Crown Denies Machine Manipulation Allegations

After a fourth whistleblower claimed to have been instructed to manipulate machines because players had been winning too much, Crown Casino in Melbourne (l.) fights allegations of machine tampering.

Claims of a former employee at Crown Casino in Melbourne, Australia in an ABC News report that he was instructed to alter slot machines to boost profits has added fuel to an investigation of the casino by Victoria’s Commission for Gambling and Liquor Regulation (VCGLR).

In October, three former Crown employees alleged that they had been instructed to manipulate machines to avoid federal anti-money laundering rules, a claim Crown vehemently denied—going as far as taking out newspaper ads to reject the claims. The claims triggered an ongoing investigation by the VCGLR.

The ABC News report presented the claims of a fourth whistleblower as additional evidence of illegal manipulation by the casino, but in reality, the former employee had reported an activity that is routine, and quite legal, across the industry—he was instructed to deactivate the “gamble” feature on certain slot machines after casino win dropped.

The gamble feature is a double-or-nothing option offered after a win on some slots. It is a 50-50 proposition, typically a high-card selection. It is a proposition the casino is free to offer or remove.

One of the allegations by the original three whistleblowers referred to the casino manipulating betting options to require a minimum wager that covers all the paylines—another widespread practice that is perfectly legal. Other allegations are that the casino raised the hold rate on machines over weekends to boost revenue—an option not possible on single-program slot machines.

A parliamentary inquiry is a possible next step. Parliament tabled the original complaints in October. A VCGLR spokesman declined comment to ABC, citing the ongoing investigation.