Massachusetts Gaming Commission to Pick Penalties

The infractions committed by MGM Springfield and Encore Boston Harbor involved letting patrons bet on in-state college games. Now the Massachusetts Gaming Commission must decide the punishment.

Massachusetts Gaming Commission to Pick Penalties

You break the rules, you pay the price. Figuring out the price falls on the Massachusetts Gaming Commission. The guilty parties are MGM Springfield and Encore Boston Harbor.

The rules promulgated by the Commission are clear enough. No betting on in-state college games except if involved in a tournament. But that did not stop the two casinos from accepting bets on Harvard and Boston College. The Commission expects to hold hearings to decide on appropriate penalties against MGM Springfield and Encore Boston Harbor.

The failures occurred during the first month of in-person betting.

At MGM Springfield, more than $1,200 was bet on a pair of Harvard games in February. The slip-up was caused when the university was listed as out-of-state, investigators determined, specifically in Connecticut, MGC Senior Enforcement Counsel Kathleen Kramer previously said. Confusing Harvard with Yale probably won’t sit right with either school.

BetMGM has since corrected the breach. “In addition, BetMGM has reviewed and verified that all Massachusetts collegiate sports are properly restricted,” Kramer told Yogonet Gaming News.

As another layer of protection, BetMGM expects to launch a daily audit of all offered wagers “to confirm there are no restrictions before opening the sportsbook or offerings for the day,” Kramer said.

Encore permitted customers to bet on a Boston College women’s basketball game at the end of February, according to the commission.

The backend system operated by GAN, a sports betting vendor hired to manage the listings of events open to bettors, said Commission Sports Betting Director Bruce Band. Customers also bet $70 on another Boston College women’s basketball game in early February.

A third-party provider that helps run in-person sports betting at the casino said the $70 wager was placed because officials uploaded the list of events days before a list of approved betting events days before wagering went live. Still to be determined is the penalty for each casino.

In other Commission news, the agency denied a DraftKings request to offer wagering for the Boston Marathon.

The timing and the idea didn’t sit well with the Boston Athletic Association (BAA), the organizer of the 127-year-old race. The association said there was not enough time to coordinate the protocols, security and concerns over the interference with the outcome of the race. That was enough to sway a denial from all four members of the commission April 6.

“At this moment, there is not sufficient time for the Boston Athletic Association, nor its many partners and agencies, to coordinate and fully ensure proper protocols are in place to support such a proposal for wagering on our event,” said Scott Stover, chief marketing officer for the BAA, as reported by the Associated Press.

The commissioners also derided the lack of communication between the BAA and DraftKings.

“I’m going to respect this local organization’s request to be included in the process that could potentially allow wagering on their event, and for that reason, I also respect that they don’t think they can work out any issues in 12 days, and that seems reasonable,” Commissioner Jordan Maynard said.

DraftKings proposition would not open betting up to all 30,000 runners, but only the elite runners in men and women’s competition.

“We respect the decision made by the Massachusetts Gaming Commission and look forward to our continued work with them,” DraftKings said in a statement.

The BAA added, “With 11 days to go…our focus remains on creating the best event experience for our participants, volunteers, spectators, and community members.”

The Commission may have shut down betting on the Boston Marathon, but they are thinking about adding kiosks in bowling alleys, restaurants, bars and wherever. Other states do that. Connecticut, Delaware and Kansas, have authorized kiosks to those venues.

Why not in Massachusetts? More ways to make money. But first, the commission will bring in a private consultant for a feasibility study on the impact of said kiosks, according to The Eagle-Tribune. The study will examine the “economic impact of the existing sports wagering market on retail establishments that serve alcoholic beverages for on premises consumption, such as restaurants and bars.”

“Sports betting kiosks can deliver expanded and more convenient access,” the five-member commission said in a letter to lawmakers outlining the plans. “Sports betting Kiosks can accept cash, winning tickets, and vouchers, and grant full access to all sports propositions and pari-mutuel horse racing.”

No need to visit a casino betting window or wager on your phone. Bet while waiting for dessert or having a bottle of light Michelob.

Critics say only allowing kiosks at three casinos puts Massachusetts in a competitive disadvantage as the multimillion dollar industry takes shape.

“For comparison, Ohio, which launched sports betting January 1, now has 866 sports betting kiosks,” PlayMA, an industry affiliated website, noted in a recent post. “The Buckeye State has the country’s most extensive kiosk presence, dispatching the machines at sports bars, bowling alleys and gas stations across the state.”

Casinos in Massachusetts combine to carry 156 kiosks, more than half at Encore. Beacon Hill leaders estimate the state stands to get about $60 million a year in revenue from bets, in addition to upward of $80 million in licensing fees from operators.

Critics argue adding kiosks adds more problem gambling.