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SA's pokie losses exceed $1bn for first time, $24m in Mount Gambier alone
SA's pokie losses exceed $1bn for first time, $24m in Mount Gambier alone

ABC News

time4 days ago

  • Business
  • ABC News

SA's pokie losses exceed $1bn for first time, $24m in Mount Gambier alone

More than $1 billion has been lost on poker machines in South Australia in the past year, with experts saying the issue is "spiralling out of control", as cost of living pressures encourage some people to gamble more. Revenue from gaming machines in SA exceeded $1 billion for the first time over the 2024–25 financial year, up nearly $53 million from the previous 12 months. Of that, over $453 million was collected by the state government, while venues shared in nearly $555 million over the past financial year. Losses were particularly bad in regional areas; $24 million across the Mount Gambier and Grant councils and $20.7 million in Whyalla. The Alliance for Gambling Reform's Martin Thomas said gambling losses were "spiralling out of control" across the country, with Australians losing about $32 billion annually to gambling. Mr Thomas said while it is "counterintuitive", studies had shown some people were more likely to gamble when under financial pressure. "Research shows that when people are doing it tough, sometimes it impairs their decision making and the idea of a windfall game, a dopamine hit and escapism — all these factors play into it," he said. "The impacts are in a cost of living crisis are hugely profound. People go without food, people quite often can't pay their rent and it has dire consequences for families." Monash University associate professor Charles Livingstone said while online betting was growing, representing "around 30 per cent" of wagering in Australia, pokies were "still the biggest game in town". He said the social costs of gambling were likely far more significant than the amount people wager. "The most recent study in Victoria estimated that the social costs from gambling [in Victoria] are around $14 billion a year, which is almost three times the amount that people gamble," he said. "When you factor in all those costs, it doesn't look like such a good proposition and, of course, many of those costs are ultimately met by state governments." Across SA's south-east alone, $42 million were lost on poker machines in 2024–25. "Regions certainly have challenges with gambling because pubs and clubs, particularly when it comes to poker machines, are quite often, a central social place and a meeting place for people," Mr Thomas said. "Sporting clubs, likewise, really form the heartbeat of many regional communities. "Unfortunately, that's where poker machines are, and we hear countless stories of people who perhaps are playing football, and they're quite young and they start playing poker machines just as part of that culture and it's a bit of fun. "But for some people it becomes a real obsession and causes enormous financial losses." The Greens called on the SA government to commit to phasing out all pokies by 2030, calling them a "scourge on our state". Greens MLC Robert Simms said poker machines had caused "massive social harm" since their introduction 30 years ago. "There are established links between problem gambling, family violence and violent crime," Mr Simms said in a statement. "It's completely unethical for the state government to continue to use poker machines to raise revenue when they have such a devastating impact on our community." Mr Simms urged the SA treasurer to commit to phasing out poker machines over the next five years and to establish a transition fund to support pubs and clubs to find alternative revenue streams, as had been proposed in other states. "The state government should urgently take up these measures before even more lives are destroyed," he said. "Instead of raising revenue from the gambling losses of struggling South Australians, the state government should instead be funding our essential services by scrapping subsidies for fossil fuel companies and imposing a big bank levy." While the losses are significant, Australian Hotels Association SA chief executive Anna Moeller said the revenue from gaming machines could be "a very important part of helping to make hotels viable". "They act as cross subsidisation, so it means that they can subsidise the cost of food, for example," she said. "That's particularly important now where we've got a cost of living crisis so we're not having schnitzels that are costing $45. "Did they not have the capability of incorporating gaming machines as part of their business model, there are many, many hotels that simply would not be viable." Ms Moeller said poker machines could also be more easily regulated than other online forms of gambling. "South Australia is … the pin-up state in terms of harm minimisation in that space and regulations," she said. "Your danger is that if you over regulate too much, you push people onto those other underground platforms that we don't have optics over." In a statement, Consumer and Business Affairs Andrea Michaels said the government was "committed to reducing the number of poker machines in SA". "SA has some of the strictest laws in the country when it comes to poker machines, including mandated facial recognition and automated risk monitoring of each session of play," she said. "It is certainly a significant amount of money and … we are focused on ensuring that there are protections in place and support available for those who may be struggling with gambling harm."

