Nevada to approve settlement with Vegas sportsbook operator
Nevada regulators are expected to approve a settlement with one of the state’s largest sportsbook operators, which has admitted to underpaying winning bets.
US.- The settlement before the Nevada Gaming Commission (NCGB) on Thursday will fine CG Technology (CGT) US$1.5 million for miscalculations on its computerised betting system. CG Technology, a company from Las Vegas previously known as Cantor Gaming was cited in May for underpaying winners by US$700.000, withholding information and accepting bets after a match.
CG Technology, who provides sports betting for the Cosmopolitan, the Venetian and the Tropicana, the Palms and Hard Rock in Nevada among others, will also remove its CEO, create an escrow account to pay out remaining claims from bettors who were shorted and subject its systems to independent compliance reviews.
The NCGB alleged that CGT failed to “properly investigate, correct, and completely and accurately report to the BOARD systemic problems with CGT’s computerised bookmaking system.” Those problems date back to 2011 and involve incorrectly paid wagers. It also alleges that CGT did not take any action on the problems identified until the NGCB started its investigation in the spring of last year.
Nevada Gaming Control Board Chairman A.G. Burnett said that “the board will not tolerate improper or incorrect payments to patrons by gaming licensees, and therefore takes this matter extremely seriously.” He commented that the settlement contains several harsh punishments and requirements for remediation that reflect those concerns. CG Technology still hasn’t commented on the issue.
