FanDuel was fined $2,000 and required to pay over $230,000 in wagers after mistakenly accepting bets on pre-recorded PFL fights due to a data-feed error, leading New Jersey gambling regulators to mandate updates to the company’s internal controls.
FanDuel got slapped with a $2,000 fine and had to shell out over $230,000 in wagers. Why? They accepted 34 bets on PFL fights that actually took place a week earlier.
This mess happened back in 2022. FanDuel took bets on PFL fights scheduled for April 1, but those fights had already gone down on March 25.
The event was part of the PFL Challengers series. It aired on tape delay on Fubo TV.
New Jersey gambling regulators handed down the fine. FanDuel agreed to pay it but didn’t say a word about the penalty.
On Monday, a letter from the New Jersey Division of Gaming Enforcement went public. It revealed that FanDuel claimed they weren’t notified by their data-feed providers about the pre-recorded nature of the PFL card.
So, what did FanDuel do? They created manual betting markets based on info from PFL. Oops.
“FanDuel confirmed that its traders failed to confirm with PFL that the event had previously occurred and was being presented via a tape delay,” wrote New Jersey Deputy Attorney General Gina DeAnnuntis in the letter.
FanDuel told the state they took 26 online wagers and eight retail bets on those PFL fights. They only found out about the pre-recording when International Betting Integrity flagged it as suspicious behavior.
In the end, FanDuel had to pay out $231,094 in wagers. The state also required them to update their internal controls to prevent this kind of blunder from happening again.