Quarter of poker machines in NSW clubs could be susceptible to money laundering, agency says
Quarter of poker machines in NSW clubs could be susceptible to money laundering, agency says

ABC News

time10-08-2025

  • Business
  • ABC News

Quarter of poker machines in NSW clubs could be susceptible to money laundering, agency says

A quarter of the more than 65,000 poker machines in NSW clubs are monitored by a program that could allegedly leave them vulnerable to money laundering and terrorism financing, according to the nation's financial crimes intelligence agency. Federal laws require a compliance program to be in place so that staff at licensed clubs and hotels can identify, mitigate and manage gamblers suspected of using the pokies to launder money from crime such as drug dealing. The Australian Transaction Reports and Analysis Centre (AUSTRAC) said the largest compliance program provider in the state is Betsafe, a business founded by seven clubs nearly 30 years ago, that also outsources a responsible gambling program to industry members. Betsafe's compliance program is central to AUSTRAC's Federal Court action against one of Australia's largest club operators, Mounties Group. "One in four gaming machines in NSW are managed by clubs whose program is run by Betsafe, so we don't know whether those programs are adequate for those clubs," AUSTRAC's chief executive Brendan Thomas told the ABC. "We're worried that we might see what we've seen in Mounties replicated in other organisations throughout Australia." AUSTRAC is alleging Betsafe's program systematically failed to meet anti-money laundering (AML) and counterterrorism financing (CTF) obligations spelled out under the law, in its court action against Mounties. Betsafe has declined repeated requests for comment from ABC News. Its programs are used at more than 80 gaming venues in NSW and the ACT, according to a webpage that has since been taken down. These gaming venues can mix-and-match Betsafe programs, choosing to use its responsible gaming program, and not its AML/CTF program, for example. Mr Thomas said AUSTRAC is not empowered under the law to launch court action against Betsafe. "This isn't a victimless crime," he said. Industry advocacy group ClubsNSW said it was working with AUSTRAC to make sure its members adhered to laws that safeguard against money laundering. "ClubsNSW recommends that member clubs exercise care and diligence when utilising the services of third-party providers to help meet their AML/CTF compliance obligations and that they have their AML/CTF programs regularly reviewed by an independent entity," a spokesperson said in a statement. AUSTRAC has successfully prosecuted casino operators in Melbourne, Perth and Adelaide, and the agency's action against Sydney's Star Casino remains before the Federal Court. But it believes increased enforcement has caused criminals to turn to local venues instead. "We're concerned that there may be a shift of money laundering activity from casinos to pubs and clubs," Mr Thomas said. It is unclear if the regulator plans on launching court actions against other clubs or hotels. "Our examination of gaming machines won't stop with Mounties, and it certainly hasn't stopped with Mounties," he said. Troy Stolz was working for ClubsNSW as an AML/CTF compliance manager when he leaked a confidential board paper in 2019, which claimed hundreds of clubs were falling short of their legislated obligations. "I was witnessing lots of rubber bands on the floors in clubs, which is predominant with having bundles of cash tied together … and syndicates playing up to two machines each at a time," he said. AUSTRAC's court action against Mounties Group could work as a deterrent, the 56-year-old said, possibly inspiring other clubs to improve their compliance systems. "This is a monumental period of time in clubs history, this stops all sorts of predator crimes. "There will be clubs scrambling to review their policies and their insurance policies, I believe, to see if they've got a claim to make against Betsafe." The NSW Crime Commission concluded in an inquiry three years ago that billions in dirty money was being gambled in poker machines at clubs and hotels. AUSTRAC defended its decision to bring a court action years after initial reports. "We need to make sure that our case is watertight, that we've got incredibly strong evidence to prove every element of our case before a court," Mr Thomas said. The intelligence agency is hoping the Federal Court action against Mounties will act as a stern warning to an industry with about 1,000 venues. The group, which operates up to nine venues across Sydney's south-west, Northern Beaches and the Central Coast, was using Betsafe's compliance program when $4.17 billion was fed into its 1,300 poker machines over four financial years to 2023. AUSTRAC is alleging in court documents the program is inadequate by citing a sample of 10 suspicious gamblers, who turned over $139.9 million and were paid out close to $10.5 million. The gamblers exhibited a range of behaviours the agency considers suspect. This includes a practice known as "bill stuffing", where cash is put into a pokie machine only to be withdrawn as a cheque, even though little or no game play has taken place. Another behaviour is gambling large sums of money, despite personal and employment status. Mounties Group allegedly identified eight of the suspicious gamblers and reported seven of them to the intelligence agency, according to the court documents. "We have been dedicating significant investment and resources to transform our AML/CTF capabilities since being notified by AUSTRAC of its concerns," the group said in a statement at the time of the court filing. The matter remains before the court.

