Major Australian betting companies are facing intense scrutiny following allegations that they used illicit inducements, including drugs and escorts, to keep high-spending customers gambling. The claims were made during a Senate inquiry into proposed government reforms aimed at tightening gambling advertising regulations. Former NRL player Luke Bateman and anti-gambling campaigner Tim Costello provided testimony detailing how some operators allegedly targeted vulnerable individuals with perks to encourage continued betting.
Bateman, a recovering gambling addict, told the committee that during his time as a high-volume punter, he was offered free travel, alcohol, and illicit drugs by VIP managers. He described attending exclusive events where senior industry executives allegedly participated in drug use alongside clients. Bateman argued that these practices represent a complete lack of duty of care toward customers, many of whom were struggling with severe addiction.
Tim Costello further alleged that major industry players, including Sportsbet, Tabcorp, and The Star casino, facilitated similar behavior for other high-stakes gamblers. He cited the case of an individual currently in prison for theft, claiming the companies provided this person with free accommodation, bonus bets, and access to escorts to maintain his status as a top-tier customer.
In response to the testimony, representatives from Sportsbet and Tabcorp categorically denied the allegations. They stated there is no evidence to support claims of staff providing drugs or sex workers and emphasized that their companies maintain a zero-tolerance policy for such conduct. Industry officials have urged anyone with concrete evidence to come forward so that internal investigations can be conducted.
As the Senate inquiry continues, the debate highlights the tension between the gambling industry's business models and the need for stronger consumer protections. While the government is currently focused on advertising restrictions, these new allegations have increased pressure on lawmakers to consider broader reforms regarding how betting companies interact with their most valuable clients.