April 13, 2024

Two betting companies are in hot water for displaying ads during a test cricket match

The New Zealand vs Australia cricket match in Wellington was one to remember. But it was not all about sports. Responsible gambling, top NZ online casinos, and minimum bet sportsbooks became a focus after virtual billboards and banners for two offshore betting companies came under the spotlight.

Foxtel, an Australian pay TV broadcaster could be in hot water as the country’s federal communications watchdog scrutinizes whether it broke strict gambling laws by airing ads for illegal betting recently. According to ABC News reporter, Pat McGrath, the breach occurred during the recent Australia vs. New Zealand cricket match in Wellington, when viewers on Fox Sports and Kayo’s coverage spotted the virtual billboards and banners.

One was a billboard for Parimatch, a Cyprus-based online casino previously blocked by the Australian Communications and Media Authority (ACMA) in 2022. Parimatch was ruled to be illegally offering gambling to Australians.

The broadcast also displayed electronic barrier ads for 1xBat, a website that acts as a gateway to the Curacao-based bookmaker 1xBet. Like Parimatch, 1xBet is blocked in Australia following an ACMA ruling in 2018. It’s not the first time that 1xBat has been in the news either. Recently, The Guardian newspaper in Britain revealed that Cricket Australia faces trouble with the Pakistani Ministry of Information allegedly for promoting 1xBat (and thus its link to banned gambling site 1xBet) during a test match against Pakistan.

For clarity, it’s illegal for any company to advertise gambling services from unlicensed or offshore sites in Australia. The advertisements do not meet the criteria or federal rules for responsible gambling.

But, Foxtel’s position is that the virtual ads were provided by New Zealand Cricket (NZC), in the live feed available to broadcasters outside New Zealand. So, who’s taking responsibility?

When it comes to top NZ online casinos and NZ low-deposit casinos, there is a fine line between regulated and unregulated.

National Regulator examining the matter

The first priority in this situation is deciphering what happened, and who is to blame – and that burden falls to the Australian Communications and Media Authority, or ACMA. The ACMA is the authority that regulates communication and media services in Australia. Advertising online gaming is a complex issue, regulated by the Interactive Gaming Act (IGA). All Australian territories take a hard line on illegal offshore betting sites, with a complete ban on companies offering these services to Aussies. Website blocking is one of the enforcement options that ACMA might use to protect people.

While alerted to the Foxtel breach by the ABC, the media watchdog hasn’t decided on a full investigation yet. They’re looking into whether Foxtel unintentionally aired the illegal ads and noted that there is an exception to the rules, where the broadcaster didn’t financially benefit from them.

As mentioned, Foxtel has denied responsibility for the gambling ads, claiming New Zealand Cricket (NZC) handled all virtual advertisements during the match.

Therefore, is Foxtel ‘piggy in the middle’ between NZC and a possible ACMA investigation? Let’s look at what the parties are saying.

Reaction to Gambling adverts

The Foxtel Group is absolving itself by stating the virtual ads appeared in the live match feed from New Zealand Cricket (NZC). It also noted that the game occurred on NZ soil. A spokesperson for the pay-TV network has also commented, stressing that Fox Sports Australia has no say in producing the live feed or editing the virtual ads embedded within it. Foxtel maintains they didn’t financially benefit from the ads and believes their broadcast followed the law.

Meanwhile, Kiwis might be caught on the offside with the New Zealand Department of Internal Affairs jumping into the fray. It’s now investigating the ads as well, to determine whether they violated their local laws on promoting overseas gambling. A spokesperson for the NZ government department clarified the law, explaining that publishing or arranging overseas gambling ads in New Zealand is also illegal. This includes displaying, or arranging the display of, such ads at sporting events within the country – even if the gambling operator itself is located outside of New Zealand.

However, the Parimatch ad was only visible to Australian viewers, not those in New Zealand. This presents a rather interesting question: Is there a possibility that ‘ruling’ or finding by the two governing bodies will fall into a grey area ‘between’ the nations?

To start with, let’s go back to who placed the ads in the first place. For its part, New Zealand Cricket says it negotiated the ad deal with a third-party rights agency in India. It claims it was only alerted to the connection between 1xBat and the controversial bookmaker 1xBet after receiving a heads-up from Cricket Australia.

Cricket Australia had also signed an advertising deal with 1xBat to superimpose the logo virtually during an international broadcast of the Boxing Day test match to Pakistani audiences. The cricket body reportedly cancelled the deal following concerns by Pakistani authorities about 1xBat’s link to 1xBet. Cricket Australia apparently believed 1xBat was a clothing company and didn’t initially know about the ‘parent’ brand 1xBet.

Meanwhile, NZC has remained tight-lipped about why this discrepancy occurred and how the advertising bypassed NZ audiences, yet was shown to Australian viewers. It also claims to be reviewing its position and is talking with Fox Sports ahead of subsequent test broadcasts.

This confronting issue highlights the importance of having safe, trusted figures in the responsible gaming space for Australia and New Zealand. Following legal terms, protecting gamers, and presenting other options out there, like NZ online casinos or minimum deposit casinos, has never been more important. As we continue to peel back this situation, let’s first take a closer look at who the major players are in this story.

Background on the 2 betting companies

Parimatch and 1xBet have not commented on this matter. Despite being blocked by ACMA in 2022, Australians can still access the international sports betting company Parimatch through a ‘mirror site’, a replica with a slightly different web address. This tactic is a common trick for minimum bet sportsbooks and illegal gambling operators after being blocked, according to an ACMA spokesperson.

The mirror site itself is designed to be eye-catching, featuring a neon illustration of a face familiar to most Australians, Paul Hogan’s Crocodile Dundee. It entices users with a variety of online casino options like pokies, virtual blackjack, and roulette. The site falsely claims to be licensed in all Australian states under a Curacao authority. This means it’s highly likely Australians unfamiliar with the law might assume they’re allowed to place ‘legal’ bets on Parimatch’s online platform.

1xBet is a Curacao-registered company, which previously sponsored major English Premier League clubs like Chelsea and Liverpool, but lost its UK license and all sponsorship deals after the media there exposed its involvement in questionable practices. These included offering bets on children’s sports, cockfighting, and even topless casinos. It uses ‘surrogates’ like 1xBat, often sold through advertising agencies, to get around international gaming advertising restrictions.

In Australia, 1xBet has been banned since 2018, following an investigation by ACMA that deemed it an illegal gambling service. However, users can still potentially access the site through virtual private networks (VPNs) that fudge their location.

Curacao, a small Caribbean nation, is a common licensing choice for many international gambling companies, including Parimatch and 1xBet. However, this license holds no weight in Australia. Both sites are also reputed to have links to Russian gaming.

According to experts, including a sports management researcher at Deakin University, the controversy around offshore gambling advertising isn’t just a problem for Foxtel. The issue continues to be amplified as news bulletins and other broadcasters play highlights featuring illegal gambling ads to their audiences. Plus, as sports fans watch longer matches like one-day tests, it exposes them to more risk of seeing unwanted and unlawful ads for unlicensed companies.

It appears sports broadcasters and governing bodies are caught in the crossfire as offshore gambling advertisements creep surreptitiously onto viewers’ screens. But, the Deakin University expert insists a solution exists. Since the ads are digitally inserted, he suggests exploring ways to remove them from highlight packages altogether.

Now is the time when it is so essential to lean on trusted, researched gaming advisors to help lead gaming enthusiasts towards licensed, safe sites available in Australia and New Zealand.