SportsHub hit with penalty for unlawful NJ fantasy offering
SportsHub Games Network has become the first online fantasy sports business to be hit with a civil penalty for operating in New Jersey without a licence.
The operator will pay a $30,000 civil penalty under the New Jersey Fantasy Sports Act (FSA), a 2017 statute that legalised and regulated online fantasy gaming in the state. SportsHub will also change amend its business practices over allegations that it risked violating the state's consumer protection laws.
The FSA statute came into effect from August 2017, with fantasy sports operators already active in the state given until 6 February 2018 to apply for a permit or cease all activities in New Jersey.
However an investigation by the state Division of Consumer Affairs found that SportsHub continued to do business in New Jersey despite failing to file a permit application, in violation of the FSA. It ultimately submitted its application in September 2018.
“New Jersey’s fantasy sports law offers fans an opportunity to fully immerse themselves in the sports they love, while ensuring a safe and enjoyable experience for all who participate,” said Attorney General Gurbir Grewal.
“As the settlement announced today illustrates, New Jersey enforces the laws in place to ensure transparency and protect consumers from hidden threats to their online privacy.”
Read the full story on iGB North America.