Morning Mail: alarm over pokies influencers; toxic algal bloom reaches Adelaide; Oscar Piastri cops penalty at British GP
Morning Mail: alarm over pokies influencers; toxic algal bloom reaches Adelaide; Oscar Piastri cops penalty at British GP

The Guardian

time06-07-2025

  • Politics
  • The Guardian

Morning Mail: alarm over pokies influencers; toxic algal bloom reaches Adelaide; Oscar Piastri cops penalty at British GP

Good morning. There are calls for a clampdown on social media influencers allegedly using 'shocking' content to push viewers towards the use of poker machines. Meanwhile, a toxic algal bloom that has torn through coastal ecosystems in South Australia has now arrived on Adelaide's beaches – and there are warnings that it may be here to stay. The death toll in the Texas floods continues to rise as search and rescue efforts give way to the recovery of bodies. And Australian Oscar Piastri led for most of the British F1 Grand Prix but a controversial penalty cost him victory. Karenia mikimotoi | South Australia's toxic algal bloom has arrived on Adelaide's beaches, deepening concern about the unfolding catastrophe affecting the state's coastline. Pokies influencers | The peak body for Australian doctors has urged politicians and social media companies to restrict 'shocking' content of influencers allegedly glamourising poker machines on social media. Rates decision | The RBA is expected to cut the cash rate again this week, in a move that would give further relief to millions of Australians with mortgages – and bolster the struggling economy. 'No empty words' | Kumanjayi Walker's family are calling for 'real action' as they await the coroner's final report, almost five years after the Warlpiri man died during a bungled arrest in a remote Northern Territory community. Antisemitism | The government has labelled the Melbourne synagogue fire an 'attack on Australia', as Israeli PM Benjamin Netanyahu demands that Labor do more to stop antisemitic attacks. Texas floods | The death toll in the Texas floods has risen to at least 70 as search and rescue turns into grim recovery operation; Donald Trump has declared the deadly floods a 'major disaster'. Gaza crisis | Israeli strikes have killed at least 38 in Gaza as ceasefire talks reach a critical point, while people in Gaza barely dare to hope for success in the ceasefire talks. US politics | Elon Musk should stay out of politics, the US treasury secretary says after the billionaire's 'America party' announcement. And is Trump's expansion of presidential powers setting the stage for future Oval Office holders? Trump tariffs | The EU is entering a crunch week with only two days of talks left to secure a trade deal with Washington to avert Trump's threatened 50% tariff on its imports into the US. 'It was something huge' | The owners of a pet lion that escaped from a farmhouse and injured a woman and her two children have been arrested in the eastern Pakistani city of Lahore. Japan's rice crisis Homegrown rice is a key part of Japanese culture, identity and politics, dating back thousands of years. So much so that any disruption can spark a wave of consumer anger, reaching even the highest echelons of power. But as the country grapples with a shortage of the grain, locals are asking whether it's finally time to learn to love the imported version. Reged Ahmad spoke with Justin McCurry in Osaka about the dilemma. After months of angst and uproar in the arts, the decision has finally been reconfirmed: Khaled Sabsabi and Michael Dagostino will represent Australia at the Venice Biennale in 2026. An independent report has identified 'missteps' – and raises red flags about the selection process for future Venice Biennales. So, asks curator and art historian Elizabeth Ann Macgregor, how can Creative Australia rebuild confidence in its role in supporting the visual arts? 'Elderspeak' may involve the use of inappropriate terms of endearment, juvenile language or unnecessarily loud or slow enunciation. It can often be a vehicle for attributing ageist stereotypes to the older person, defining them not by their selfhood but by their age. Marcia van Zeller surveys this form of benevolent ageism – and explains how even well-intended words, such as 'sweetheart', can still sting. Sign up to Morning Mail Our Australian morning briefing breaks down the key stories of the day, telling you what's happening and why it matters after newsletter promotion Motorsport | Lando Norris of McLaren has won the F1 British Grand Prix from an angry Oscar Piastri after a controversial penalty in a rain-soaked Silverstone thriller. Rugby union | Wallabies maintain 'quiet resolve' for Lions series despite injuries, errors and uncertainties, Jack Snape writes; Wallabies score late to snatch win against surging Fiji as Lions await. Cricket | Australia defeated the West Indies by 133 runs on the fourth day of the second Test in Grenada to clinch the series win. Tennis | Aryna Sabalenka ousts Elise Mertens to reach Wimbledon quarter-finals; Briton Cam Norrie into Wimbledon quarter-finals after five-set battle; Australian Jordan Thompson bows out due to back injury. Cycling | Mathieu van der Poel sprints to stage two victory in Boulogne-sur-Mer – and now wears the race leader's yellow jersey. Cancer rates in Australians under 50 are rising at a pace that is alarming doctors and scientists as they race to understand why, ABC News reports. The City of Parramatta has spent more than $5m removing dozens of staff in secret payouts, reports the Sydney Morning Herald. Australians who survived the 7/7 London terror attack 20 years ago are among those gathering to honour those killed in the bombings, the Age reports. The future of Tasmania's zinc smelter – and workers' jobs – hangs in the balance, the Mercury reports. RBA | The Reserve Bank of Australia board is meeting today ahead of this week's rates decision. NT | The findings in the Kumanjayi Walker coronial inquest are due to be released this morning. Tasmania | A man is due to appear in court in Launceston over the alleged murder of a police officer. Victoria | The jury in the Erin Patterson trial continues its deliberations in Morwell. Enjoying the Morning Mail? Then you'll love our Afternoon Update newsletter. Sign up here to finish your day with a three-minute snapshot of the day's main news, and complete your daily news roundup. And follow the latest in US politics by signing up for This Week in Trumpland. And finally, here are the Guardian's crosswords to keep you entertained throughout the day. Until tomorrow. Quick crossword Cryptic crossword

