Sportsbet and Tabcorp Deny Drug and Sex Worker Allegations 2026

Sportsbet and Tabcorp deny allegations that account managers sourced drugs and sex workers to incentivize VIP clients to bet more, as revealed in a recent Australia news inquiry. The betting giants face serious claims brought by anti-gambling campaigners Tim Costello and Luke Bateman, who testified before a parliamentary hearing into Labor’s gambling advertising legislation.

Allegations of Misconduct in VIP Gambling Programs

During the hearing, Bateman alleged that he attended a private Gold Coast event hosted by a gambling company where senior figures took illicit drugs with clients. Costello added that he was assisting a gambling addict preparing to plead guilty to theft of millions, who had been offered drugs, escorts, and free accommodation. These accusations suggest a systemic failure in duty of care toward vulnerable gamblers.

Sportsbet’s Response to the Claims

Jules Norton Selzer, Sportsbet’s director of corporate affairs, told the inquiry the company has “zero evidence of the allegations.” He emphasized that Sportsbet has “no tolerance for that kind of deplorable conduct” and would gladly investigate any information provided. Selzer reiterated the company’s commitment to responsible gambling, supporting measures to reduce underage exposure and strengthen consumer protections across federal and state regulatory models.

Tabcorp’s Stance on the Allegations

Julian Whealing, Tabcorp’s head of government affairs, stated that providing illicit drugs, sex workers, and alcohol is not “part of Tabcorp’s customer offering.” He stressed that Tabcorp has “zero tolerance for this behavior” and is “Australia’s most regulated wagering company,” taking compliance responsibilities seriously. Whealing urged that any evidence of illegal activity be referred to relevant authorities.

Comparison of Corporate Responses

Key Takeaways from the Inquiry

• Both companies deny any involvement in supplying drugs or sex workers to clients.
• Campaigners allege a lack of duty of care in VIP gambling programs.
• Regulators are urged to investigate and act on any substantiated claims.
• Responsible gambling measures remain a focus for both Sportsbet and Tabcorp.

Implications for Gambling Regulation in Australia

This inquiry highlights potential gaps in the regulation of VIP customer incentives. The allegations, if proven, could lead to stricter oversight of wagering companies and their account manager practices. The federal government’s proposed advertising curbs may gain momentum as public trust in gambling operators is questioned.

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