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2013-2014-2015
THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA
SENATE
INTERACTIVE GAMBLING AMENDMENT (SPORTS BETTING REFORM) BILL
2015
EXPLANATORY MEMORANDUM
(Circulated by authority of Senator Xenophon)
INTERACTIVE GAMBLING AMENDMENT (SPORTS BETTING
REFORM) BILL 2015
OUTLINE
The purpose of this Bill is to amend the Interactive Gambling Act 2001 ('the Act') in relation
to online sports betting. The popularity of sports betting has soared over recent years. It is the
only form of gambling that has seen an increase in participation over the past decade. In fact,
expenditure on sports betting doubled between 2005-2006 and 2011-2012. This has been
attributed to the ease with which individuals can now place bets online.
This increased availability of sports betting carries with it the increased risk of people
developing gambling addictions. This Bill implements harm minimisation measures to help
individuals who are engaged in online sports betting better control their gambling.
The Bill inserts a new definition into the Act which encompasses websites through which
individuals can place bets on sporting events. In the Bill, these are known as 'restricted
wagering services'.
Services which are captured by this definition will be subject to obligations and prohibitions
as well as penalties under the provisions of this Bill.
The Bill also establishes an Interactive Gambling Regulator who will monitor and enforce
restricted wagering services' compliance with the Act. A National Self-exclusion Register for
those who wish to bar themselves from accessing online sports betting is also established.
NOTES ON CLAUSES
Clause 1: Short Title
1. This clause is a formal provision and specifies that the Bill, once enacted, may be
cited as the Interactive Gambling Amendment (Sports Betting Reform) Act 2015.
Clause 2: Commencement
2. This clause provides sections 1 to 3 to commence on the day the Bill receives the
Royal Assent. Schedule 1 to the Bill will commence three months after the Bill receives
Royal Assent.
Clause 3 - Schedules
3. Each Act specified in a Schedule to this Act is amended or repealed as is set out in
the applicable items in the Schedule. Any other item in a Schedule to this Act has effect
according to its terms.
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Schedule 1--Amendments
Interactive Gambling Act 2001
Item 1 - Section 3
4. This item amends section 3 of the Act, which contains a simplified outline of the Act
by inserting outlines of the operation of some of the new provisions of the Act. This outline is
included to assist readers to understand the substantive provisions and is not intended to be
comprehensive. Readers should only use the outlines as a guide and rely on the substantive
provisions as the outlines do not affect the operation of the substantive provisions of the Act.
Item 2 - Section 4
5. Item 2 inserts into section 4 various definitions of new terms that are used in the
provisions to be inserted by the Schedule. One new term is betting limit which is defined as
the total maximum amount nominated by an individual that he or she may bet using a
restricted wagering service over a period. The amount nominated by an individual relates to
the amount of their own money they are willing to bet. Therefore any bets placed using
money won from a previous bet will not count towards the betting limit. For example, an
individual has nominated a betting limit of $100 per month. That individual bets $5 on the
outcome of a sporting event and wins $50 (on top of the person's original $5 bet). That
person can place another bet using the $50 won and that bet will not count towards their
betting limit. If the individual bets the $50 and loses the entire amount, any other bets made
by the individual will count towards their betting limit as the amount bet will be a personal
contribution from them. Another new term inserted into the Act by this Bill is the concept of
a restricted wagering service. The term restricted wagering service captures only those
gambling services that allow individuals to place bets over the internet or telephone on horse
races, harness races, greyhound races or sporting events. This term does not capture other
websites that offer and accept bets, such as online casinos.
Item 3 - Sections 11A and 11B
6. This item inserts a new section 11A into the Act relating to the meaning of credit. For
the purposes of the Act a restricted wagering service will be taken to have provided credit if
by contract or other arrangement it allows payment of a debt owed by an individual to
another individual to be deferred or allows one person to incur a deferred debt to another.
7. This item also inserts a new section 11B into the Act relating to the meaning of
verified. A restricted wagering service is taken to have verified the identity of an individual if
it has been provided with originals or certified copies two different category A documents or
one category A document and two category B documents. The details on these documents
must also correspond with the personal details provided by the individual for the purposes of
creating an account.
Item 4 - Part 1A
8. Item 4 inserts a new Part 1A into the Act which relates to the training of gambling
service employees. Contained in new Part 1A is new subsection 14A(1) which requires
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gambling services to provide prescribed training to employees who, in the course of their
duties, have direct contact with individuals who use the service. New subsection 14A(2)
makes it an offence for a gambling service to fail to provide this training. New subsection
14A(3) stipulates that the regulations prescribing the type of information, training and
instructions provided to employees may include how to recognise problem gambling
behaviour, providing information to individuals about support services and how to deal with
individuals who have identified as having a gambling problem. It is expected that the
regulations will prescribe that training should be provided upon employment with the
restricted wagering service and refresher courses offered periodically thereafter, at least every
12 months. The content of the training could include providing examples of problem
gambling behaviour (such as increases in both the frequency of betting and the amount that is
being bet by an individual that is unusual based on their gambling history). The training
should include both written tests and role playing exercises in order to demonstrate
knowledge of the course material and the ability to apply that knowledge in real life.
