Code of Massachusetts Regulations › 205 CMR - MASSACHUSETTS GAMING COMMISSION › Title 205 CMR 238.00 - Additional Uniform Standards of Accounting Procedures and Internal Controls for Sports Wagering › Section 238.32 - Restricted Patrons

Current through Register 1525, July 5, 2024
A system of Internal Controls submitted by a Sports Wagering
				Operator in accordance with
				205
				CMR 238.02 shall meet the requirements of
				205
				CMR 243.01(1)(t)  and
				include the following in accordance with M.G.L. c. 23N, § 11(a):
(1) No Sports Wagering Operator, directors,
			 officers, owners, employees, subcontractors, or Qualifiers of the Sports
			 Wagering Operator, as well as those within the same household as any such
			 Person, may place Sports Wagers with the Sports Wagering Operator, or with any
			 other Sports Wagering Operator tethered to the Operator, on any event, except
			 in private pools where the player's association with the Sports Wagering
			 Operator is clearly disclosed. Nor may such individual place Sports Wagers
			 through another person as a proxy or agent. However, Sports Wagering Operator
			 employees may use clearly marked test accounts for testing purposes such as
			 evaluating a Sports Wagering Platform. Sports Wagering Operators shall make
			 these restrictions known to all affected individuals and corporate
			 entities.
(2) No individual with
			 proprietary or non-public information held by the Sports Wagering Operator may
			 place Sports Wagers with the Sports Wagering Operator, or with any other Sports
			 Wagering Operator tethered to the Operator. Nor may such individual place
			 Sports Wagers through another person as a proxy or agent. Sports Wagering
			 Operators shall make these restrictions known to all affected individuals and
			 corporate entities.
(3) No Sports
			 Wagering Operator shall allow a professional or athlete, coach, referee, team
			 owner, employee of a Sports Governing Body or its member teams and patron and
			 referee union personnel, place Sports Wagers on events in the sport in which
			 the individual participates, or in which the athlete the individual represents
			 participates. Nor may such athlete, sports agent, team official, team
			 representative, referee or league official place Wagers through another person
			 as a proxy or agent. A Sports Wagering Operator may not be held liable for a
			 violation of
			 205
			 CMR 238.32(3)  if:
(a) The Sports Wagering Operator makes
			 commercially reasonable efforts to obtain lists of such Persons for the purpose
			 of implementing
			 205
			 CMR 238.32, such as by monitoring for and
			 restricting accounts of such Persons;
(b) The Sports Wagering Operator makes these
			 restrictions known to all affected individuals and corporate
			 entities;
(c) The Sports Governing
			 Body in which the athlete, sports agent, team official, team representative,
			 referee or league official participates, maintains and enforces a policy that
			 excludes such individuals from placing Wagers in that sport;
(d) The Commission has previously used the
			 list of barred employees from the Sports Wagering Operator in accordance with
			 M.G.L. c. 23N, § 11(a)(ii), and worked directly with a member team to
			 determine the risk posed by certain employees for obtaining nonpublic
			 information on a Sporting Event and removed an employee without knowledge of
			 team strategy or game operations from such a list after the Commission
			 determined any such risk is
de minimis
; and
(e) The Sports Wagering Operator, upon
			 learning of a violation of
			 205
			 CMR 238.48(3), informs the
			 Commission, immediately bars the individual committing the violation from
			 Sports Wagering by suspending such individual's Sports Wagering Account and
			 banning such individual from further Sports Wagering, terminates any existing
			 promotional agreements with such individual and refuses to make any new
			 promotional agreements that compensate such individual.