Latest Gambling News: Penn CEO Discusses Surcharge Concept, New York Launch, and more

Catch up on six of the stories our gambling compliance analysts have covered lately, and stay up-to-date on the latest news.

Penn CEO Discusses Surcharge Concept, New York Launch

Penn Entertainment CEO Jay Snowden has said the operator does not intend to follow DraftKings’ lead in enacting a customer surcharge early next year, although he did not rule out adopting the concept in the future.

Snowden said on an earnings call Thursday (August 8) that the company found the concept, where DraftKings will enact a customer surcharge on winning bets in high-tax jurisdictions, to be “very interesting.”

"It was unexpected from our perspective, but definitely interesting,” Snowden said. “As you think about Penn’s view on this, you should expect us to be observers.

“We have a lot going on in front of us right now over the coming quarters,  so I would say, when you’re talking about a potential tax surcharge in early 2025, it’s not even on our radar."

However, Snowden did not close the door on revisiting the concept in the future depending on the market’s reaction when DraftKings launches the initiative.

“It doesn’t mean that I hesitate to ever say never, it just means that we’re really focused on continuing to improve the product, continuing to drive top-of-funnel and loyalty and retention, and so, we would not be a first mover on something like that,” he said.

Snowden also said that the company expects to launch its ESPN Bet platform in New York later this month in advance of the college and pro football seasons.

Philippines To Probe Drug Money, Bribery Links To POGOs

The Philippine House of Representatives will convene a super-committee to probe allegations that officials bribed with drug money provided Chinese nationals with fake documents facilitating foreign-facing online gambling operations (POGOs) and criminal activity.

The House committees on dangerous drugs, public order and safety, public accounts and human rights will convene on August 15 to investigate the claims.

“There seems to be a criminal organisation operating within the country where drugs or drug money is being used to corrupt certain government officials to secure fake and spurious documents to misrepresent themselves as Filipinos,” Representative Robert Ace Barbers told a press conference on Tuesday (August 6).

The documents meant Chinese nationals have been “able to acquire properties or lands in the country ... which are used to build front and legitimate businesses, such as POGOs”, said Barbers, who chairs the dangerous drugs committee.

The super-committee has been formed to expedite investigations into the interlinking of drugs, POGOs, document forgery and national security threats, and to produce “remedial legislation”, in the wake of raids on major cyber-scamming operations in Tarlac and Pampanga provinces, north of Manila.

Hundreds of enslaved local and foreign workers were freed or escaped amid the raids, which uncovered ownership of a plot of POGO land by Alice Guo, a local mayor and Chinese national allegedly impersonating a Philippine citizen, and Chinese nationals since imprisoned in Singapore over money laundering offences.

The super-committee may also call former President Rodrigo Duterte as a witness, given lawmaker suspicions that Duterte’s war against drugs rewarded killer police with POGO slush money.

“We would like to find out where the [reward] money is coming from, because we found out, that’s POGO money, that’s gambling money,” human rights committee chair Bienvenido Abante said.

Austrian Illegal Slots Situation Improving, Say Police

Austria’s financial police have said that concerns around illegal land-based gambling are diminishing, but have still handed out a number of fines this year.

In an update on the activities of financial police for 2024 so far, the Austrian Finance Ministry said that although illegal gambling still formed a key part of its work, the situation was improving.

Police handed out €962,000 in fines during the first half of this year, but that compared favourably to the €2.75 levied during the same period in 2023.

A total of 51 illegal gambling machines were confiscated from 70 establishments, compared with 274 machines in 2023.

“The hotspots of illegal gambling remain Upper Austria, Salzburg and Vienna,” said the ministry.

Eyioma Uwazurike Reinstated From NFL Gambling Suspension

Denver Broncos defensive end Eyioma Uwazurike, who was suspended more than a year ago for violating the National Football League’s (NFL) policy on gambling, was reinstated by the league on Monday (August 5).

The Denver Post reported that Uwazurike returned to practice on Monday. Uwazurike was suspended on July 24, 2023 by the NFL for betting on league games during the 2022 season.

The NFL allowed Uwazurike, 26, to petition for reinstatement no earlier than July 2024.

The NFL prohibits players from betting on the NFL; gambling at a team’s facility, including its hotel during road trips; having others make bets on their behalf; entering a sportsbook; and playing daily fantasy football.

Uwazurike was also accused of betting on football games he played in at Iowa State, but those charges were dropped on March 1.

U.S. Senators, Representatives Seek Gambling Ban On Elections

Senator Jeff Merkley, a Democrat from Oregon, led a group of lawmakers Monday (August 5) in urging the Commodity Futures Trading Commission (CFTC) to ban gambling on U.S. elections.

The letter urges CFTC chairman Rostin Behnam to finalize and implement a proposed rule to prevent Wall Street from setting up massive political betting markets that could influence and interfere with elections and further erode public trust in democracy.

The two-page letter was only signed by Democrats in Congress.

Those signing the letter were Senators Merkley, Richard Blumenthal of Connecticut, Chris Van Hollen of Maryland, Elizabeth Warren of Massachusetts, and Sheldon Whitehouse of Rhode Island. Representatives Eleanor Holmes Norton of Washington, D.C., Jamie Raskin and John Sarbanes, both of Maryland.

“The threat of violence and extremism is high, and the U.S. remains a target for foreign actors who have sought to meddle in our elections,” the lawmakers wrote. “The last thing that voters heading to the polls need are bets waged on the outcome of that election.”

Previously, Merkley was successful in urging the CFTC in 2023 to disapprove a proposal by KalshiEX to buy and sell event contracts that would allow legal gambling on U.S. elections. In May, the CFTC by a 3-2 vote approved a rule to ban event contracts that are used to wager on politics, as well as sports betting.

The federal agency has also attempted to ban political betting company PredictIt. Several of these orders are being challenged in state and federal courts.

UK Trade Group Unveils Betting Sponsorship Codes Of Conduct

UK trade group the Betting and Gaming Council (BGC) has welcomed new cross-industry codes for its members and different sports when entering into betting sponsorship deals.

The “Codes of Conduct for Gambling Related Agreements” framework was developed by the BGC and a range of sports bodies, with each body producing a specific code for their sport, to establish new standards on safer gambling sponsorship across four key principles of protection, social responsibility, reinvestment and integrity.

Michael Dugher, BGC chair, said: “These codes will be a big step forward and is something we have been working on for many years, long before the white paper.”

Under the new voluntary code of conduct, gambling sponsorship must be specifically designed to limit its reach and promotion to those under the age of 18 and those at risk of gambling-related harm, according to the BGC's announcement on August 1.

Gambling sponsorship must be promoted and delivered in a socially responsible way, the commercial income they raise must be partially reinvested back into infrastructure and programmes that serve fans and communities, and they must not compromise the integrity of sporting competitions or harm the welfare of participants.

The EFL, Premier League, FA, Women’s Super League and British Horseracing Authority have agreed to adopt the code.

The BGC expects more sporting bodies to agree to the code “shortly”.

Separately, Premier League teams have already agreed to voluntarily ban gambling shirt-front sponsors from Summer 2026.

Gambling branding will still be permitted elsewhere on matchday shirts, pitchside hoardings and in other areas.

According to research conducted by Ipsos MORI and funded by GambleAware, more than 70 percent of the general public in the UK agree there should be more restrictions placed on gambling advertising.

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