Massachusetts Audit Finds Gaming Operators Not Adhering to Required Policies
A new audit released Thursday by Massachusetts State Auditor Diana DiZoglio found significant shortcomings in the oversight of sports betting operators by the Massachusetts Gaming Commission. The review, covering the period between 2020 and mid-2023, raised concerns about advertising practices, responsible gaming training, and internal management at the regulatory agency.
LISTEN TO THIS ARTICLE:According to the The Boston Globe, the audit highlighted 17 sports wagering advertisements that did not include the phone number for the state's problem gambling helpline, a violation of state requirements. It also identified 51 instances where marketing materials were distributed to underage audiences and individuals struggling with gambling addiction.
Related: Massachusetts Considers new Gambling Law ReformsState regulations prohibit advertising that targets those under 21 and restrict the use of endorsements or language aimed primarily at that demographic. Despite these rules, auditors determined that enforcement was inconsistent.
The report further criticized the commission's training program for GameSense agents, who are placed on casino floors to assist patrons showing signs of gambling-related problems. Auditors reviewed training records for 20 agents and found documentation missing for half of them, raising concerns about whether staff are properly prepared for their duties.
The audit also pointed to mismanagement in the handling of legal settlements with former commission employees, indicating broader administrative challenges within the agency.
DiZoglio stated that the findings demonstrate regulatory breakdowns and encouraged the Gaming Commission to address these deficiencies within the next six months. Her office confirmed that a post-audit review will be conducted at that time to assess the commission's progress. She also recommended that regulations be amended to require the Gaming Commission to review sports betting advertisements before they are released to the public, a measure not currently mandated by law.
While the audit underscored areas of concern, it also acknowledged compliance successes. The commission was found to be effectively preventing minors from entering casino gambling areas and actively monitoring sportsbook operators' strategies to block underage betting.
Commission spokesperson Thomas Mills pointed to these positive findings, saying that the improvements identified in the audit would strengthen the agency's role as a regulator of the state's gaming industry.
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Anti-Gambling Lobbyists Respond to Results
The findings sparked renewed criticism from public health advocates who have long argued that gambling operators prioritize profit over consumer protection. Mark Gottlieb, executive director of the Public Health Advocacy Institute at Northeastern University, said the commission failed to take a proactive role in monitoring sports betting advertising during the first months after legalization. He stressed that consumer products with significant public health risks require stronger oversight than what was observed in Massachusetts.
Harry Levant, also with the Public Health Advocacy Institute, said the audit reflects a failed model of responsible gaming in which industry stakeholders push for self-regulation to avoid stricter accountability. He argued that the reluctance of the commission to impose tougher rules is contributing to a growing public health threat.
Levant has been advocating for the Bettor Health Act, a bill that would introduce restrictions on sports betting advertising during televised sporting events and expand consumer protections. The measure has yet to receive a committee hearing.
In response to the audit, the Gaming Commission confirmed it has hired an independent auditor to examine operators' compliance with advertising regulations. The agency also committed to maintaining records of training completion for all GameSense agents going forward. These steps are intended to correct gaps noted in the audit and provide stronger safeguards for at-risk gamblers.
Massachusetts legalized sports betting in 2022, allowing major companies such as FanDuel, BetMGM and DraftKings to enter the market. Since then, advertising practices in the sector have drawn scrutiny nationwide, leading to lawsuits against operators for allegedly deceptive promotions.
DraftKings, which is headquartered in Boston, is currently facing litigation alleging it encouraged players to make frequent high-value wagers, an approach that experts have said can fuel gambling addiction.
Alongside proposals for tighter restrictions on advertising, lawmakers are also considering separate legislation that would expand gambling options in Massachusetts by legalizing online casino gaming. That measure has already received a committee hearing and remains pending in the Legislature.
Both proposals highlight the competing policy debates in the state as regulators, legislators, and advocates work to balance industry growth with public health protections.
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