Australian doctors call for clampdown on social media influencers allegedly glamorising poker machines
Australian doctors call for clampdown on social media influencers allegedly glamorising poker machines

The Guardian

time06-07-2025

  • Health
  • The Guardian

Australian doctors call for clampdown on social media influencers allegedly glamorising poker machines

The peak body for Australian doctors has urged politicians and social media companies to restrict 'shocking' content of influencers allegedly glamorising poker machines on social media, in what it called an incredibly new phenomenon. The warning comes after a report commissioned by the Victorian government found the social cost of gambling in the state had doubled – from $7bn in 2014-15 to $14bn in 2022-23 – despite fewer people gambling. The report suggested those at higher risk of gambling harm were spending more money. The figures include tangible costs, like bankruptcy, but also indirect costs, including emotional and psychological harm, such as depression. The videos uploaded to Instagram show influencers inserting hundreds of dollars into poker machines and telling viewers they will continue to do so until a certain amount of people follow them. Other accounts collate videos of people winning on poker machines – including turning $5 into $164,000, without documenting their losses. Several posts seen by Guardian Australia can be accessed by children and teenagers, and do not contain responsible gambling messages. These messages are required when gambling companies promote their products through broadcast ads, social media and podcasts. Sign up for Guardian Australia's breaking news email The new trend has worried public health campaigners who fear the content may be introducing a younger generation to poker machines and undermining messages designed to limit gambling-related harm. Dr Danielle McMullen, the president of the Australian Medical Association, said the videos were 'shocking'. 'They are clearly targeted at young people and seek to glamorise what is a dangerous habit and not one we would encourage people to take part in,' McMullen said. 'These videos show that our regulations around gambling just aren't keeping up with the 21st century. They are essentially ads for gambling and our governments need to take a long hard look about how we get on top of this content.' Instagram's owner, Meta, said it had strict rules for the promotion of gambling and that it would 'remove any content that does not comply with our standards as soon as we become aware' of it. 'Both the advertiser and creator must obtain written permission to promote real money gambling and must comply with all applicable Australian laws and regulations,' a Meta spokesperson said. But it is not clear whether these accounts are defined as advertising, despite allegedly promoting gambling, as they do not appear to have been published in partnership with any gambling company or venue. Many of the posts seen by Guardian Australia have been online for several weeks. Dr Mark Johnson, a senior lecturer at the University of Sydney, who has researched social media influencers and gambling, said the emergence of influencers focused on poker machines was an 'incredibly new phenomenon'. Sign up to Breaking News Australia Get the most important news as it breaks after newsletter promotion 'We're seeing people who have already built significant followings shifting into gambling content in recent years, while we've also seen people starting off with this kind of content and trying to reach the status of an influencer,' Johnson said. 'This is then a wholly contemporary thing, and there's almost no research on it.' On Monday, Guardian Australia revealed Instagram influencers were inadvertently promoting an offshore gambling company that is banned from targeting Australians consumers. Videos posted by multiple influencers referenced the name of the company, included links to its international website, and shared financial inducements for people to create accounts. This practice has infuriated the Australian media regulator, which has threatened influencers with fines of up to $59,400 for 'promoting or publicising illegal online gambling services'. The Meta spokesperson said the company operated a 'strike system to hold advertisers and creators accountable for the content they post'. This system can result in accounts being restricted or disabled if there is a history of violations. A spokesperson for the Australian Influencer Marketing Council said it was clear that influencers needed more education about their roles and legal responsibilities. They added: 'Many creators engaging in affiliate marketing may not fully understand the regulatory frameworks in which they operate.' In Australia, Gambling Help Online is available on 1800 858 858. The National Debt Helpline is at 1800 007 007. In the UK, support for problem gambling can be found via the NHS National Problem Gambling Clinic on 020 7381 7722, or GamCare on 0808 8020 133. In the US, call the National Council on Problem Gambling at 800-GAMBLER or text 800GAM

