ACMA issues infringement notice against betting operator over spam

BetDeluxe, the trading name of sole trader Noah Rose, has received and paid an infringement notice by the Australian Communications and Media Authority (ACMA). The sum of the penalty is set at $50,172 Australian dollars and is issued by the regulator over specific shortages of the company’s spam-unsubscribing rules which did not meet the existing regulatory standard.

In the decision published on the regulator’s official website, ACMA explained that BetDeluxe sent at least 104,000 SMS but did not offer consumers the option to unsubscribe. In another related case, 820,000 SMS were sent but the company failed to include the sender’s contact details, causing confusion among consumers.

ACMA detailed that the infringements happened between December 2021 and February 2022. The regulator’s Chair, Nerida O’Loughlin, commented on the case and said that the issue was serious as betting companies must not send promotional materials to customers without offering them the option to exclude themselves from receiving such messages.

ACMA was contacted by a number of consumers who said that they were frustrated with having been targeted by gambling messages. O’Loughlin reminded BetDeluxe and operators in Australia that they had an obligation to protect consumers from financial and emotionalharm.

"Any spam can be annoying, but when gambling has involved the risk of financial and emotional harm can be pronounced, so it’s important that wagering operators take compliance very seriously," she added when detailing the case.

O’Loughlin added that moving forward, the regulator will be looking closely at whether BetDeluxe is meeting regulatory standards, and particular rules tied to e-marketing. To this end, the company has decided to act proactively, and it has hired independent consultants to help it review its processes over the next two years.

The regulator now expects BetDeluxe to provide its members of staff with the necessary spam training so that similar accidents can be averted. ACMA further reminded BetDeluxe that its obligations under licensing terms were legally binding. ACMA has been keeping a close eye on the gambling sector.

The regulator reported that it had issued a $3.7m penalty to Sportsbet in February over similar spam breaches. ACMA insisted that operators must uphold high ethical and business standards when conducting business in Australia.

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