Bonuses and Payout Issues Leads NJ Regulator to Issue Operator Warning

This week, a warning was issued to online gambling operators in New Jersey. It seems that payment issues along with bonuses have been subject to problems and the Division of Gaming Enforcement wants to be sure that operators are providing services in the correct manner.

Directory’s Advisory Bulletin

David Rebuck, the director of the DGE, issued the warning this week, stating that several complaints have been received involving processing time for withdrawals. Patrons have complained specifically that after making a withdrawal request, it can take as many as two weeks before the funds are available.

Some of the time period could be used for possible fraud investigations, identity theft, or other issues, the number of complaints led the DGE to review existing regulations and practices within the industry. The DGE wants to be sure that player protections are in place and responsible gaming are balanced correctly next to the right for a player to access funds.

The DGE completed the review to ensure that operators were offering withdrawal policies that comply with existing regulations. It was found that operators were actually using the time period to try and convince players to use the money and reverse the withdrawal instead.

Who Are the Offenders?

The operators who reportedly acted in this manner remain a mystery. The bulletin did not list the offenders by name. However, the report went on to state that the operators tried to get players to cancel the withdrawal and offered bonus money to do so.

The DGE determined that this type of behavior is a violation of the existing rules when it comes to soliciting or incentivizing withdrawal requests that the patron wishes to complete. The DGE has decided to allow patrons to continue to add the funds back instead of making a withdrawal, only if they choose to do so, not at the behest of the operator.

The Division uncovered that some delaying tactics were used by employees after patrons tried to check the status of a withdrawal. The employees would say that a withdrawal takes time but would say if the patron wanted to add the funds back to their account, the money would be available instantly for playing.

In response, the DGE says that this type of practice is not consistent with the intent of the gambling operation rules. The group wants to see payments made in a timely manner without all the runaround. Players who request a withdrawal should have access to their funds as quickly as possible.

The DGE also stated that they want operators to understand clearly. If players are improperly incentivized or encouraged to change the status of a withdrawal, then they will subject to regulatory action. Civil penalties will be imposed.

Will we ever know which operators were found to be acting in this manner? It is unclear as to if the regulator will make the names public or if an operator might come out with details on the behavior. Either way, the DGE is not holding back any punches. Anyone who does not follow this protocol will face penalties. What that might be, remains unknown.

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Rebecca
Rebecca lives in Las Vegas and after completing her degree at Reynolds Journalism school joined the USGS team to pursue her journalism dreams.