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Gaming regulators hit internet companies with $150K in fines in November

Gaming regulators hit internet companies with $150K in fines in November


ATLANTIC CITY — State gaming regulators doled out more than $150,000 in fines to multiple gaming companies last month for infractions ranging from offering unapproved internet games to losing data.

The state Division of Gaming Enforcement imposed civil actions against SG Digital, PokerStars, iGaming Cloud, GAN and William Hill Sports Book for violations ranging from $1,000 to $100,000.

SG Digital — a combination of NYX Digital Gaming (USA), LLC and NYX Digital Gaming (Americas), LLC — was fined a total of $110,000 by the DGE for separate complaints. The company offers online gaming through partnerships with Caesars Interactive Entertainment New Jersey, Golden Nugget Atlantic City and Resorts Digital Gaming. SG Digital also offers online games to all Atlantic City casinos via their platform providers.

The first complaint, resulting in a $100,000 fine, was filed in August. The complaint alleged that SG Digital deployed versions of three internet games that “were not the versions tested and approved” by state regulators. By law, gaming software must be identical to what was tested and approved by the division. Furthermore, regulators must be notified of any changes to software at least three days in advance.

The three games, deployed on Jan. 29 and available from every casino online platform, were Zeus III, Epic Monopoly II and 88 Fortunes. The unapproved launches were discovered by SG Digital in March during an internal audit, according to the complaint,

SG Digital was fined another $10,000 from a complaint filed in October for “multiple regulatory violations,” that included failing to provide information, documentation or assurances pertaining to qualifications to regulators.

William Hill Sports Book, which operates facilities at Ocean Casino Resort and Tropicana Atlantic City, as well as Monmouth Park Racetrack, was assessed a civil penalty of $26,500 for allowing 16 “self-excluded patrons to wager online,” according to the August complaint.

PokerStars, under a partnership with Resorts Digital, was fined $5,000 after it failed to permanently record poker hand history data for 202 patrons for approximately two hours on April 30, the September complaint alleged. The data could not be recovered and resulted in a reporting variance of $988.24. PokerStars self-reported the incident to gaming regulators.

iGaming Cloud was fined $11,000 from three individual complaints. The company was fined $2,000 for deploying an unapproved game version and failing to generate either a patron account summary and wagering summary reports for Hard Rock Hotel & Casino Atlantic City on one day. Another $2,000 fine was assessed against iGaming Cloud for not being able to recover slot tournament data after a system crash and for subsequently fixing the system error without notifying regulators.

For allowing self-excluded players to create online accounts and wager, iGaming Cloud was fined $7,000.

GAN agreed to a settlement of $1,000 for failing to ensure adequate website performance, according to a Nov. 16 order signed by the DGE director.

Contact: 609-272-7222

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Staff Writer

I cover Atlantic City government and the casino industry since joining The Press in early 2018. I formerly worked as a politics & government reporter for NJ Herald and received the First Amendment: Art Weissman Memorial NJPA Award two years in a row.

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