DraftKings Fined for Allowing VIP to Proxy Bet at Past Super Bowl
The New Jersey Division of Gaming Enforcement (DGE) has fined DraftKings $150,000 after breaking state rules surrounding proxy betting.
According to the report, DraftKings allowed a VIP customer to utilize proxy betting by having a friend present in New Jersey place bets from his account while the bettor was attending the 2020 Super Bowl in Miami.
Unlike New Jersey, mobile betting is banned in the state of Florida, so the user was unable to access their account correctly.
Complicating matters, it’s alleged that the bettor was a VIP guest of DraftKings in their company suite and understood what he was doing – though the company now denies this notion.
The account was flagged when geolocation services were triggered after the account was accessed in Florida and then New Jersey within minutes.
Check out the latest comprehensive and most trusted Sportsbook Reviews by SBR here.
In a statement to the Associated Press, DraftKings stated, “We strive to continuously improve our systems to detect violations of our terms of use.” “In this instance, our systems failed to detect the violation of our terms of use. We have taken corrective action to address that.”
However, the New Jersey Attorney General’s office released a five-page report that states DraftKings sportsbook director Johnny Avello verbally agreed with the bettor in question to allow the proxy bets.
There is also evidence that they allowed the same process to occur in Pennsylvania.
Apart from the minuscule fine, the company has also pledged to train its employees better to ensure they’re aware of these types of infractions and how to recognize them.
Though unclear if that pertains to essential members of upper management – who seemingly bent the rules themselves.
Make sure to keep an eye on our Live Odds page throughout the week to get the best lines possible and connect with others in the SBR community on our popular sports betting forum.
