BetMGM Fined $100,000 for Weak User Controls and Allowing Multi-Accounting

The Pennsylvania gambling regulator has fined sportsbook operator BetMGM $100,000 for weak user controls and allowing fraudulent activity on its platform.

The regulator said the failures were linked to insufficient customer verification (KYC) procedures, which allowed fraudsters to open accounts using third-party identities and to use falsified payment methods.

The investigation found that violations affected several company platforms, including BetMGM and Borgata, where four organised groups were operating.

One group created 1,567 accounts over more than two years, generating betting turnover of $229,500.

Another scheme, active for nearly three years, used 119 accounts based on stolen identities and generated more than $895,000 in turnover. Two additional groups operated dozens to hundreds of fake accounts, also producing significant betting volumes.

The regulator said operators must detect such schemes in a timely manner and prevent the use of their platforms for fraud. In this case, control systems were deemed insufficient, forming the basis for the fine.

Earlier, Gambling Park reported that BetMGM has previously faced regulatory action in the United States. In Massachusetts, the company was fined for accepting bets on Russian UFC fighter Petr Yan.