On Sept. 13, 2021, the Nevada Gaming Control Board (NGCB) lodged a complaint against Station Casinos for accepting illegal bets.
The Nevada Gaming Control Board (NGCB) has accused Red Rock Casinos, also known as Station Casinos, of accepting almost 350 bets over a period of approximately three years on events for which the outcomes were already known to customers. The NGCB complaint specifies that there were 348 such illegal bets placed between May 31, 2018, and May 19, 2021.
The board indicates that Station Casinos received money for inappropriate bets in June 2018, January 2019, and March 2019.
Around June 1, 2018, the sportsbook accepted 35 bets on five events after the results were already known. Then, approximately on Jan. 9, 2019, an additional 116 bets were placed on events whose outcomes had already been determined. Finally, near March 7, 2019, Station Casinos accepted 30 more bets on three events after they had already concluded.
Station Casinos received this complaint following multiple warning letters from the NCGB. The gaming commission has not yet determined a fine or any other punitive measures in relation to this complaint. The repercussions could range from monetary penalties to severe actions such as suspension or revocation of Station Casinos’ gaming license.
Station Casinos accepted sports bets due to computer errors
These incorrect bets occurred over a span of three years. It seems that computer glitches associated with Stadium Live software were responsible on each occasion. This software is utilized in the casino sportsbooks and the STN Sports mobile application.
The complaint filed by the NGCB alleges that Station Casinos had full knowledge of previous computer errors linked to the Stadium Live program. The casino operator attributes the multitude of computer glitches to “insufficient server memory”. Surprisingly, these issues persisted recurrently over a span of three years, including the current year.
Station Casinos reported a glitch in their Stadium Live software on March 18th earlier this year. This malfunction led the sportsbook operator to inadvertently accept approximately 167 inappropriate bets. The company promptly responded by refunding and cancelling these bets.
The complaint from NGCB suggests that an employee from Station Casinos stated that these computer errors were “completely avoidable.”
The complaint from the NGCB states that “frequent breaches can lead to license revocation or other disciplinary actions.” The decision on the penalty lies with the Nevada Gaming Commission (NGC).
A precedent set by CG Technology?
A major sportsbook error of this magnitude hasn’t attracted complaints for several years. Back in 2018, CG Technology, which was bought by William Hill and is now under the ownership of Caesars, was slapped with a substantial $2 million penalty for infringements committed in 2016 and 2017.
CG Technology was fined $1.75 million and additionally donated $250,000 to the Nevada Council on Problem Gaming. The fine was not only due to accepting bets after the respective events had occurred but also due to accepting wagers from out-of-state and making incorrect payouts to bettors.
Before 2018, CG Technology was fined two more times. Back in 2014, when it was known as Cantor Gaming, the company had to pay a hefty fine of $5.5 million for several infringements, one of which was employing an individual who was involved in a nationwide illegal betting racket.
The NGC may consider the fine imposed on the company for technology issues in 2016 as a suitable penalty for Station Casinos.
The NGC has not yet scheduled a date to hear Staton Casinos’ perspective. Keep an eye out for updates.