Atlantic City, New Jersey – On April 1st, FanDuel found itself in an unusual situation as it offered bets on mixed martial arts fights that had taken place a week prior, on March 25. New Jersey gambling regulators imposed a $2,000 fine on FanDuel for this oversight, with the company paying out more than $230,000 to settle the bets resulting from the error. The state Division of Gaming Enforcement disclosed that FanDuel’s trading team manually established betting markets based on information obtained directly from the Professional Fighters League, without confirming that the matches were pre-recorded.
FanDuel, a prominent sports book, revealed that it accepted 34 bets on the supposedly live events, only to realize later that the fights had already occurred. The company stated that its data-feed providers did not notify them that the matches were not live. Subsequently, FanDuel received a notification from the International Betting Integrity Association revealing the mistake. Although FanDuel did payout the bets made on the matches, it did receive a $2,000 penalty.
Regarding this incident, New Jersey regulators required FanDuel to enhance its internal controls to prevent similar mishaps in the future. This event is not the first time a sports book in New Jersey mistakenly accepted bets on events that had already taken place. In a prior case in 2021, 86 bettors placed wagers on a British soccer game that had happened the day before. The bets were canceled, and fines were issued to the companies involved. These incidents highlight the importance of accurate reporting and ensuring that bets are placed on genuine live events to maintain the integrity of sports betting in New Jersey.