A Melbourne man has accused a gambling company of offering him $25,000 if he agreed to withdraw a formal complaint to a national regulator. He said the offer came with strict terms, including confidentiality, indemnity clauses, and a prohibition on future complaints.

According to Burns, the settlement offer was tied to strict conditions, including the withdrawal of his complaint, a ban on future complaints, and a requirement to indemnify the company, even against potential adverse media coverage. He alleges that his 2022 gambling spree with two bookmakers, BetNation and BetDeluxe, clearly showed addictive behaviour. 

At the time, Burns was 21 and reportedly made a series of large transactions in short time spans, including three separate deposits totaling $120,000 within 17 minutes. He said neither company intervened despite signs of gambling harm. Regulatory guidelines require operators to detect and respond to red flags, such as rapid increases in betting frequency and deposit amounts.

Settlement Conditions Raise Ethical Questions

Burns said he was contacted via WhatsApp by a representative from Amused Group, the parent company that acquired BetDeluxe and BetNation in March 2023. The representative reportedly said someone at the regulator had provided them with his phone number. 

Afterwards, he was offered a $25,000 settlement, which matched a prior offer from the former owners of the bookmakers, but with added conditions. Burns declined the offer, citing the importance of a full investigation into what he believes were ignored warning signs. 

Advocates Warn Against Silencing Through Settlements

Consumer Action Law Centre CEO Stephanie Tonkin acknowledged that conditional settlements are common across many industries but warned they should not prevent consumers from reporting concerns to regulators. “They should be used sparingly and never to suppress regulatory engagement,” she said. 

Martin Thomas, CEO of the Alliance for Gambling Reform also expressed his thoughts on the matter:

“It makes a mockery of the complaints system if this is how complaints are handled. Governments must do more to protect Australians.” 

Furthermore, a gambling harm researcher, Lauren Levin,  echoed these concerns, saying many individuals in financial distress may find quick cash offers difficult to refuse, even if it means foregoing justice or broader reform.

Regulator Maintains Right to Investigate

The NTRWC confirmed that a withdrawn complaint does not necessarily halt their investigations. A spokesperson stated that the commission assesses the seriousness of each case regardless of private settlements. “There are instances where we have taken disciplinary action after a complaint was withdrawn,” the commission stated. 

Burns, who declined the settlement, maintains his complaint with the commission is still active. “The $25,000 might help me, but it won’t help the next person. I want them held accountable,” he said.