COLUMBUS, Ohio — Sports betting has been legal in Ohio for less than a week, but already state regulators are taking action against multiple gaming companies for their advertising practices.
The Ohio Casino Control Commission announced Thursday it plans to fine the parent companies of BetMGM, Caesars and DraftKings $150,000 for violating state gambling laws pertaining to advertising and promotions. The commission said those companies ran advertisements that failed to include the necessary problem gambling and addiction messaging, and lacked helpline phone numbers.
“The sports gaming industry has received multiple reminders of the rules and standards for advertising and promotions, yet continues to disregard Ohio law," said Matthew Schuler, executive director of the Ohio Casino Control Commission. "These repeated violations leave the Commission no choice but to pursue administrative action to bring operators into compliance. The Commission takes responsible gambling seriously – and expects the industry to value the same.”
The commission said in a press release that ads from BetMGM, Caesars and DraftKings also referenced bonuses or promotions involving "free" or "risk-free" wagers where patrons were still required to incur a loss or risk their own money to take advantage of the promotion. State law prohibits companies from describing promotions as "free" or "risk-free" when players must spend their own funds to obtain the promotional value.
On Tuesday, Gov. Mike DeWine spoke to reporters and warned sports gaming companies their messaging is being monitored.
"The companies that are doing the massive advertising need to be aware that they’re being looked at very closely by the governor and the Casino Control Commission in regard to statements that they are making," DeWine said. “We believe that at least on several occasions they’ve already crossed the line. My message to them is that this will not be tolerated in the state of Ohio."
The commission plans to pursue "other remedial action" in addition to the fines to ensure personnel are trained in all laws, rules and policies. The three companies are entitled to a hearing and due process.
The commission will vote on any action taken regarding violations. Fines collected are deposited into the Sports Gaming Revenue Fund.
Over a dozen gaming companies are approved to operate in Ohio.
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