Online gambling provider PointsBet has paid a $500,800 spam penalty and is subject to enforceable undertakings after breaching Australia’s e-marketing and gambling self-exclusion laws.
An investigation by the Australian Communications and Media Authority (ACMA) found that PointsBet Pty Ltd sent more than 800 illegal messages in breach of spam regulations, and also failed to comply with obligations under BetStop, the National Self-Exclusion Register (NSER).
Between September and November 2023, PointsBet sent 705 emails containing direct links to its betting services without including an unsubscribe option.
The company was found to have misclassified the emails as “non-commercial,” despite their promotional content, placing them firmly within the scope of spam regulations.
‘These failures have impacted PointsBet’s customers, some of whom had taken proactive steps to exclude themselves from online wagering.’
In addition, PointsBet sent seven marketing emails without recipient consent and 90 commercial SMS messages that lacked mandatory sender contact information.
Separately, ACMA’s investigation into NSER compliance found that in August and September 2023, PointsBet sent 508 marketing messages to individuals who had self-excluded through the national register.
Under the NSER rules, licensed wagering providers are strictly prohibited from sending marketing material to people who have opted out of online gambling communications.
ACMA Chair Nerida O’Loughlin said the breaches showed a concerning disregard for legal obligations, particularly in relation to vulnerable individuals seeking to avoid gambling harm.
“It is deeply concerning that these failures have impacted PointsBet’s customers, some of whom had taken proactive steps to exclude themselves from online wagering,” O’Loughlin said.
“People signing up to the NSER are taking positive steps to remove online gambling from their lives. Their decision must not be compromised by companies like PointsBet.
“Wagering providers must also appropriately identify where messages promote or advertise their services and ensure that those messages comply with the rules, including the obligation to promote the NSER.”
While the ACMA confirmed no self-excluded customers were able to place bets during the period under review, the authority has accepted legally binding undertakings from PointsBet. These include third-party reviews of compliance processes, implementation of recommended improvements, and mandatory staff training.
‘We will closely monitor PointsBet’s compliance.’
“This action should serve as a warning to all wagering providers that they must meet their legal obligations or face the consequences. We will closely monitor PointsBet’s compliance with its undertakings and with the spam and NSER laws,” O’Loughlin said.
ACMA noted that financial penalties are not currently available for NSER-related breaches due to the novelty and complexity of the issues under investigation. However, failure to comply with the undertakings can result in court-ordered penalties.
This case marks the first enforcement action under the NSER laws.
According to the ACMA, businesses have paid more than $14 million in spam-related penalties in the past 18 months, highlighting the regulator’s focus on compliance around gambling safeguards and misleading digital marketing.
More information can be found on the ACMA website.