The Australian Communications and Media Authority (ACMA) has imposed a penalty exceeding AUS $4 million on Tabcorp Holdings for breaching the country’s spam
The Australian Communications and Media Authority (ACMA) has imposed a penalty exceeding AUS $4 million on Tabcorp Holdings for breaching the country’s spam laws. The major gambling operator was found to have sent over 5,700 non-compliant marketing messages to its VIP programme customers.
An ACMA investigation found that between February 1, 2024, and May 1, 2024, Tabcorp sent 2,538 SMS and WhatsApp messages to VIP customers without providing them with the ability to unsubscribe from the messages. Additionally, 3,148 SMS and WhatsApp messages sent during the same period did not contain adequate sender information, while 11 SMS messages were sent without consent between February 15 and April 29, 2024.
Commenting on these violations, ACMA member Samantha Yorke noted, as reported by iGaming Times, that this was the first time the authority had discovered spam breaches specifically concerning a gambling VIP programme. Yorke stated, as reported by iGaming Times, that “The gambling industry needs to understand that spam laws apply to all direct marketing-whether it’s generic campaigns or personalised messages.” She further clarified, as reported by iGaming Times, that “VIPs should not be confused with gambling ‘high-rollers’,” explaining that “These types of gambling VIP programs can involve customers who are not well off and are experiencing significant losses.” Yorke concluded, as reported by iGaming Times, that “It is utterly unacceptable that TAB did not have adequate spam compliance systems in place.” The ACMA highlighted that the Spam Act 2003 requires businesses to obtain consent before sending marketing messages, and those messages must feature a working unsubscribe option and the sender’s information. Yorke added, as reported by iGaming Times, that when people choose to unsubscribe from a service, they must be able to do so easily and their decisions must be respected by companies.
In response to the breaches, Tabcorp has entered into a three-year court-enforceable undertaking with the ACMA. This agreement involves an independent review of its direct marketing systems, the implementation of necessary improvements, quarterly audits of its VIP direct marketing activities, comprehensive staff training, and regular reports to the ACMA. Yorke stated, as reported by iGaming Times, that the authority will be closely monitoring Tabcorp to ensure its future compliance with spam laws.
Tabcorp is not the only operator the ACMA has penalised over the past few months for compliance violations. Earlier in June, the ACMA took action against four operators-Buddybet, Ultrabet, VicBet, and Topbet-for self-exclusion failures, as separate investigations found that all these operators failed in their duties towards players registered with the country’s national self-exclusion register, BetStop. Furthermore, in May, the authority also handed significant penalties to PointsBet Australia and Unibet for various compliance failures. Overall, the ACMA has penalised businesses over $16.9 million for spam breaches across various industries within the last 18 months, indicating a robust enforcement drive.
The ACMA’s sanctioning of Tabcorp for breaching spam laws in its VIP marketing underscores the regulator’s stringent approach to enforcing compliance within the Australian gambling sector. This action serves as a clear reminder to all licensed operators of their mandatory obligations to adhere to direct marketing regulations, particularly when engaging with customer segments that may include vulnerable individuals, and highlights the ACMA’s commitment to protecting consumers from unwanted communications and ensuring responsible gambling practices.
