controls for Brownlow Medal voting and betting following reports that an umpire allegedly leaked the results of round-by-round voting in 2022.
“And in response to community concerns, we engaged with sports controlling bodies to successfully ban betting in Victoria on all under-19 sporting competitions and the performance of individual players under the age of 18 in junior and senior sports.”
In March 2024, after 2 years under the supervision of the government-appointed Special Manager, the VGCCC determined Crown Melbourne was fit to hold the casino licence.
“The licence comes with strict operating conditions, including that Crown continue its reform program under a 3-year Transformation Plan against which it will be held to account,” Ms Thorn said.
“We have a responsibility to ensure gambling activities in Victoria are conducted in compliance with regulatory obligations and providers operate safely, fairly and with integrity.”
Australia
Ainsworth Expects Increase in H2 Revenue
Ainsworth Game Technology Ltd expects its second-half profit before tax to be down sequentially, despite an increase in revenue.
The Australia-listed firm said it anticipated profit before tax for the six months to December 31 – excluding currency exchange impacts and one-off items – to be in the range of AUD8 million (US$5.2 million) to AUD10 million. That would be in comparison to the AUD14-million profit achieved in the first half this year.
Revenue for the July to December period is expected to “show an estimated growth of 12 percent” compared to the AUD121.4 million reported in the six months to June 30, Ainsworth said in a Wednesday filing.
The company said the estimate was “based on preliminary management forecasts, subject to period end closure and audit procedures”.
“These results reflect the positive momentum achieved across the business,” stated the firm.
It added: “All geographical regions experienced solid growth in the period apart from the digital segment which suffered an initial decline following the reduced contributions from Game Account Network Ltd (GAN), following the acceleration of revenue arising from the termination of exclusivity arrangements reflected in the first half of calendar year 2024.”
Ainsworth however noted that gross margins were “negatively impacted” compared to the first half of 2024, “which was the primary factor contributing to the lower profitability experienced in the period”.
The firm said it expects full-year 2024 gross margin to be “approximately 62 percent” compared to the reported margin of about 67 percent in the first half this year.
“The forecasted margin has been adversely affected by a range of factors, including product mix of products sold within Latin America, competitive market conditions and the under recovery of production variances expensed in the current period,” noted the gaming supplier.
Ainsworth’s chief executive, Harald Neumann, said: “I am encouraged by the growth in revenue in the period and expect growth to continue in coming periods as we release the next suite of game offerings across our global markets.”
Mr Neumann said the initiatives undertaken by the company were showing “progressive improvements in game performance” within the markets where the company operates.
“Additional game releases and hardware initiatives are expected to maintain the growth experienced in coming periods,” added the CEO.
In Tuesday’s filing, Ainsworth also said it had “experienced a cybersecurity incident,” which was “currently under investigation and assessment”.
“Despite some disruptions experienced in internal business systems and operations, through cautionary measures implemented, it is currently not expected that this incident will have any material adverse impact on the forecasted results” for the second half this year, stated the firm.
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