UPDATE: A New Jersey Division of Gaming Enforcement representative reported bet365 has paid out the necessary funds to all active accounts that placed the original bets.
The New Jersey Division of Gaming Enforcement is requiring pay out more than $519,000 to 199 New Jersey sports betting customers after it was found the sports betting operator revised odds to already concluded bets due that were placed with obvious errors.
The New Jersey Division of Gaming Enforcement (DGE) sent a to bet365 on July 22, 2024, asking the payouts occur within 10 days of its receipt. The DGE today published its course of action on its official .
Bet365 reportedly accepted bets on what they claimed were incorrect odds for 13 sporting events in from December 2020 through November 2022.
Bet365 Required to Honor Original Bets
New Jersey stands out as one of the few states in the country that typically requires operators to honor all bets taken at any odds, even if they re offered with obvious errors. In Nov. 2023, the DGE denied a DraftKings to void 215 winning bets on an incorrect total advertised for an October NBA game, requiring the operator pay them out in full.
Most other state gaming regulators will allow operators to void bets that are offered with obvious errors.
During a routine audit conducted by the DGE in April 2022, it was determined that bet365 unilaterally revised odds for a significant number of wagers over an extended period of time without division approval. The DGE ordered bet365 pay out a total of $519,323.32 to 199 user accounts.
In the vast majority of incidents, the winning bets had already been paid out to New Jersey customers.
The incorrect odds were offered for 13 sporting events from December 2020 through November 2022. The event with the highest amount of bets taken was a Nov. 17, 2021, NCAA basketball game between BYU and Oregon. The operator accepted 63 bets from 18 customers, of which 59 bets won. The operator revised the odds for all winning wagers on the event after being paid out.
The rest of the bets and incorrect markets can be viewed .
Even though bet365 s approved New Jersey house rules state the operator is allowed to revise odds for an event if posted with an obvious error, the DGE says it can only do so with its approval first.
bet365 failed, in all instances, to recognize that although bet365 s House Rules were approved by the Division, it was with an express statement and caveat that bet365 was prohibited from voiding any wager without prior Division approval, as is the standard course in Division approval of House Rules and as set forth in Division regulation N.J.A.C. 13:69N-1.11(d), DGE Interim Director Mary Jo Flaherty wrote in a to bet365.
According to the DGE, bet365 s internal software failed, and coupled with its manual trading errors, caused its system to be unable to ensure the accuracy of its data.
Flaherty described the operator s actions as both problematic and unacceptable.
These failures are both problematic as to bet365 s business ability to conduct online gaming and the integrity and reliability of its operational systems and, therefore, unacceptable as they resulted in misleading wagering information that was relied upon by its patrons and ultimately lead to incorrect payouts for numerous patrons, Flaherty wrote.
A request for comment from bet365 was not returned. Sports Betting Dime will update the story if bet365 comments on the matter.
Not First New Jersey Incident
Bet365 was involved in a similar incident in the Garden State in April 2023. According to the DGE, bet365 accepted 101 bets from 47 New Jersey customers on an NBA game between the New York Knicks and Cleveland Cavaliers. The operator claimed they offered the event with incorrect odds.
The DGE reported that bet365 again failed to comply with NJAC 13:69D-2.3 and NJAC 13:69N-1.9(q). Seven of the 101 bets were winners on player specific prop markets, which the operator initially refused to pay out at the originally posted odds.
However, the operator later confirmed that it paid the seven winning wagers a total of $13,776.25 based on the originally posted odds.
