NT Racing and Wagering Commission: ‘Useless – like a Chocolate Teapot’
In an expose by reputed investigative journalism program Four Corners, Australia’s Northern Territory Racing and Wagering Commission (NTRWC) has been accused of being an entirely ineffective regulator.
Among a litany of damning allegations, Four Corners paints a picture of a regulator that is under-resourced, conflicted and biased towards the operators it is supposed to regulate.
The Northern Territory is home to only 260,000 residents, or roughly 1% of Australia’s population. But despite its diminutive size and remoteness, it sits as the epicentre of Australia’s online gambling industry.
More than 40 bookmakers, including major international brands such as bet365, Ladbrokes, Unibet and Betfair base their Australian operations in the NT, accounting for nearly half of national online betting turnover. Low taxes and a long criticised ‘hands off’ approach to regulation adopted by the NTRWC make it the licensing jurisdiction of choice for most of the country’s major online sports betting operators.
Just how hand’s off has been laid bare.
NTRWC’s hands off approach.
It’s hard to believe, but the NTRWC has never cancelled or even suspended a bookmaker’s licence as the result of disciplinary action. This isn’t because all of its licensees are exceptionally well behaved.
A day doesn’t go by in Australia without an online bookmaker related tale of woe making the headlines. The offering of inducements to problem gamblers who have self-excluded is a common one. There are the regular cases of ‘investment advisors’ stealing millions from clients and losing it all with bookmakers who never question source of funds.
In a cited example, a young financial advisor stole his client’s funds and gambled it all with a handful of bookies, including BetEasy where he lost $3.6 million and Ladbrokes where he lost $750,000. A NTRWC investigation found both bookies had acted in breach of their license conditions and fined them only $78,000 and $80,000 respectively.
Incidents are numerous and complaints common, serious disciplinary action non-existent.
On the face of it, a lack of resources would appear one of the reasons for this. While the UK Gambling Commission has over 300 full time staff and dedicated investigation and compliance teams, the NTRWC doesn’t have a single full-time employee.
Sitting at the head of this modest organisation are six commissioners who meet once a month to discuss issues. An annual report was last published in 1993. All mail goes to a PO Box.
But more telling than a lack of resources, is a lack of will. A former director of Liquor, Gaming and Racing at Licensing NT was quoted selling the NTRWC as the industry’s regulator of choice at a punting conference.
“We’ve never cancelled a licence. We can, but we never have. We are unashamedly the racing and gambling jurisdiction and are open for business”
What conflict of interest?
Then there are the conflicts of interest.
Commission chair Alastair Shields has openly admitted accepting gifts and hospitality from bookmakers. He has a Sportsbet account and has had ownership shares in a number of racehorses.
Racehorse ownership is a pastime common to 6 of the last 10 commissioners, including former commissioner Amy Corcoran whose husband co-owned a horse with industry identity Matt Tripp. Tripp has been CEO of multiple NT-licensed betting firms including Sportsbet, BetEasy and Betr.
Corcoran quit her role as commissioner in 2024 to take up a position at online bookmaker Dabble (Darwin based and NT licensed).
Criticisms of the cosy relationship between regulator and regulated are continuing to mount. Calls for a national regulator of the industry are also growing.
Among those calling for an overhaul of the present situation is federal MP Andrew Wilkie who told Four Corners, ‘I’d liken the regulator up there to one of those so-called chocolate teapots. It’s useless.’
The Betoota take on Four Corners explosive investigation…
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In the face of mounting political pressure, NTRWC chair Alastair Shields has announced a temporary ban on commissioners accepting gifts from sports betting companies. The ban is supposed to stand until a formal code of conduct comes into place. Stringent regulation at its best 🙂