Offshore gambling companies are using third-party websites to entice Australian addicts to return to gambling even after gamblers have voluntarily imposed restrictions.
The new trend of targeting people registered with the federal government’s BetStop service has been condemned as “very concerning and opportunistic” by the media regulator, which has begun contacting the website “to inform them of Australia’s interactive gambling laws”.
Offshore gambling companies are prohibited from targeting Australians. But they have been paying websites that promote lures, provide links to pages and instruct people on how to circumvent the BetStop service, which is designed to block registrants from gambling.
Websites with URLs that sometimes refer to Australian cities earn a commission if readers follow their recommendations and gamble with offshore agencies based primarily on the Dutch Caribbean island of Curaçao.
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In some cases, it may even attract the attention of addicts who want to resume betting before their self-exclusion period expires. Early lifting of this ban would require a statutory declaration confirming that the registrant has received consultation from a qualified professional.
A website promoting gambling operations offering up to $10,800 in “welcome bonuses” – which is illegal in Australia – suggests people who register with BetStop may have made a “rash decision” and offers advice to continue gambling.
Another site claims that offshore bookmakers offer “an increased level of security”.
Australian regulators warned that the opposite is true.
BetStop, launched in August 2023, allows people to be blocked from gambling, and bookmakers are also banned from contacting them. The scheme, which has 45,000 registrants, only applies to Australian companies.
Under Australian law, overseas gambling companies are prohibited from promoting gambling to Australian consumers.
However, there are no restrictions on third party affiliates promoting your products in exchange for payment.
Australia’s media regulator has been concerned about affiliate marketers promoting illegal gambling services for several years. However, targeting people registered with BetStop is a relatively new tactic.
“This is a very concerning and opportunistic practice that seeks to undermine the purpose of the national self-exclusion register,” an Australian Communications and Media Authority (Acma) spokesperson said.
The website, which Guardian Australia has chosen not to name to protect consumers, lacks regulation and promotes generous incentives. One touts that offshore companies must comply with “less stringent gambling laws.”
Most websites admit that they are affiliated with the bookmakers they promote and some confirm that they receive commissions from those bookmakers.
CQUniversity professor Nerilee Hing, who has studied affiliate marketing in the gambling industry, said targeting people who registered with BetStop was “a clear example of predatory behavior aimed at luring in the most vulnerable people”.
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“Unfortunately, in the current regulatory environment, our ability to monitor and prevent harmful and illegal practices by affiliates is limited, regardless of whether they are acting on behalf of an Australian licensed operator or an overseas operator,” Mr Hing said.
Martin Thomas, chief executive of the Alliance for Gambling Reform, said the practice was “seriously concerning” and should be dealt with seriously.
“It appears the government is deliberately undermining BetStop, which it repeatedly boasts as one of the key achievements of gambling reform,” Thomas said.
Kai Cantwell, CEO of Responsible Wagering Australia, which represents the largest regulated online bookmakers in Australia, agreed.
“(Acma) needs to be given the power and tools it needs to actually block these sites, stop payments, and shut down the affiliate networks that put people through harm.”
Affiliate marketing takes place in Australia, but cannot target BetStop’s users. An inquiry led by the late Labor MP Peta Murphy called for the practice to be banned.
Consumer advocate Lauren Levin said blocking access to offshore gambling websites was not effective because it simply came back with a slightly different URL. Instead, she said banks should stop sending money to unlicensed gambling operators.
In Australia Online Gambling Help You can contact us at 1800 858 858. Sovereign Debt Helpline The phone number is 1800 007 007. In the UK, support for problem gambling is available through the NHS. National Problem Gambling Clinic 020 7381 7722 or Gamcare Call 0808 8020 133. In America National Council on Problem Gambling Call 800-GAMBLER or text 800GAM.
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