News

ACMA hands gambling probe to Federal Police amid restrictions of investigative powers

Screen Shot 2015-06-24 at 11.16.49 AMAn investigation by the Australian Communications and Media Authority (ACMA) into two overseas-based betting firms has been handed to the Federal Police amid claims the companies are flouting local laws.

Mumbrella understands the ACMA has been forced to turn its investigation over to the AFP as a complaint the media watchdog received about Ladbrokes and William Hill involved content hosted in Australia.

Under its powers and under the provisions of the The Interactive Gambling Act 2001 (IGA) , the ACMA can only investigate gambling content that is hosted outside Australia.

Content hosted locally must not be investigated by the organisation and instead be referred to the police, if ACMA deems it necessary.

Although Ladbrokes and William Hill are UK-based, it has dedicated local websites and what is regarded as local content.

The issue surrounds the way the firms accept bets for sporting events which are already underway. The law restricts live gambling to bets made over the telephone.

But Ladbrokes, who entered the Australian market in 2013, and William Hill, who launched earlier this year, have sought to bypass the legislation by allowing live bets to be made online on condition the microphone on the customer’s computer is switched on.

A William Hill ad promoting click to call

A William Hill ad promoting click to call

Ladbrokes promotes its online betting system Quickcall, with William Hill branding the feature Click to Call. Both firms believe the system satisfies provisions of the IGA.  Both firms have been marketing the in-play betting tools through their their own channels as they look to attract new customers.

On its website, Ladbrokes provides a guide to using its Quickcall service and adds: “It is important to note you can only take advantage of the awesome QuickCall function at Ladbrokes after enabling your computer’s microphone in a few easy steps.”

William Hill also promotes its Click to Call product with the proviso that customers “must allow access to your microphone when prompted to place your bet”.

The ACMA confirmed that it received a complaint in May but added that it “does not advise publicly when it refers matters to the AFP”.

The two companies, which are believed to be the only two firms in Australia to attempt to circumvent the live betting laws, have been approached for comment by Mumbrella but had not responded at time of publication.

The ACMA says on its website: “If the complaint is about internet gambling content that is hosted in Australia, the ACMA must not investigate the complaint. Where the ACMA believes that such a complaint should be referred to an Australian police force, the ACMA will refer the matter to the Australian Federal Police (AFP).

“The ACMA may also refer a complaint about prohibited internet gambling content to the AFP where the ACMA believes that such a referral is appropriate (eg. the material is hosted in a country of interest to the AFP).

“If the complaint is about internet gambling content hosted outside Australia, the ACMA may investigate and if the content is found to be prohibited under the IGA, will notify the content to makers of the approved Family Friendly Filters listed in Schedule 1 to the Interactive Gambling Act industry code.

“The ACMA may also refer a complaint about prohibited internet gambling content to the AFP where the ACMA believes that such a referral is appropriate (eg. the material is hosted in a country of interest to the AFP).

“Regardless of the outcome, the ACMA will advise all people who lodge a complaint about the ACMA’s handling of the complaint.”

Steve Jones

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