AGCO issues $30,000 penalty to NorthStar Gaming (Ontario) Inc.


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News release
Lottery and Gaming

News

Toronto ON – The Alcohol and Gaming Commission of Ontario (AGCO) has issued NorthStar Gaming (Ontario) Inc., a registered internet gaming operator, an Order of Monetary Penalty totalling $30,000 for failing to ensure that their site, NorthStarBets.ca, is accessible only to players in Ontario and other violations.

To protect the integrity and legality of Ontario’s gaming sector, games on gaming sites registered in Ontario may only be provided within Ontario unless they are conducted in conjunction with the government of another province. As part of its ongoing compliance monitoring of the gaming sector, AGCO identified the issue with NorthStarBets.ca during a proactive, third-party assessment it undertook of registered internet gaming operators.

As part of the assessment, tests were conducted from physical locations in Quebec and New York state to determine whether Ontario gaming sites were accessible outside of Ontario. During the assessment, NorthStarBets.ca failed to accurately identify the location of one of the devices. The AGCO is further citing the operator for its repeated failure to provide the Registrar with data, information and documents requested in a timely manner as required.

In addition to the penalty, the AGCO is continuing to engage with the operator to ensure the issues are appropriately addressed. Failure to do so may result in further enforcement action.

Operators served with an Order of Monetary Penalty have the right to appeal the Registrar’s action to the Licence Appeal Tribunal (LAT), an adjudicative tribunal independent of the AGCO and part of Tribunals Ontario.

Quotes

“Ontario’s gaming sector is carefully regulated to ensure it’s conducted legally and with the public interest in mind. The AGCO will continue to take all appropriate steps to ensure that regulated gaming sites are operated with integrity and within the province’s legal framework.” 
Dr. Karin Schnarr, Chief Executive Officer and Registrar – AGCO

Additional Information

Contrary to section 3.8 of the Gaming Control Act, (GCA) NorthStar Gaming (Ontario) Inc. is alleged to have failed to comply with the following provisions of the Registrar’s Standards for Internet Gaming :

3.02 Games on gaming sites shall be provided only within Ontario, unless they are conducted in conjunction with the government of another province. (Also applicable to Gaming-Related Suppliers)

Requirements:

  1. Operators must put in place mechanisms to detect and dynamically monitor the location of a player attempting to play a game and to block unverified attempts to play a game. Player location checks subsequent to the initial location check shall occur at reasonable intervals determined by the Operator that minimize the risk of play outside of Ontario. Depending on the location of the player/device, longer or shorter periods may be justified.
  2. Operators must put in place mechanisms to detect software, programs, virtualization and other programs capable of circumventing player location detection.

1.01 There shall be a commitment to character, integrity and high ethical values demonstrated through attitude and actions.

Requirements including:

  1. Matters identified in management letters from internal and external auditors and matters identified by the Registrar shall be responded to in a timely manner.

1.13 Registrants shall engage with the Registrar in a transparent way

Requirements including:

  1. Make available any data, information and documents requested by the Registrar.

Media Contact

AGCO Communications
media@agco.ca

About the AGCO

The Alcohol and Gaming Commission of Ontario (AGCO) is an Ontario provincial regulatory agency reporting to the Ministry of the Attorney General (MAG). It is a corporation under the Alcohol and Gaming Commission of Ontario Act, 2019.