DraftKings Fined Online Slot Machine Fails to Produce Win

The DraftKings brand is in hot water once again.

Connecticut’s Department of Consumer Protection (DCP) has fined DraftKings for a glitch in one of its online casinos. The glitch caused one of the casino’s slot machines to fail to produce any wins over 20,000 spins. That falls well outside the range required by Connecticut, leading to a fine of $19,000.

“Our customers’ satisfaction and the integrity of our products are central to our success," DraftKings said in a statement. "We have robust measures to monitor potential payout issues, and we investigate any concerns promptly. In the event of a game not functioning as intended, we ensure impacted customers are appropriately refunded."

After DraftKings discovered the glitch, it returned all money to customers who had played the game. However, it did not explain why the funds were being returned. Customers complained to the DPC, calling attention to the issue.

In addition to the glitch, DraftKings also attempted to hide the issue from the DPC. The operator failed to report the glitch until after the DPC inquired about it. The regulator was receiving complaints from customers for days after the issue took place, giving DraftKings ample time to alert them.

While the fine is minimal for an operator of DraftKings’ size, the story represents yet another black mark for the brand.

DraftKings Recovers from Sportsbook Surcharge

Things haven’t been better for DraftKings Sportsbooks of late. They have had some issues with customer payouts but made headlines when they announced a surcharge on customer winnings in four markets. The move attempted to combat rising tax rates, but public outcry led to the company canceling the surcharge just days late.

DraftKings' stock price tumbled after the fiasco, but industry analysts believe the fallout is over. The industry giant remains one of the most popular sportsbooks in the US.