Item 5 - Division 4
9. Item 5 inserts a new Division 4 into Part 3 of the Act. This Division contains section
31A which relates to injunctions for the purposes of transaction blocking. Subsection 31A(1)
states that the Federal Circuit Court of Australia may, on application by the Interactive
Gambling Regulator grant an injunction referred to in subsection (2) if the Court is satisfied
that an Authorised Deposit-taking Institution ('ADI') facilitates transactions in relation to a
prohibited internet gambling service. Subsection 31A(2) states that the injunction is to
require the ADI to take reasonable steps to prohibit transactions in relation to the prohibited
internet gambling service. The ability for the Regulator to apply to the Court for an injunction
of this kind is necessary in order to block money being sent to and accepted by prohibited
internet gambling services, despite the fact it is illegal under the Act for them to offer their
services to residents of Australia. The Act does empower the Australian Communications and
Media Authority to refer prohibited internet gambling services to the Australian Federal
Police for investigation. However, as at November 2015 no prohibited internet gambling
service has ever been investigated or shut down by the Australian Federal Police. Subsection
31A(3) sets out that the parties to an application under subsection (1) are the Interactive
Gambling Regulator, the ADI and the prohibited internet gambling service. Subsection
31A(4) states that the Interactive Gambling Regulator must notify the ADI and the prohibited
internet gambling service of the making of an application under subsection (1). Subsection
31A(5) sets out the matters that may be taken into account by the Court when determining
whether to grant the injunction, including whether it is in the public interest to do so and
whether prohibiting transactions is a proportionate response in the circumstances of the case.
Subsection 31A(6) stipulates the Court may limit the duration of an injunction or rescind or
vary an injunction. Subsection 31A(7) states an application under subsection (6) may be
made by any of the persons referred to in subsection (3) or any other person prescribed by the
regulations. Subsection 31A(8) provides that an ADI is not liable for any costs in relation to
proceedings concerning these injunctions unless the ADI enters an appearance and takes part
in the proceedings.
Item 6 - Parts 7B, 7C and 7D
10. Item 6 inserts a new Parts 7B, 7C and 7D into the Act relating to restricted wagering
services.
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11. Division 1 contains a simplified outline of the Part which is set out in section 61G.
This outline is included to assist readers to understand the substantive provisions and is not
intended to be comprehensive. Readers should only use the outlines as a guide and rely on the
substantive provisions as the outlines do not affect the operation of the substantive provisions
of the Act.
12. New Division 2 contains offences and civil penalty provisions in relation to the
conduct of restricted wagering services and inserts new sections 61GA to 61GS.
a. Section 61GA relates to credit and restricted wagering services. Subsection
61GA(1) prohibits a person who intentionally provides a restricted wagering
service from providing or offering to provide credit to individuals to use that
service. The purpose of this prohibition is to ensure that individuals do not
gamble more than they can afford. Subsection 61GA(2) makes it an offence
for a person to contravene that prohibition. Subsection 61GA(3) makes the
person liable to a civil penalty provision if they contravene that prohibition.
Subsection 61GA(4) means that for each day that a person contravenes the
prohibition they are committing a separate offence or a separate contravention
of the civil penalty provision.
b. Section 61GB relates to inducements. Subsection 61GB(1) prohibits a person
who intentionally provides a restricted wagering service from inducing or
attempting to induce, or from causing another person to induce or attempt to
induce an individual to use that service. Examples of inducements currently
used by restricted wagering services include sign-up bonuses, matched
deposits, bonuses for referring friends and other rewards such as free sporting
merchandise or free tickets to sporting events. Subsection 61GB(2) makes it
an offence for a person to contravene that prohibition. Subsection 61GB(3)
makes the person liable to a civil penalty provision if they contravene that
prohibition. Subsection 61GB(4) means that for each day that a person
contravenes the prohibition they are committing a separate offence or a
separate contravention of the civil penalty provision.
c. Section 61GC relates to micro betting. Subsection 61GC(1) prohibits a
person who intentionally provides a restricted wagering service from offering
or accepting micro betting. Micro betting is defined in section 4 of the Act and
includes bets made after a sporting event has already commenced or bets made
on contingencies that may or may not occur during a sporting event. For
example, this subsection would prohibit a restricted wagering service offering
or accepting a bet that in a game of cricket, the first ball bowled in the first
over will be a no ball. The purpose of this restriction is to discourage match-
fixing or the rigging of matches. Subsection 61GC(2) makes it an offence for
a person to contravene that prohibition. Subsection 61GC(3) makes the
person liable to a civil penalty provision if they contravene that prohibition.
