DraftKings marketing deal with Illinois VGT operator turns sour

Illinois gambling regulators want to impose a $5m penalty against video gaming terminal (VGT) operator Accel Entertainment for violating state regulations in the firm’s now-scrapped deal with sports betting operator DraftKings. 

On Friday, the Illinois Gaming Board (IGB) filed a complaint for disciplinary action against Accel, which operates a VGT network spanning some 2,335 locations – restaurants, bars, truck stops, etc. – across the state. 

The IGB accuses Accel of “offering and providing payments and other things of value to licensed video gaming establishments as illegal inducements or incentives to locate, keep or maintain” Accel’s VGTs. The IGB says Accel is guilty of violating the Video Gaming Act and the IGB’s Adopted Rules for Video Gaming, for which the IGB seeks a penalty of $5m. 

Accel struck a deal with DraftKings in August to promote the latter firm’s new Illinois betting app to VGT customers. The promos were to air via Accel’s VGT screens, with DraftKings paying Accel $200 for each ‘qualified’ new bettor who signed up and met certain wagering benchmarks.