DraftKings is the latest bookmaker to be thrown a brushback pitch over its marketing efforts by the regulator of legal sports betting in the Buckeye State.
The Ohio Casino Control Commission (OCCC) announced on Friday that it had hit DraftKings with a notice of violation in connection with an alleged breach of the state’s rules for advertising sports betting.
According to the OCCC, DraftKings mailed around 2,500 ads in November that were directly addressed to people under the age of 21, in violation of state law.
The regulator is requiring that the Boston-based operator of online sports betting sites implement new procedures to avoid any future mistakes. The OCCC is seeking a $350,000 fine against the company.
Tough love
DraftKings has a right to a hearing and due process in the matter, the OCCC noted, and ultimately the commission will have to vote on any action that is taken against the operator.
“The Commission has been very clear about the rules and standards for sports gaming advertising with the industry, and are disappointed with the lack of compliance we have seen despite reminders,” said Matthew Schuler, executive director of the Ohio Casino Control Commission, in a press release.
DraftKings did not immediately respond to a request for comment from Covers.
However, Friday’s release and proposed fine follows the OCCC reading the advertising riot act to sportsbook operators last week, as the regulator claimed it was seeing companies skirt the rules. The Ohio regulator has also issued rebukes to Barstool Sportsbook and PlayUp over alleged advertising issues.
Moreover, the OCCC has been warning the industry about its advertising practices just days ahead of the launch of legal sports betting in Ohio.
The Ohio Casino Control Commission says it has issued a notice of violation against DraftKings over alleged violations of the state's advertising rules for sports betting. The regulator is seeking a $350K fine. pic.twitter.com/YQsNgMPHvB
— Geoff Zochodne (@GeoffZochodne) December 30, 2022
On January 1, both retail and online sports betting sites in the state will begin taking bets in a significant expansion of legal gaming in Ohio. And, on that day, DraftKings will be just one of several mobile sportsbooks that can start accepting action, as 20 operators have been licensed thus far by the OCCC.
The impending launch in Ohio, the advertising blitz by operators in advance of that launch, and some recent press scrutinizing the marketing tactics employed by bookmakers have all combined to heighten the scrutiny of the sports-gaming industry in the state.
“While we do not take administrative action lightly, DraftKings’ conduct in this case warrants the Commission’s intervention to ensure the integrity of sports gaming,” Schuler added in the release.