Subsection 61GC(4) means that for each day that a person contravenes the
prohibition they are committing a separate offence or a separate contravention
of the civil penalty provision.
d. Section 61GD relates to establishing accounts for placing bets. Subsection
61GD(1) prohibits a person who intentionally provides a restricted wagering
service from creating an account unless the individual seeking to set up the
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account provides his or her personal details. Subsection 61GD(2) makes it an
offence to contravene this prohibition. Subsection 61GD(3) makes a person
liable to a civil penalty provision if they contravene that prohibition.
e. Section 61GE relates to verifying the identity of an individual before creating
an account for that individual. Subsection 61GE(1) prohibits a person who
intentionally provides a restricted wagering service from creating an account
or facilitate the placing of bets for an individual if the restricted wagering
service has not verified that individual's identity. This is to ensure the
individual attempting to open an account is the person they are purporting to
be. Subsection 61GE(2) makes it an offence for a restricted wagering service
to contravene that prohibition. Subsection 61GE(3) makes a person liable to a
civil penalty provision if they contravene that prohibition.
f. Section 61GF relates to checking the National Self-exclusion Register before
opening accounts. Subsection 61GF(1) prohibits a person who intentionally
provides a restricted wagering service from opening an account or otherwise
facilitating the placing of bets for an individual if it has not submitted the
individual's personal details to the National Self-exclusion Register ('NSER')
to check whether the individual's personal details are included on the NSER.
The purpose of this prohibition is to ensure a restricted wagering service
checks the NSER before creating an account or accepting bets from an
individual who has submitted their details to the NSER. An individual would
submit their details to the NSER in order to bar themselves from engaging in
online sports betting. Subsection 61GF(2) makes it an offence for a person to
contravene that prohibition. Subsection 61GF(3) makes the person liable to a
civil penalty provision if they contravene that prohibition. Subsection
61GF(4) means that for each day that a person contravenes the prohibition
they are committing a separate offence or a separate contravention of the civil
penalty provision.
g. Section 61GG relates to pre-commitment options for accounts. Subsection
61GG(1) obliges a person who intentionally provides a restricted wagering
service to require any individual who creates an account with that service to
set an annual and monthly maximum betting limit. The purpose of this
requirement is to encourage individuals to think about the maximum amount
they are willing to bet each month and the maximum amount they are willing
to bet over a year before their gambling begins. Currently it is easy for
gamblers to chase their losses and bet more than they had originally intended.
By setting a pre-commitment limit, individuals will be better able to control
their gambling spending. Subsection 61GG(2) makes it an offence for a
person to contravene that prohibition. Subsection 61GG(3) makes the person
liable to a civil penalty provision if they contravene that prohibition.
Subsection 61GG(4) means that for each day that a person contravenes the
prohibition they are committing a separate offence or a separate contravention
of the civil penalty provision.
h. Section 61GH relates to creating accounts for individuals on the National
Self-exclusion Register (NSER). Subsection 61GH(1) prohibits a person who
intentionally provides a restricted wagering service from creating an account
or facilitating the placing of bets for an individual whose personal details are
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on the NSER if that person knew the individual's details were included on the
NSER or was reckless as to whether the individual's details were on the
NSER. The purpose of this prohibition is to ensure accounts are not created by
restricted wagering services for individuals who have submitted their details to
the NSER in order to bar themselves from online sports betting. Subsection
61GH(2) makes it an offence for a person to contravene that prohibition.
Subsection 61GH(3) makes the person liable to a civil penalty provision if
they contravene that prohibition. Subsection 61GH(4) means that for each
day that a person contravenes the prohibition they are committing a separate
offence or a separate contravention of the civil penalty provision.
i. Section 61GI relates to increasing betting limits. Subsection 61GI(1)
prohibits a person who intentionally provides a restricted wagering service
from increasing or causing to increase an individual's betting limit. This is to
ensure that individuals do not inadvertently exceed their betting limits.
