Gambling chiefs face inquiry over launch of ‘crack’ games
THE bosses of two major betting firms were facing investigation last night after MPs accused them of cynically bypassing ‘ crack cocaine’ betting laws.
Betfred and PaddyPower yesterday pulled two roulette-style games that let customers stake up to £500 every two minutes.
Last night the Gambling Commission said it could launch inquiries into the executives responsible for bringing the Virtual Cycling and Pick’n’36 games to market.
The regulator has the power to effectively sack bosses by revoking their right to hold a managerial position in the industry. The bookthey makers are being investigated after they launched the new fast-paced paper-based games on Monday – the same day the maximum stake on fixed odds betting terminals, or FOBTs, was reduced from £100 to £ 2. Campaigners said the new games mimicked FOBTs, said to be as addictive as crack cocaine.
In each, customers would fill out a paper slip with their stake and bet, which could be placed on numbers between 1 and 36, as well as on other outcomes similar to roulette. The industry argued that were less addictive than FOBTs because they run less regularly and the bet is placed over the counter with a member of staff.
But Betfred yesterday pulled the Virtual Cycling game and Paddy Power said it was no longer trialling its Pick’n’36 game. William Hill had been considering launching a similar game, called Wonderball.
Gambling companies have been desperate to find new revenue streams after warning some of their shops will face heavy losses because of the new FOBT rules.
Betfred has threatened to axe 4,500 staff and 900 shops. William Hill said it might have to close 900.
The Daily Mail has called for tighter regulation on FOBTs and TV adverts during live sport.
A Gambling Commission statement last night said: ‘The commission may investigate key senior staff at bookmakers who are responsible for bringing those products to market.’
Richard Watson, a director at the body, added: ‘We have told operators to take down new products which undermine the changes, and we will investigate any other products that are not within the spirit and intention of the new rules.’
Paddy Power said: ‘This game was introduced as part of a short trial in a selection of shops. This trial concluded on Tuesday, and we will now assess the customer response and feedback before deciding whether to launch it more widely.’
Betfred said in a statement: ‘We’ve taken down Virtual Cycling to allow further discussion with the Gambling Commission.’