New Jersey fines DraftKings for self-exclusion, ‘cooling off’ failures

Daily fantasy sports cum sports betting / online casino operator DraftKings has been fined by New Jersey regulators for violating rules on protecting self-excluded gamblers.

The New Jersey Division of Gaming Enforcement (DGE) recently published details of two regulatory actions taken against DraftKings, which offers daily fantasy sports, sports betting and online casino products in the state.

In the first action on June 6, the DGE imposed the maximum $2k civil penalty against DraftKings for sending promotional emails and direct mailings to an undisclosed number of individuals who’d signed a gambling self-exclusion registry. The DGE said it informed DraftKings of its regulatory violation on April 12, and that DraftKings had agreed to the penalty on May 1.

In the second action, the DGE imposed a civil penalty of $5k and ordered DraftKings to ‘disgorge’ an additional $3,277.36 that the company won from customers who’d gambled with the site despite having requested a ‘cooling off’ status be placed on their accounts, which should have prevented them from gambling for a designated period.