Subsection 61GI(2) states this prohibition does not apply if (paragraph (a))
the individual has requested the increase to their monthly or annual betting
limit and (paragraph (b)) either the individual has made the request at least 7
days before the increase takes effect (in relation to the monthly betting limit
per subparagraph (2)(b)(i)) or 14 days before the increase takes effect (in
relation to the annual betting limit per subparagraph (2)(b)(ii) and
(paragraph (c)) the individual has not made more than one other request to
increase their limit in the previous 12 months. The purpose of setting
conditions on when betting limits can be increased is to ensure individuals do
not make decisions to increase their betting limits in the heat of the moment
when they may be experiencing losses. It is a safeguard for gamblers who may
experience problems controlling their spending. Subsection 61GI(3) makes it
an offence for a person to contravene that prohibition. Subsection 61GI(4)
makes the person liable to a civil penalty provision if they contravene that
prohibition. Subsection 61GI(5) means that for each day that a person
contravenes the prohibition they are committing a separate offence or a
separate contravention of the civil penalty provision.
j. Section 61GJ relates to inducements to increase betting limits. Subsection
61GJ(1) prohibits a person who intentionally provides a restricted wagering
service from inducing or attempting to induce, or causing another person to
induce or attempt to induce, an individual to increase their monthly or annual
betting limit. The purpose of this prohibition is to ensure that restricted
wagering services do not encourage customers to increases limits that have
been set at the maximum that customer indicated they were prepared to bet.
Situations where a restricted wagering service may attempt to induce a
customer to increase betting limits could be prior to major sporting events
such as grand finals and the Melbourne Cup. Without such a prohibition, if
customers are close to or have reached their betting limit for the month or
year, restricted wagering services could contact them to offer to increase their
limits. Subsection 61GJ(2) makes it an offence for a person to contravene that
prohibition. Subsection 61GJ(3) makes the person liable to a civil penalty
provision if they contravene that prohibition.
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k. Section 61GK relates to exceeding betting limits. Subsection 61GK(1)
prohibits a person who intentionally provides a restricted wagering service
from accepting a bet from an individual if that bet exceeds the monthly or
annual betting limit nominated by that individual. The purpose of this
prohibition is to ensure that restricted wagering services do not allow
individuals to exceed their betting limits. Subsection 61GK(2) makes it an
offence for a person to contravene that prohibition. Subsection 61GK(3)
makes the person liable to a civil penalty provision if they contravene that
prohibition. Subsection 61GK(4) means that for each day that a person
contravenes the prohibition they are committing a separate offence or a
separate contravention of the civil penalty provision.
l. Section 61GL relates to the provision of statements by restricted wagering
services. Subsection 61GL(1) requires a person who intentionally provides a
restricted wagering service to provide to individuals who use that service a
statement containing the transaction history of that individual. The contents of
the statement must comply with the regulations made for the purposes of this
subsection. The purpose of providing statements is to ensure individuals have
a clear understanding of how much they are betting. Subsection 61GL(2)
makes it an offence for a person to contravene that prohibition. Subsection
61GL(3) makes the person liable to a civil penalty provision if they
contravene that prohibition. Subsection 61GL(4) means that for each day that
a person contravenes the prohibition they are committing a separate offence or
a separate contravention of the civil penalty provision. Subsection 61GL(5)
sets out what must be prescribed by the regulations made for the purposes of
this subsection. The regulations must prescribe the period which the statement
must cover, how often the statements must be provided (which must not be
less than once a month) and the manner and form in which the statement must
be provided. The statement should be easy to read and give the individual a
clear understanding of how much they have bet (and lost) over the period.
m. Section 61GM relates to the prohibition on disclosing information for
marketing purposes. Subsection 61GM(1) prohibits a person who
intentionally provides a restricted wagering service from disclosing the
personal information of an individual who uses that service to another person
for use by the other person in relation to marketing of a good or service. The
purpose of this prohibition is to ensure restricted wagering services do not
share information on customers in order to encourage those customers to use
gambling services provided by other restricted wagering services. Subsection
61GM(2) makes it an offence for a person to contravene that prohibition.
Subsection 61GM(3) makes the person liable to a civil penalty provision if
they contravene that prohibition.
n. Section 61GN relates to the requirement to provide a link to the website of the
National Self-exclusion Register. Subsection 61GN(1) requires a person who
intentionally provides a restricted wagering service to include on each page of
that person's website a clear and prominent link to the National Self-exclusion
Register that complies with the regulations made for the purposes of this
subsection. The purpose of this requirement is to ensure that all websites for
restricted wagering services contain a link for the National Self-exclusion
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Register so that gamblers are aware of the Register's existence and can access
it easily if they are on a restricted wagering service's website and decide they
wish to self-exclude from that website. Subsection 61GN(2) makes it an
offence for a person to fail to comply with that requirement. Subsection
61GN(3) makes the person liable to a civil penalty provision if they fail to
comply with that requirement. Subsection 61GN(4) means that for each day
that a person fails to comply with that requirement they are committing a
separate offence or a separate contravention of the civil penalty provision.
