Key points:
- Tab penalised AU$4m (US$2.67m) for breaching the Spam Act
- Over 5,700 unlawful messages sent without unsubscribe options or consent
- First time spam breaches identified within a gambling VIP programme
Tabcorp Holdings Limited (Tab) has been fined AU$4,003,270 after Australia’s communications watchdog found the operator in breach of spam laws for its VIP gambling promotions.
An investigation by the Australian Communications and Media Authority (ACMA) revealed that between February and May this year, Tab sent more than 5,700 SMS and WhatsApp messages to VIP members without appropriate consent, clear sender information or unsubscribe links.
The probe uncovered 2,598 messages sent without an opt-out mechanism, 3,148 that lacked adequate sender identification, and 11 sent without prior consent.
Samantha Yorke, an ACMA Authority Member, said the violations were particularly troubling because they involved a large gambling company targeting a vulnerable customer segment. “It is utterly unacceptable that TAB did not have adequate spam compliance systems in place,” she said.
Ms Yorke also pointed out that VIP status in gambling does not necessarily mean financial stability. “These programmes may include customers who are incurring serious losses,” she added.
Good to know: This marks the first time the ACMA has penalised a gambling company over spam-related misconduct in its VIP programme, which typically involves tailored incentives like bonus bets and event access
Under the Spam Act 2003, all marketing communications must be sent with user consent and include clear sender information and a functional unsubscribe option.
In response, Tab has agreed to a three-year court-enforceable undertaking that involves external reviews, regular audits, improved internal systems and staff training. The ACMA stated it will closely monitor TAB’s compliance moving forward.
More than AU$16.9m in penalties have been issued for spam violations over the past 18 months, with the regulator reaffirming its focus on direct marketing and gambling harm prevention.
Last month, Australian regulator AUSTRAC instructed The Ville Resort-Casino and Mindil Beach Casino Resort to appoint external auditors to assess their AML/CTF compliance.
