Penn National pays $10,000 fine for Barstool Sports violation

The Indiana Gaming Commission recently released a notice detailing how Penn National paid a settlement for a Barstool Sports video discussing gambling losses. A total of $10,000 was paid after the Commission agreed upon the fine based on the questionable post. The parent company of the sports betting brand reported the video in March and the Commission found it to be in violation of marketing regulations, including being misleading and false.

The Video

The Indiana Gaming Commission reported that a 12-second video was posted on TikTok by the social media team of Barstool Sports. The video may have been short, but it discussed gambling losses in a questionable way.

According to media reports, the video was live for a full 12 hours before it was deleted. It was not removed until the social media manager saw it. While it was removed by Barstool, another account copied the video and added it to Twitter, so it was up for longer than originally stated.

Sports betting regulations in Indiana state that advertising must comply with several standards including avoiding promoting or advertising services to minors and display a 1-800 number for a gambling problem assistance and state that players must be 21 years of age or older to take part. other stipulations include not implying there is a greater chance of winning from their services or based on the wager quantity or amount.

It is unclear as to what the video added by Barstool Sportsbook was in breach of. The video appears to have disappeared from the internet.

Barstool Sportsbook Action

Penn National Gaming has reported that the employee that added the video to TikTok has been suspended. That employee will not receive pay for one month. The full company is now more aware of the situation and underwent responsible gambling education as an added precaution.

The operator pointed out to the regulator that the video was posted on a Barstool Sports account, not any of the social media accounts that are controlled by Barstool or Penn National. Despite the disagreement on the full extent of the breach, Penn did pay the $10,000 fine.

Operators that break any protocols or regulations regarding sports betting or other gambling advertising face stiff penalties in the United States. This is not the first time a company was fined for such a violation, and it won’t be the last. License holders must adhere to all regulations regarding marketing and advertising standards in each state they offer services or face stiff penalties such as the case with Penn National.