Subsection 61GN(5) sets out that regulations made for the purposes of
paragraph (1)(c) may prescribe requirements in relation to the position and
size of the link, the logos that must be included with the link and any other
information that may be required. These specifications are necessary in order
to ensure the link is clearly visible to those who are using websites of
restricted wagering services and to ensure the link is not obscured or hidden
by material promoting the services of the website.
13. New Division 3 concerns the prohibition of advertising of restricted wagering
services and contains new section 61GO.
a. Section 61GO relates to when restricted wagering service advertisements
cannot be broadcast. Subsection 61GO(1) prohibits a person from
broadcasting a restricted wagering service advertisement in Australia during a
G classified television program or during a television program that consists of
coverage of a sporting event. The purpose of this prohibition is to minimise
the exposure of children to sports betting advertising. Subsection 61GO(2)
prohibits a person from authorising the broadcast, or causing the broadcast, in
Australia of an advertisement for a restricted wagering service during a G
classified television program or a television program that consists of coverage
of a sporting event. Subsection 61GO(3) makes it an offence for a person a
person to contravene the prohibitions in subsections (1) or (2). Subsection
61GO(4) makes the person liable to a civil penalty provision if they
contravene either of those prohibitions. Subsection 61GO(5) inserts new
definitions for this section of broadcast, broadcasting service, program and
restricted wagering service advertisement. The definition of restricted
wagering service advertisement means writing, still or moving picture, sign,
symbol or other visual image or any audible message or any combination of 2
or more of those things intended to promote a restricted wagering service
(including trademarks and domain names or URLs), restricted wagering
services in general or any words that are closely associated with a restricted
wagering service.
14. New Division 4 relates to the compliance and enforcement of the new offences and
civil penalty provisions under Part 4 of the Regulatory Powers (Standard Provisions) Act
2014 and contains new sections 61GP to 61GS.
a. Section 61GP concerns the enforcement of civil penalty provisions.
Subsection 61GP(1) makes a civil penalty provision in Division 2 or 3 of Part
7C enforceable under Part 4 of the Regulatory Powers Act. A note under
subsection 61GP(1) clarifies that Part 4 of the Regulatory Powers Act allows
for a civil penalty provision to be enforced by obtaining an order for a person
to pay a pecuniary penalty for the contravention of the provision. Subsection
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61GP(2) provides that the Regulator is an authorised applicant for the
purposes of Part 4 of the Regulatory Powers Act in relation to a civil penalty
provision in Division 2 or 3 of this Part. Subsection 61GP(3) provides that for
the purposes of Part 4 of the Regulatory Powers Act the Federal Circuit Court
of Australia is the relevant court. Subsection 61GP(4) provides for the
extension of civil penalties to external territories, and acts, omissions, matters
and things outside Australia for the purposes of Part 4 of the Regulatory
Powers Act. This ensures the proper operation of this Part of the Regulatory
Powers Act to civil penalty provisions under the Bill.
b. Section 61GQ relates to infringement notices. Subsection 61GQ(1) identifies
civil penalty provisions in Divisions 2 and 3 as provisions that may be subject
to infringement notices under Part 5 of the Regulatory Powers Act. Consistent
with Commonwealth guidelines for infringement notice schemes, infringement
notices will be used to deal with less serious and less factually complex
contraventions of a provision, where initiating court proceedings would be
disproportionately costly (see Chapter 6 of the Australian Government Guide
to Framing Commonwealth Offences, Infringement Notices and Enforcement
Powers). Subsection 61GQ(2) provides that for the purposes of Part 5 of the
Regulatory Powers Act, a person appointed under subsection (3) is an
infringement officer in relation to the provisions mentioned in subsection (1).
Subsection 61GQ(3) provides that the Regulator may appoint in writing a
person to be an infringement officer if that person holds or performs the duties
of an APS 6 position or an equivalent or higher position within the
Department. Subsection 61GQ(4) provides that the Regulator is the relevant
chief executive for the purposes of the provisions mentioned in subsection (1).
Subsection 61GQ(5) provides that the amount to be stated in an infringement
notice for the alleged contravention of a civil penalty provision mentioned in
subsection (1) of this section must be one-fifth of the maximum penalty that a
court could impose on the person for that contravention. Subsection 61GQ(6)
provides that Part 5 of the Regulatory Powers Act, as it applies in relation to
the provisions mentioned in subsection (1), extends to every external territory
as well as acts, omissions, matters and things outside Australia.
c. Section 61GR relates to enforceable undertakings. Subsection 61GR(1)
provides that the provisions of Divisions 2 and 3 of this Part are enforceable
under Part 6 of the Regulatory Powers Act as enforceable undertakings. This
provides an additional tool with which Government can enforce compliance.
