Louisiana cuts DraftKings licence to 4 months
Three US lawmakers want VIP programme data from DraftKings, FanDuel & rivals after ProPublica’s investigation.
The hit
Louisiana’s gaming board has shortened DraftKings’ licence renewal to a four-month temporary permit, instead of renewing its five-year licence, according to ProPublica. The move follows ProPublica reporting that DraftKings gave VIP status to a reporter who bet like a problem gambler, & New York Times reporting that the firm used AI to target losing bettors, which DraftKings co-founder Paul Liberman denied to regulators.
Why it matters
Ohio’s proposed 48-hour ban on direct ads & marketing after a bettor opts into or updates responsible gaming tools would directly curb a tactic ProPublica documented. If adopted elsewhere, such rules could reshape how DraftKings, FanDuel & rivals message customers who try to cut back, though one industry consultant warns it could discourage people from using the tools at all.
The record
| Louisiana licence renewal | Cut to 4-month temporary permit from 5 years (Louisiana Gaming Control Board, 15 October) |
|---|---|
| DraftKings accounts closed in Louisiana | 175 accounts this year (DraftKings chief responsible gaming officer Lori Kalani) |
| Ohio ad blackout proposal | 48 hours after opting into responsible gaming tools (Ohio Casino Control Commission, 16 October) |
| Reporter’s losses cited by ProPublica | Nearly $4,500 in 24 hours on tennis; close to $6,000 over 3 weeks |
| Federal letters sent | By Sen. Richard Blumenthal, Rep. Paul Tonko & Rep. Valerie Foushee, asking for VIP programme revenue data |
What happens next
Ohio’s amendment faces further public hearings & comment rounds before any vote. FanDuel wrote to the lawmakers on 20 October; DraftKings says it will respond after reviewing the letter.
Sources: Federal and State Officials Ramp Up Scrutiny of DraftKings, Other Sports Betting Apps
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