The New Jersey Division of Gaming Enforcement (NJDGE) issued the penalty on August 29, 2024, citing the operator’s acceptance of wagers on prohibited events, including already-concluded matches, as well as failure to comply with state rules.
This is the second time in recent months that Bet365 NJ has come under scrutiny. In July, the NJDGE ordered the sportsbook to repay more than $500,000 to bettors who had been shortchanged when Bet365 unilaterally revised the odds on a large number of wagers between 2020 and 2022, without obtaining regulatory approval.
The latest fine continues a worrying trend for the British-based company, signaling ongoing issues in its compliance with New Jersey’s strict gambling regulations.
The Nature of the Violations
Between February 2022 and January 2023, Bet365 accepted more than $257,700 worth of bets on unapproved events or those where the outcome had already been determined. The infractions include bets placed on mixed martial arts (MMA) events that had already concluded, golf tournaments that had started hours earlier, and even wagers on local in-state college teams — a direct violation of New Jersey betting laws.
One incident involved a college basketball game between the University of Louisiana-Lafayette and the University of Arkansas-Little Rock on February 3, 2022. The game was moved up by an hour, but Bet365’s pre-match odds remained live even after the contest had started, resulting in $5,275 worth of wagers.
Similar issues arose in April 2022, when Bet365 accepted bets on Professional Fighters League matches that had taken place a month earlier. The sportsbook later refunded the wagers, but not before customers had already placed $13,735 on these events.
In October 2022, the company also accepted two bets on Rutgers University football games at its Atlantic City retail sportsbook, despite New Jersey’s prohibition on betting on in-state college teams. Although these wagers were voided, it highlights a persistent problem in Bet365’s betting operations within the Garden State.
Repeat Offender: Previous Fines and Compliance Issues
This latest penalty comes just months after the NJDGE discovered that Bet365 had revised odds on 13 different sporting events between December 2020 and November 2022. In the most significant instance, Bet365 altered the odds for 63 bets placed on a BYU vs. Oregon NCAA basketball game on November 17, 2021, resulting in 59 winning bets being paid out at lower odds than initially posted.
According to regulators, Bet365 did not seek approval for these changes, violating New Jersey laws that require NJ sportsbooks to obtain consent before adjusting payouts.
Bet365 defended its actions, claiming the odds had been an
“obvious error.”
However, the NJDGE insisted that proper regulatory channels must be followed in such cases. The sportsbook was ordered to refund $519,000 to affected bettors.
Software Malfunctions and Human Error
Bet365’s infractions were largely attributed to a combination of human error and software malfunctions. In several instances, start times for events were incorrectly loaded into the betting platform, allowing wagers to be placed on games that had already started or concluded.
The company also blamed a software glitch for the offering of unapproved European exhibition soccer matches between November 2021 and March 2022, where bettors placed nearly 200 wagers totaling $15,500.
The company has since retrained its employees and taken steps to address the technical issues that contributed to these violations. However, the recurring nature of the mistakes raises concerns about Bet365’s ability to operate within New Jersey’s stringent regulatory framework.
