In a statement, the regulator confirmed it had hit Well Played Media, Unipessoal LDA, the operator of Casino Days, with a $54,000 financial penalty following a complaint from a customer that more than $8,500 had been confiscated by Casino Days from his account.
The subsequent investigation discovered a welcome bonus offer that allegedly encouraged high-risk behaviour and failed to disclose key terms properly.
According to the AGCO, the offer, which promised new players up to $2,000, carried a number of stipulations that had to be met to receive the bonus.
Players had to deposit $2,000 of their own money, wager $70,000, with each wager at or under $5, and complete all wagering requirements within seven days.
As a result, the AGCO’s analysis revealed that the average player would lose $3,640 trying to earn the $2,000 bonus. In addition, investigators found that some of the terms of the offer were difficult to find and “buried behind multiple links on the site”.
Dr Karin Schnarr, CEO and registrar of the AGCO, commented: “An offer that requires a player to sustain substantial losses for a perceived benefit is not a fair offer. This penalty sends a clear signal that we will not hesitate to take action against operators who fail to meet their obligations to protect Ontario players.”
AGCO rules state that licensed operators must not offer bonus promotions that encourage harmful gambling behaviour and fail to disclose key conditions appropriately. They also must refrain from offering bonuses that cannot be reasonably attained without significant gambling losses.
“Player protection is a non-negotiable priority for the AGCO. We expect operators to be truthful and transparent about their promotions, and we also require them to ensure that those promotions do not encourage reckless or harmful patterns of play,” added Schnarr.
Casino Days has the right to appeal the decision to the independent Licence Appeal Tribunal (LAT).
Strong regulatory action
The penalty handed to Casino Days continues the AGCO’s strong action against malpractice within its jurisdiction.
In April, the Great Canadian Casino Resort Toronto was given a $120,000 penalty for failing to recognise alleged collusion between a group of casino patrons and two table game dealers.
Meanwhile, BetMGM Canada also fell foul of the AGCO’s rules when it was discovered that two of its marketing affiliates had offered cash incentives for new customers who signed up and placed a deposit.
The AGCO’s regulations expressly forbid operators from publicly advertising sign-up bonuses or any other inducements designed to attract new players.
BetMGM acknowledged that its affiliates had engaged in prohibited marketing and paid a fine of $110,000.
