Sep 3, 2024, 12:00 AM
Sep 3, 2024, 12:00 AM

DraftKings fined in Connecticut for week-long slot machine glitch

Highlights
  • In August 2023, DraftKings and White Hat Gaming operated an online slot machine that failed to pay out any winnings over a week.
  • The Connecticut Department of Consumer Protection fined both companies a total of $22,500 after an investigation revealed the game had a 0% Return to Player.
  • The incident highlighted the importance of regulatory compliance and effective communication with gaming authorities.
Story

In August 2023, DraftKings and White Hat Gaming faced scrutiny after an online slot machine game failed to pay out any winnings over a week, affecting 522 players in Connecticut. These players wagered nearly $24,000 across more than 20,600 spins without receiving any returns. The issue was first reported by players, prompting an internal investigation by White Hat Gaming, which identified a glitch in the game's Return to Player (RTP) settings. Despite the complaints, neither company informed the Connecticut Department of Consumer Protection (DCP) until they were prompted for information on August 31, a week after the problem was identified. The DCP's investigation revealed that customers had expressed concerns about the lack of payouts, with one player noting they had not won after hundreds of spins. DraftKings initially dismissed these complaints, assuring players that the game was functioning correctly. However, after the glitch was fixed, all affected customers were refunded without any explanation from DraftKings regarding the issue. As a result of the incident, DraftKings and White Hat Gaming were fined a total of $22,500 by the state. White Hat had previously agreed to pay $3,500 in fines for operating the game with a 0% RTP, violating state regulations. The DCP emphasized that this was the first occurrence of an online slot machine not paying out as advertised in Connecticut. Both companies have stated their commitment to customer satisfaction and the integrity of their gaming products, with White Hat emphasizing the importance of delivering a fair gaming experience. The incident raised concerns about regulatory compliance and the need for better communication with gaming authorities.

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