Part 6 of the Regulatory Powers Act creates a framework for accepting and
enforcing undertakings relating to compliance with offence provisions and
civil penalty provisions. Subsection 61GR(2) provides that the Regulator is
an authorised person in relation to the provisions of Divisions 2 and 3 of this
Part for the purposes of Part 6 of the Regulatory Powers Act. Subsection
61GR(3) provides that the Federal Circuit Court of Australia is a relevant
court in relation to the provisions of Divisions 2 and 3 of this Part for the
purposes of Part 6 of the Regulatory Powers Act. Subsection 61GR(4)
provides that Part 6 of the Regulatory Powers Act as it applies in relation to
the provisions of Divisions 2 and 3 of the Part extends to every external
territory as well as acts, omissions, matters and things outside Australia.
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d. Section 61GS relates to injunctions. Subsection 61GS(1) provides that the
provisions of Divisions 2 and 3 of this Part are enforceable under Part 7 of the
Regulatory Powers Act. Part 7 of the Regulatory Powers Act creates a
framework for using injunctions to enforce provisions. Subsection 61GS(2)
provides that the Regulator is an authorised person in relation to the provisions
of Divisions 2 and 3 of this part for the purposes of Part 7 of the Regulatory
Powers Act. Subsection 61GS(3) provides that the Federal Circuit Court of
Australia is a relevant court in relation to the provisions of Divisions 2 and 3
of this Part for the purposes of Part 7 of the Regulatory Powers Act.
15. New Part 7C relates to the National Self-exclusion Register.
16. New Division 1 contains new sections 61HA to 61HG.
a. Subsection 61HA(1) requires the Interactive Gambling Regulator to keep a
register of individuals who wish to self-exclude from restricted wagering
services. The purpose of this Register is to allow gamblers to self-exclude
from any or all restricted wagering services so that they are no longer able to
place bets with those services. Currently if an individual wishes to self-
exclude from any restricted wagering service they must first open an account
with that service and then apply to be self-excluded from that service. This can
be a time consuming process. If an individual believes they are having
difficulties controlling their gambling to the point that they feel the only way
to regain control is to self-exclude from being able to bet with these services,
it is important to make this process as simple as possible. The National Self-
exclusion Register is intended to be a single website through which an
individual can apply to be self-excluded from all restricted wagering services.
It is a harm minimisation measure that will benefit problem gamblers and will
have no impact on recreational gamblers. Subsection 61HA(2) stipulates the
name of this register is the National Self-exclusion Register. Subsection
61HA(3) requires the register to be kept in electronic form. Subsection
61HA(4) states that the register is not a legislative instrument. It is included in
order to clarify that the register is not a legislative instrument for the purpose
of the Legislative Instruments Act 2003. Subsection 61HA(5) requires the
Regulator to establish the Register as soon as practicable after
commencement. Subsection 61HA(6) states that for the purposes of the
Privacy Act 1988 the primary purpose of the register is to facilitate the self-
exclusion of individuals from restricted wagering services and the prohibition
under section 61GH of restricted wagering services creating accounts or
otherwise facilitating the placing of bets for individuals who have self-
excluded.
b. Section 61HB enables the Interactive Gambling Regulator to correct or update
information on the Register. This is necessary to ensure that new applications
by individuals to be self-excluded can be made and for information already on
the Register to be updated (for example if an individual changes their address
or name). This power is also necessary in the event an individual wishes to
remove themselves from the Register.
c. Section 61HC relates to applications for registration. Subsection 61HC(1)
states an individual can apply to the Regulator for their personal details to be
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included on the Register. Subsection 61HC(2) sets out what must be included
in the application, namely the individual's personal details which must be on
the form and the manner specified by the Regulator.
d. Section 61HD concerns registration on the Register. Paragraphs 61HD(a)
and (b) set out that if an application is made for an individual's personal
details to be included on the Register and the applicant satisfies the Regulator
that the personal details provided under paragraph 61HB(2)(a) are the
applicant's personal details then the applicant's personal details must be
entered into the Register. The intent of subsection 61HD(b) is to ensure
identities are verified before they are entered into the Register in order to
prevent one individual from registering the personal details of another
individual on the Register.
e. Section 61HE relates to duration of registration on the Register. Subsection
61HE(1) states the registration of a person's personal details takes effect when
their name and details are entered into the Register and unless their details are
removed from the Register their registration will remain in force indefinitely.
