Fox Bet may be folding up shop but gambling regulators hit the New Jersey online sportsbook with one more big fine before the game ends.
The Division of Gaming Enforcement levied an $80,000 penalty against Fox Bet’s parent company, Flutter Entertainment Plc/The Stars Group, for allowing wagers on multiple prohibited events. Specifically, the DGE stated that Fox Bet took action on four college basketball games involving NJ schools, which is explicitly against the law.
Fox Bet stopped taking new bets on July 31. The mobile sportsbook will go dark on Aug. 31.
Details of illegal NJ sports bets accepted by Fox Bet
According to an Aug. 2 order signed by DGE Director David Rebuck, Fox Bet accepted money for three prohibited games in 2021 and another in 2022. NJ gambling regulators first filed a complaint against the online sportsbook on Aug. 19, 2022.
Rebuck’s memo noted that Fox Bet improperly accepted bets on the following college basketball games:
- Rutgers University vs. Northwestern University (Feb. 13, 2021)
- Monmouth University vs. Lehigh University (Nov. 16, 2021)
- Fairleigh Dickinson University vs. St. Francis University (Dec. 31, 2021)
- Seton Hall University vs. University of Connecticut (Jan. 8, 2022)
New Jersey is one of a dozen states with legal sports gambling that have some sort of ban against betting on college athletics. The Garden State prohibits sportsbooks from accepting bets on in-state colleges or any collegiate event held in NJ, such as tournaments or regional competitions.
Two years ago, NJ voters soundly rejected an attempt by the state legislature to change the law and allow in-state college betting. With the NCAA men’s college basketball tournament coming to the Prudential Center in Newark in 2025, the expectation is that voters will be asked one more time to allow in-state college betting either this year or in 2024.
Fox Bet NJ gone, but the brand will go on
Fox Bet launched in 2019 from Fox Corporation and The Stars Group, which Flutter acquired in 2020. Flutter also owns FanDuel Sportsbook. After the announcement came out that Fox Bet would close up shop, the Fox Bet FAQ page directs customers to its “sister brand,” FanDuel Sportsbook NJ.
The two sides have been negotiating a deal involving FanDuel for some time. Fox will continue to hold its option to acquire 18.6% of FanDuel. It currently holds a 2.5% stake in Flutter.
Fox Corp. will retain future use of the Fox and Fox Bet brands, including Fox Bet Super 6. A press release indicated that the company intends to launch an all-new Fox Super 6 game later this summer.
After Aug. 31, Fox Bet Sportsbook users can access their existing funds through either the PokerStars or PokerStars Casino apps.
