The company will be investigated for refusing to pay US$82k on bets after a “pricing error”.
US.- The New Jersey Division of Gaming Enforcement (DGE) is set to investigate FanDuel after it declined to honour a US$110 bet made in the state that would have paid over US$82k, as the company argues that it is due to an error in the odds making process.
The bet was placed at the Meadowlands Racetrack while the Denver Broncos were trailing the Oakland Raiders 19-17 in the fourth quarter on Sunday, September 16. The odds gave the Broncos up to 75k odds of completing a comeback and would have forced the company to pay US$82k, but it argued that the odds should have been listed at -600, which have paid a profit of US$18.35.
“A small number of bets were made at the erroneous price over an 18 second period. We honoured all such bets on the Broncos to win the game at the accurate market price in accordance with our house rules and industry practice, which specifically address such obvious pricing errors,” FanDuel said in its statement. “We have reached out to all impacted customers and apologized for the error.”
Nevertheless, David Rebuck, director of the DGE, said that the agency will investigate if there are legal grounds to force FanDuel to pay the US$82k. Moreover, he added that the agency is investigating how the glitch occurred given internal controls exist to prevent that type of error. “Those findings might also result in the need for further action,” he said.