Liquor and Gaming reminds facilities against credit card gaming

Liquor & Gaming NSW (L&GNSW) has once again reiterated its tough stance on credit card gambling or gambling with credit in the state’s licensed facilities and venues. The regulator issued a statement in which it criticized the discovery of venues that were missing the mark of upholding a fundamental gaming harm-minimization framework, which involved the prohibition of gambling on credit.

The particular case mentioned by the watchdog in its latest probe has to do with two venues in Sydney specifically. According to L&GNSW, the venues in question, Wentworth Hotel at Homebush by Irish Capital Group and Earlwood Hotel by Orion Hotel Group offered credit withdrawals from ATMs located on the premises.

In the case of Wentworth Hotel, a customer made a complaint that they had been able to cash out $2,000 from an ATM from their cash account. The other case, involving Earlwood Hotel, had to do with the ATM, in which case the machine’s screen promoted gambling at the hotel.

L&GNSW Executive Director and Regulatory Operations & Enforcement Jane Lin issued a statement in which it said that the regulator had been constantly reminding the industry to ensure that they toe the line when it comes to regulatory standards. Lin said:

"These requirements are about limiting the harm that can be associated with gambling. Credit card restrictions are a fundamental measure that exists to stop people from getting in over their heads."

The regulator’s inspectors attended both venues twice and were able to withdraw cash from their credit accounts, which breaches the Gaming Machines Act 2001, which seeks to prohibit this practice as it can be ruinous to consumers, and at-risk gamblers. Right now, a big debate is going on across Australia about whether cashless gaming should become obligatory so that such infringements are tracked more easily.

Another reason why this is suggested is to try and tackle the long-term implications of problem gambling, and also establish stronger AML and KYC practices that forbid criminals from using Australia’s poker machines to launder illicit proceedings.

Lin similarly reminded that the regulator’s inspectors are presently combing venues across the state and testing the poker machines and whether licensed facilities’ ATMs are offering withdrawals from gamblers’ credit accounts.

The regulator reminded that it has a zero-tolerance policy in place against venues that do not comply with prescribed mandates on consumer safety, including but not limited to credit gambling, ATM rules, and more.

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