Weekend Report: Addabbo sounds off about NYC casino process, DraftKings stymied in court, Aristocrat’s new UK deal

Frustration continues over NYC casino bid process

New York Senator Joe Addabbo continues to push for and vent his frustration about the status of three downstate NYC casino licences. Per Action Network, Addabbo was vocal during the Racing and Gaming Conference at Saratoga, NY earlier this month. 

“Why not codify the timelines? Why not give definitive answers to why we’re not doing this on a timely basis when we did three licences upstate in a fraction of time?” Addabbo asked during a conference panel. “Because we’ll have this same panel here five years from now.”

At issue is the timing of awarding three casino licences. Eleven entities are bidding for the licences, which are currently scheduled to be awarded in the middle of 2025. Casinos would be able to open as early as early 2026. Tax revenue from the casinos is earmarked for the city’s Metropolitan Transportation Authority. 

Governor Kathy Hochul in 2022 signed a casino bill Addabbo co-sponsored into law. But since then, the process has become convoluted, and the timeline has slowed down. While the state’s gambling commission will ultimately issue licences, bidders must get approval at the local level first. In some cases, bidders need a variance to get land for proposed projects rezoned. 

Addabbo is flummoxed about the slow timeline and, he says, leaving tax dollars on the table. But he also said the why behind the delays is not a question he can answer.

“It’s a question we should not be asking of this panel, but of the governor,” Addabbo said.

MA court denies DraftKings’ motion to dismiss

A Massachusetts court last week denied DraftKings’ motion to dismiss a lawsuit involving a $1,000 new-customer promotion, MassLive reported Friday. The Public Health Advocacy Institute (PHAI) at Northeastern University School of Law in Boston and the school’s Center for Public Health Litigation filed the suit 8 December 2023. The groups claim the promotion is “unfair and deceptive.”

The plaintiffs claim that the details of the promotion were not clear in the offer. Customers were required to deposit $5,000 (€4,475/£3,786) and bet between $15,000-$20,000 on certain bets in order to get the bonus bets. The plaintiffs also say they did not understand that the bonus bets would be paid out in DraftKings credit rather than cash. The case will move forward, and the next court date is 10 December.

Aristocrat made a new deal in the UK

Aristocrat’s new iGaming White-Label division late last week entered into an agreement with Vickers.bet. Under the terms of the deal, Aristocrat Interactive’s suite of iGaming and sports content and technology will be available on the Vickers.bet platform. This includes access to online casino games and international horse racing.

The deal is the first in the UK since Aristocrat rolled out its White-Label division.

“This partnership highlights part of our strategy to expand Aristocrat Interactive’s footprint in the UK market at a time when many B2B providers have faced challenges,” Aristocrat vice president Freddie Bowring said via press release.

Nix sentencing hearing postponed again

The sentencing hearing for admitted Southern California illegal bookmaker Wayne Nix has been postponed again. Initially set for March, Nix’s sentencing was set for 25 September, but the US Attorney’s office last week told iGB that it has been delayed. Certain documents in the Nix case are under seal, and a new date has not been released. Nix previously pled guilty to multiple federal charges earlier this year.

Former MGM Grand and Resorts World president Scott Sibella was the first person sentenced in the betting scandal. Sibella in May pleaded guilty to failing to file a suspicious activity report on funds Nix used to gamble at the MGM Grand. Sibella was sentenced to one year of probation and fined. 

Philippine authorities bust gambling scam

Agence Press France reported over the weekend that Phillipine authorities arrested Filinpinos and 67 foreign nationals at a “scam centre” that was operating as an online gambling company. Filipino workers said they were forced to “work as scammers.”

The bust happened just weeks after president Ferdinand Marcos, Jr. banned offshore online gambling operators. The Philippines have been in the news not only for the proposed ban, but because a Chinese citizen allegedly infiltrated the Filiipino government as the mayor of the Bamban municipality. Alice Guo in late July failed to appear at a hearing about crime in offshore gambling. 

IGT partners with Portugal lottery

IGT announced last Thursday (22 August) that it made a deal with the Portugal lottery to provide instant-ticket printing and other services. The three-year deal is through IGT’s subsidiary, Global Solutions Corporation. Portugal’s lottery, anta Casa da Misericórdia de Lisboa, held a competitive bid process for the contract.