At the Australian Senate hearing on gambling advertising reform, advocates claimed that representatives from betting companies had offered drugs, alcohol, accommodation, or sexual services to vulnerable customers to encourage continued betting. Both Sportsbet and Tabcorp denied having evidence of such practices and requested that specific materials be handed over to the companies and law enforcement for investigation.
Controversy raised during advertising reform review
Representatives from the Alliance for Gambling Reform, Tim Costello and former NRL player Luke Bateman, presented related cases at the hearing. The allegations are serious, but current public information mainly comes from witness descriptions and cannot replace independent investigations and formal fact-finding.
Sportsbet declares zero tolerance for such behavior
The head of corporate affairs at Sportsbet stated that the company has not received any evidence supporting the allegations and is willing to investigate upon receiving specific information. The company also emphasized that customer interactions must comply with frameworks for safe adult entertainment, protection of minors, and state and federal responsible gambling.
Tabcorp requests submission of illegal clues to authorities
The head of government affairs at Tabcorp stated that drugs, sexual services, or alcohol are not part of the company's customer management practices, and any evidence of illegal activities should be handed over to the relevant authorities. Denial does not end the issue; the key is whether there are verifiable accounts, activities, and employee records.
VIP management scale raises governance concerns
Tabcorp reported about 800,000 active customers, of which about 400 are listed as VIP customers, with about 20 employees managing VIP accounts; Sportsbet has a similar staff size. Although the number of high-value customers is small, they may contribute to higher betting volumes and compliance risks.
Clear boundaries needed between incentives, hospitality, and harm recognition
The VIP team has access to betting and behavioral data and may also arrange events or customer services. If sales targets override risk recognition, hospitality could be confused with inducement to bet. Operators should record each contact, benefits provided, risk markers, and management approvals.
Hearing outcomes may affect broader marketing regulations
The government bill also involves restrictions on TV timeslots, online advertising, and sports promotions. Regardless of whether the specific allegations are substantiated, regulatory discussions show that VIP operations, advertising placements, and customer care cannot be governed separately and require unified auditing, reporting, and independent review mechanisms.
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