Australian online operator, Sportsbet, has been fined over A$10,000 ($7,100)for offering unlawful “inducements.”

Sportsbet, a Paddy Power Betfair subsidiary, was initially investigated by Liquor & Gaming New South Wales for enticing punters to get their friends to open gambling accounts.

The operator pleaded guilty and was fined A$10,000, also being ordered to pay over A$7,000 in legal costs for breaching the state’s gaming laws.

The advertisement, posted on sportsbet.com.au on 5 July, read: “Refer a friend – get a A$100 bonus bet for every friend you refer to join Sportsbet.com.au.”

Under new laws in New South Wales, any operator found guilty of promoting inducements to gamble can face fines of up to A$55,000.

A Sportsbet spokesman said: “Despite Sportsbet’s long standing of compliance with advertising legislation across Australia, we accept in this particular instance, we didn’t meet the required standard.”

Paddy Power Betfair has high hopes for Sportsbet, saying in its financial report for 2018: “Sportsbet’s scale, profitability and brand position gives us an ideal opportunity to win additional market share in a higher tax environment.”