This is to ensure that the self-exclusion of an individual remains in effect
indefinitely and does not lapse or require re-application after a certain period
of time. Subsection 61HE(2) clarifies that if a person's name and details are
removed from the Register there is nothing in this Act that prevents the person
from re-registering their personal details on the Register. This subsection deals
with the reality that some problem gamblers may think they have their
gambling under control and wish to remove themselves from the register, only
to realise that after they do they continue to experience difficulties controlling
their gambling. Allowing a person to re-register their personal details after
removal from the register ensures they have the ongoing ability to self-
exclude.
f. Section 61HF relates to removal from the Register. Subsection 61HF(1)
requires the Regulator to make a determination (by legislative instrument) that
provides for a person to apply for their name to be removed from the Register.
Subsection 61HF(2) sets out that the determination must include the form of
an application for removal from the Register, the information that must
accompany the application the documentation that must be provided in support
of the individual's application. It is likely the majority of people who register
their details on the Register do so out of concerns about their gambling.
Therefore removal from the Register is a serious issue as it will enable that
individual to start gambling again. In order to minimise a person's exposure to
harm once they are no longer barred from gambling, the Regulator should be
satisfied that the risk to the person is minimal. An example of a requirement
that could be included in the legislative instrument referred to in subsection
61HF(1) is for a report from a psychologist or counsellor to accompany an
application for removal from the Register. The psychologist or counsellor
must be experienced in treating people with gambling addictions and their
report must conclude that they are satisfied that person applying for removal
from the Register no longer exhibits signs of having a gambling problem. The
Regulator may also require a person to meet with them in order to discuss the
application for removal from the register to ensure the person is fully informed
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about the effect removal will have (namely the ability to commence gambling
again).
g. Subsection 61HG relates to the administration of the Register. It provides that
the Regulator may, by legislative instrument, make a determination in relation
to the administration of the Register. Determinations may be made in relation
to matters such as the form to be used for an individual's details to be entered
onto and removed from the Register as well as correcting the Register.
Determinations may also deal with any other matters relating to the
administration of the Register.
17. New Division 2 relates to dealing with protected information in the Register and
includes sections 61HH and 61HI.
a. Section 61HH concerns authorized dealings with protected information.
Subsection 61HH(1) states that personal information or relevant personal
details can be collected, recorded, disclosed or otherwise used by a person if
that person does so for the purposes of including the information on the
Register. Subsection 61HH(2) relates to who may make a record of, disclose
or otherwise use protected information in the Register, including (amongst
others) an officer or employee of the Commonwealth. A note following
subsection 61HH(2) states that this subsection is an authorisation for the
purposes of other laws, including the Australian Privacy Principles.
b. Section 61HI makes it an offence for a person to obtain protected information
and makes a record of the information, discloses or otherwise uses the
information unless the person is authorised to do so by section 61HH.
18. New Part 7D relates to the Interactive Gambling Regulator and contains sections
61JA to 61JQ.
a. Section 61JA establishes the Interactive Gambling Regulator ('the
Regulator').
b. Section 61JB sets out the functions of the Regulator. As well as administering
the National Self-exclusion Register, the Regulator will monitor, promote,
investigate and enforce compliance with new Parts 7B and 7C of the Act
(which are inserted by this Bill). The Regulator will also provide advice to the
Minister in relation to the operation of Parts 7B and 7C of the Act, and in
particular the operation of the Register. It will also develop a code of practice
relating to problem gambling in consultation with industry (including
restricted wagering services and services that offer counselling to problem
gamblers). The Regulator will not be responsible for the licensing of wagering
services generally but will be responsible for issuing infringement notices,
seeking injunctions, accepting enforceable undertakings and prosecuting civil
penalties against restricted wagering services.
c. Section 61JC states the Regulator has the power to do all things necessary or
convenient to be done in connection with the performance of the Regulator's
functions.
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d. Section 61JD relates to the appointment of the Regulator. Subsection
61JD(1) states the Regulator is to appointed by the Minister by legislative
instrument. Subsection 71JD(2) sets out that only a person with substantial
skills, qualifications or experience in public administration, consumer
protection or mental health is eligible to be appointed as Regulator.
Subsection 61JD(3) provides that the Regulator holds office on a full-time
basis. Subsection 61JD(4) provides that the Regulator holds office for the
period specified in the instrument of appointment and that such period must
not exceed 5 years.
e. Subsection 61JE(1) allows the Minister to appoint a person to act as
Regulator during a vacancy in the office of the Regulator or during a period
when the Regulator is absent from Australia or is unable to perform the duties
of the office. Subsection 61JE(2) provides that only those who would be
eligible to be appointed as the Regulator may be appointed to act as the
Regulator.
f. Section 61JF relates to remuneration and allowances of the Regulator.
