New Jersey Casinos To Reimburse Customers Who Gambled Illegally

Article by : Erik Gibbs Nov 17, 2023

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The New Jersey Division of Gaming Enforcement (DGE) recently took decisive measures in the state by instructing multiple casinos and racing associations to seize profits from unlawful gambling activities. This particular incident implicated a total of five Atlantic City casinos and racetracks, which collectively received a reimbursement of $77,000.

The funds were ordered returned because the individuals who successfully wagered against the casinos were either underage or appeared on the list of prohibited gamblers. In either case, the casino didn’t perform its necessary due diligence to confirm the gambler’s status.

The most recent enforcement action included the identification of online platforms for sports betting and casinos. DraftKings faced a fine of $7,500 due to violations associated with its activities. Rush Street Interactive had to pay an additional $2,000 for accepting bets on events that were deemed illegal.

Regulatory scrutiny and enforcement action are triggered in New Jersey when gambling establishments dare to offer options on non-white-collar sports and events. However, this latest development does not imply any decline in the state’s sports industry standards.

Many of the challenges faced by the casinos pertain to their inability to prevent underage individuals from accessing certain slot machines or presenting inadequate identification. The Atlantic City casinos, despite their diligent efforts, are subject to stringent regulations that oblige them to safeguard against unqualified individuals accessing their offerings.

There are also instances where individuals listed on personal exclusion lists are prevented from engaging in sports events, posing additional complications. According to the state’s gambling legislation, both the player and the casino bear the responsibility to address any instances of fraudulent gambling for any reason.

Resorts has already had to return $51,000 due to violations that have occurred over the past three years. Ocean Casino Resort has paid $7,500, ranking it as the second largest in comparison.

On the other hand, Harrah’s falls at the opposite end of the spectrum as the smallest, valued at a mere $900. Meanwhile, both Freehold Raceway and Golden Nugget face significant financial losses, with Freehold Raceway losing $4,400 and Golden Nugget close behind at $4,200.

Additionally, Bally surpasses all others in terms of losses, exceeding $5,600. It is worth noting that although the reported number of violations is relatively low, the DGE has the potential to initiate more severe investigations and stricter enforcement actions. Repeat violations can lead to the implementation of even more stringent laws and reinforced penalties, as well as a license suspension.