An independent audit conducted by Gaming Labs International on BetMGM’s sports betting operations in Massachusetts has uncovered several compliance issues. The state gambling regulator’s Investigations and Enforcement Bureau disclosed some of the initial findings of the probe, revealing that the operator had accepted banned prop bets on college football and basketball games, as well as improper wagers on sports leagues in Belarus and unsanctioned Glory Kickboxing events. An adjudicatory hearing will be held in the future for BetMGM to address these issues.
The audit was initiated following previous compliance concerns raised about BetMGM. In February, a report from someone within the sports betting division of the Massachusetts Gaming Commission (MGC) indicated that BetMGM had accepted over 15,000 prohibited prop bets on college football players, totaling over $200,000 in handle. In response to these incidents, BetMGM enlisted Gaming Labs International to conduct a more thorough examination of its operations, leading to the recent findings from the ongoing investigation. While the MGC has not yet taken any action regarding BetMGM’s compliance issues, the company could potentially face fines and other penalties following the adjudicatory hearing.
Despite these challenges, BetMGM remains the third-largest sportsbook in Massachusetts, with a gross gaming revenue of $7.7 million in the second quarter of 2024. The outcome of the adjudicatory hearing will likely have significant implications for the operator’s future operations in the state.