PokerStars parent company Amaya Gaming was fined in New Jersey for allowing wagers from out-of-state players.
The New Jersey Division of Gaming Enforcement (NJDGE) said a “flaw” in geolocation software allowed customers outside the state to gamble at PokerStarsNJ.com, thereby violating the DGE’s strict intrastate gambling rules.
Amaya was fined $25,000 (€23,500) by the regulator in a decision taken on January 20. However, the decision was made public only this week.
The NJDGE said its investigation proved that “a limited number” of out-of-state patrons were allowed to wager “for a short period of time before a subsequent geolocation check detected such patrons and blocked them”.
The NJDGE added that PokerStars has now updated its software to ensure course correction.
The DGE said it found “sufficient legal and factual support” to explain the imposition of a $25k fine on Amaya US Services Ltd., which executed a stipulation of settlement with the DGE.
Last year, gaming technology supplier GAN too was dealt with in a similar manner by New Jersey for having “inadvertently activated software" that enabled six out-of-state gamblers to wager via Betfair Interactive.