NSW failing to reduce gambling harm from pokies, auditor-general's report shows
NSW failing to reduce gambling harm from pokies, auditor-general's report shows

ABC News

time12-06-2025

  • Politics
  • ABC News

NSW failing to reduce gambling harm from pokies, auditor-general's report shows

A leading charity has described the system governing poker machines in New South Wales as "broken" in the wake of a damning auditor-general's report into the effectiveness of gaming machine regulations. NSW Auditor-General Bola Oyetunji has tabled a performance audit into the regulation of gaming machines at state parliament. The report revealed state agencies Liquor and Gaming NSW and the Independent Liquor and Gaming Authority (ILGA) had failed to focus its gaming strategy on harm minimisation. It went on to say: "The Department has developed a regulatory strategy that sets out its priorities clearly and has communicated this to stakeholders. "However, the strategy does not have a sufficient focus on the areas that are considered high-risk for gambling harm and does not set any targets for reducing harm associated with gaming machines. "Gaming machine losses and the social costs of gambling harm continue to be disproportionately concentrated in socio-economically disadvantaged communities." Wesley Mission chief executive officer Reverend Stu Cameron said the audit's findings were of no surprise. "While we did not need an audit to know the system is broken, as frontline services have been saying this for years, now it is in black and white," Reverend Cameron said. The audit's findings include: The audit report also found the state had significantly more poker machines than all other Australian jurisdictions combined, despite legislative provisions that aim to reduce the number of machines. The audit report said there were only 12 gambling inspectors and all were based in Sydney. "While most of the regular inspections are done in Greater Sydney, nine of the 10 suburbs with the highest number of people accessing GambleAware services in 2023-24 were located outside Greater Sydney," it stated. Opposition Leader Mark Speakman said people were promised action by Mr Minns when he came into power. "In Western Sydney, entire salaries are disappearing into poker machines, Premier Chris Minns and Gaming and Racing Minister David Harris are nowhere to be found," Mr Speakman said. He added that it went deeper than "stopping people from having a flutter". "The auditor-general's report showed harm is rising, inspections are not happening, and Labor has broken every promise it made," he said. Greens MP and spokesperson for gambling harm reduction Cate Faehrmann said the report showed regional areas, including Wollongong and Newcastle were not being given the proper attention. She said the government was failing in its regulatory duty to reduce harm. "They are tinkering around the edges rather than genuine measures to reduce gambling harm," he said. "Entire regions could go months or years without a single inspection." NSW Gaming and Racing Minister David Harris has welcomed the report, with the relevant agencies "accepting its recommendations", but blamed the previous Coalition government. "The report looked at the period 2019 to 2024, which was largely under the former Coalition government." He said reiterated the government's commitment to harm minimisation, saying it had already implemented a number of initiatives. Reverend Cameron said the audit showed a public health crisis. "If people were being harmed this badly by alcohol, drugs or unsafe roads, action would be swift. This is a public health crisis and it needs to be treated as such."

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