Massachusetts gaming chair says proxy betting is illegal amid Simmons inquiry
The Massachusetts Gaming Commission is investigating alleged FanDuel proxy wagers involving Bill Simmons. The operator said it reported and voided the bets.
Key points
- Chair Jordan Maynard told Congress that proxy wagering is illegal in Massachusetts.
- Regulators allege Bill Simmons placed more than $20,000 in proxy bets through an acquaintance.
- FanDuel said it reported the matter, voided the bets and took action against the account.
- Commission staff will investigate further before the matter returns to the commission.
Massachusetts Gaming Commission Chair Jordan Maynard told a congressional subcommittee on Nov. 11 that proxy sports betting is illegal in the state and can allow young people to circumvent gambling age restrictions. His testimony came as the commission investigates alleged proxy wagers involving Bill Simmons.
According to Covers, the commission alleges that California-based Simmons placed more than $20,000 in FanDuel proxy bets through an acquaintance physically present in Massachusetts. A memo to commissioners said FanDuel reported 22 wagers with a total handle of $21,800.
The commission voted last week to hold an adjudicatory hearing in the matter. Staff have completed a preliminary review and will investigate further before bringing the issue back to commissioners at a later date.
Maynard appeared before the U.S. House of Representatives' Subcommittee on Higher Education and Workforce Development for a hearing titled “The Rise of Sports Gambling on College Campuses.” He said Massachusetts requires bettors to be 21 or older, but young people still find ways to wager.
“Some use a parent, a sibling, or an older friend's account, and this is known as proxy wagering. It's not harmless; it's illegal.”
FanDuel said it reported the Simmons matter to the commission, voided the bets and took action against the account. Commissioners have asked for more information about how the operator handled the situation, while enforcement staff have not ruled out any outcomes.
Massachusetts law requires operators to use commercially reasonable methods to prevent people from wagering as agents or proxies for others. The commission can assess civil administrative penalties against operators that fail to comply with the law, house rules or regulations.
State rules also allow the commission or an operator to ban individuals from sports betting. The commission can place someone on an exclusion list for violating or conspiring to violate the wagering law, among other reasons.
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