Last updated: August 14, 2024
DraftKings has been fined $100,000 by New Jersey’s Division of Gaming Enforcement for sending inaccurate sports betting data to the state. The errors led to incorrect tax filings and regulatory corrections, highlighting concerns over compliance in the gaming industry.
Indeed, DraftKings was fined $100,000 by the New Jersey Division of Gaming Enforcement for giving the latter false information on the business of sports betting.
According to a BusinessWeek article, due to the aforementioned errors, regulators were compelled to reset several months’ worth of financial data and repost them.
One of the mistakes was “underestimation of other types of bets and over-estimation of the total sum of money wagered on multiple outcomes bets – parlays.”
Due to the wrong information, Resorts Digital, the online branch of Resorts Casino, filled out crooked sports betting tax returns in December 2023 and January and February 2024.
Mary Jo Flaherty, the Acting Director of the state Division of Gaming Enforcement in New Jersey, pointed out that mistakes and failures of such magnitude are inadmissible in New Jersey’s gaming structure when replying to DraftKings’.
According to DraftKings’ reports of the Q1 2024 financial period released recently, the firm recorded $1. Worldwide, Coca-Cola made 18 billion dollars in revenue, which was 53 percent higher than the previous year, and a net profit of 138 dollars. Operating losses, before tax and excluding exceptional items, £8m.
Although it is lower by more than $200 million compared to the operating loss of $389.8 million in the previous quarter, it qualifies as an unprofitable quarter. In March of this year, PointsBet is recorded to have performed better than DraftKings and settled for second place after FanDuel in New Jersey.
By now, New Jersey’s Division of Gaming Enforcement (DGE) has taken recent legal action against DraftKings; thus, they have provided Gambling Insider with their statement.
The company stressed that it permanently adhered to legal requirements and thanked the DGE for its cooperation. DraftKings agreed that there was a mistake in submitting the breakdown of the wagering mix to the state and said the problem had been fixed.
