Latest Fallout from Fantasy Sports Debacle

Fantasy 2The dominoes keep tumbling for the Fantasy Sports industry, after a DraftKings employee used “inside information” to win over $300,000 in one week. Investigations have been initiated by the FBI and Federal Trade Commission, plus Nevada has issued a Cease and Desist for DFS operators in the state. Now, here’s the latest:

The American Gaming Association Chimes in:

On the topic of daily fantasy sports, the AGA Board of Directors also made clear that the industry seeks legal clarity and adequate consumer protections. Further, if daily fantasy sports is a legal activity, the casino gaming industry should have the opportunity to participate and partner with daily fantasy sports providers. (More)

 

Florida legislation filed to regulate daily fantasy sports websites

State Sen. Joe Negron and Rep. Matt Gaetz filed new draft legislation Tuesday that would put restrictions on daily fantasy sports websites such as DraftKings, FanDuel, and others operating in the state.

According to the bill’s language, game operators must register with the Department of Agriculture and Consumer Services and pay related fees. The state would also require them to “implement certain procedures” that would prevent certain people from playing fantasy games, as well as restrict some information from being shared with third parties. In addition, the bill would make fantasy draft websites provide age verification for its players. (More)

 

New York Attorney General declares DFS illegal gambling

New York Attorney General Eric Schneiderman has declared that daily fantasy sports (DFS) constitute illegal gambling and has ordered DraftKings and FanDuel to stop taking bets from consumers in the US state. (More)

 

New Massachusetts Lottery executive director considers DFS

Michael Sweeney, the new executive director of the Massachusetts Lottery, has confirmed that the organisation will consider legalising fantasy sports betting in the US state in an effort to generate additional revenue. Sweeney has been named executive director on a full-time basis having served in the role in the interim since July of this year, following the exit of predecessor Beth Bresnahan. (More)

Related Stories from This Week in Gambling:

  • Fantasy Sports Pay $12 Million for “Deceptive Ads” in New York The country’s two leading online daily fantasy sports companies are paying out big — in fines to the state. FanDuel and DraftKings on Tuesday agreed to pay $6 million each to settle lawsuits from Attorney General Eric Schneiderman alleging they engaged in false and deceptive advertising […]
  • ESPN Inks Deal with DraftKings DraftKings has agreed a deal to become the official daily fantasy sports offering across all platforms operated by US sports broadcaster and Disney subsidiary ESPN. Under the agreement, the terms of which were not disclosed, both companies will benefit from branding and promotional […]
  • Pending Fantasy Sports Merger Begs Question Now that the two largest online daily fantasy sports sites are back in the news—nearing a deal to merge into a company drawing $100 million in revenue, according to the Wall Street Journal—it’s a good time to answer a nasty, nagging question: Are these sites legal? Because the […]