Subsection 61JF(1) provides that the Regulators is to be paid the
remuneration that is determined by the Remuneration Tribunal, unless no such
determination is in operation in which case the Regulator is to be paid the
remuneration prescribed by the regulations. Subsection 61JF(2) provides that
the Regulator is also to be paid the allowances that are prescribed by the
regulations. Subsection 61JF(3) provides that this section has effect subject to
the Remuneration Tribunal Act 1973.
g. Section 61JG relates to leave of absence of the Regulator. Subsection
61JG(1) provides that the Regulator has such leave entitlements as are
determined by the Remuneration Tribunal. Subsection 61JG(2) provides that
the Minister may grant the Regulator leaves of absence, other than recreation
leave, on such terms and conditions as to remuneration and otherwise as are
determined by the Minister.
h. Section 61JH requires the Regulator not to engage in paid employment
outside his or her duties without the Minister's approval.
i. Section 61JI requires the Regulator to give written notice to the Minister of
all interests the Regulator has or acquires that conflict or could conflict with
the proper performance of the Regulator's functions. An example of an
interest is shares in a company that is a restricted wagering service.
j. Section 61JJ relates to resignation of the Regulator. Subsection 61JJ(1)
provides that the Regulator may resign by providing a written resignation to
the Minister. Subsection 61JJ(2) states that the resignation takes effect 2
weeks after it was received by the Minister, unless a later date is specified in
the resignation. The purpose of this minimum notice is to facilitate the smooth
transition to a new Regulator and to minimise the risk that the position may
remain vacant for an extended period of time while a new Regulator is
recruited.
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k. Section 61JK relates to the termination of appointment of the Regulator.
Subsection 61JK(1) permits the Minister to terminate the appointment of the
Regulator for misbehavior or if the Regulator is unable to perform his or her
duties because of physical or mental incapacity. Subsection 61JK(2) sets out
other circumstances in which the Minister may terminate the appointment of
the Regulator, including if the Regulator becomes bankrupt, if the Regulator is
absent for 14 consecutive days or for 28 days in any 12 months except on
leave of absence or if the Regulator engages in paid employment outside the
duties of his or her office without the Minister's approval.
l. Section 61JL states that the Regulator holds office on the terms and
conditions (if any) in relation to matters not covered by this Act that are
determined by the Minister.
m. Section 61JM relates to delegation by the Regulator. Subsection 61JM(1)
enables the Regulator to delegate, in writing, any or all of the Regulator's
functions and powers to the Secretary of the Department or an SES employee,
or acting SES employee, in the Department Subsection 61JM(2) requires a
delegate to comply with any written directions of the Regulator.
n. Section 61JN states that staff assisting the Regulator must be persons engaged
under the Public Service Act 1999 who are made available for the purpose of
assisting the Regulator by the Secretary of the Department.
o. Section 61JO relates to consultants. Subsection 61JO(1) enables the
Regulator to engage persons with suitable qualifications and experience as
consultants to the Regulator. Subsection 61JO(2) states that consultants are to
be engaged on the terms and conditions that the Regulator determines in
writing.
p. Section 61JP requires the Regulator, as soon as practicable after the end of
each financial year, to prepare a report on the operations of the Regulator
during that year. The report must be given to the Minister for presentation to
the Parliament.
q. Subsection 61JQ(1) states the Minister may give written directions to the
Regulator about the performance of the Regulator's functions and the exercise
of the Regulator's powers. These directions are legislative instruments.
Subsection 61JQ(2) requires the direction to be of general nature only.
Subsection 61JQ(3) requires the Regulator to comply with the direction given
by the Minister under subsection (1).
Privacy Act 1988
Item 7 - Paragraph 7.8(aa)
19. Item 6 inserts new paragraph 7.8(aa) into the Privacy Act 1988 which relates to Part
7B of the Interactive Gambling Act 2001. This provides that Australian Privacy Principle 7
(direct marketing) does not apply to the extent that Part 7B (restricted wagering services) of
the Interactive Gambling Act 2001 applies.
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Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Interactive Gambling Amendment (Sports Betting Reform) Bill 2015
This Bill is compatible with the human rights and freedoms recognised or declared in the
international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny)
Act 2011.
Overview of the Bill
The purpose of this Bill is to create a number of new harm minimisation measures in relation
to online sports betting. Services that allow individuals to place bets on races or sporting
events online are defined as 'restricted wagering services'. This Bill establishes an Interactive
Gambling Regulator who will monitor and enforce compliance by restricted wagering
services of their obligations under the Act. A National Self-exclusion Register for those who
wish to bar themselves from accessing online sports betting is also established by this Bill.
Human rights implications
This Bill does not engage any of the applicable rights or freedoms, as it deals with the
regulation of online gambling activity for the purposes of consumer protection.
Conclusion
This Bill is compatible with human rights as it does not raise any human rights issues.
Senator Xenophon
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