DraftKings Ordered to Repay $3 Million to Connecticut iGaming Players

• The Connecticut Department of Consumer Protection has ordered DraftKings to repay customers $3 million
• This concludes an investigation into certain company promo offers from 2021 through 2023
• DraftKings denies all allegations and denies any wrongdoing

The Connecticut Department of Consumer Protection concluded an investigation into certain DraftKings’ promotional offers in the state from 2021 and has ordered the company repay more than $3 million to Connecticut customers.

The Department of Consumer Protection (DCP) initiated an investigation into DraftKings‘ casino deposit and general promo offers from Oct. 19, 2021 through Jan. 4, 2023. The DCP alleged DraftKings did not clearly disclose a play through requirement for certain offered deposit and promo bonuses.

DraftKings must repay $3,011,766.77 to 7,075 Connecticut customers who participated in the bonus offers during the time period.

DraftKings Denies Any and All Wrongdoing

Included in the DCP settlement, DraftKings has denied “any and all liability or wrongdoing.”

“DraftKings is committed to operating in compliance with all regulatory requirements. We value our relationship with the Connecticut Department of Consumer Protection and will continue to work collaboratively with them,” a DraftKings spokesperson told Sports Betting Dime.

DraftKings agreed to voluntarily discontinue the bonus offers and all promotional mechanics of the same kind in Connecticut that offer a “casino deposit bonus,” “casino deposit match,” or “rollover bonus” with no admission of fault or liability.

Through the settlement, DraftKings must also not “market and advertise any online casino promotion offering a ‘bonus’ or ‘complimentary’ that requires a consumer to play through their deposit and bonus more than one time without clearly disclosing the required play through to the patron.”

If a customer still has an active account with DraftKings, the operator will be required to make a payment into the user’s account through a payment of their choosing. If the patron no longer has an active account with DraftKings, the operator will be required to issue a payment by check to the user’s last address associated with their account.

DraftKings Has New Requirements

As per the settlement, DraftKings will pay the DCP $50,000, which will be deposited into the department’s consumer protection enforcement fund account.

Additionally, DraftKings marketing and advertising personnel who work on Connecticut marketing and advertising will be required to undergo yearly training related to state marketing and advertising laws.

Also, DraftKings will be required starting January 2026 to submit an annual compliance report to the department by January 31 for the next five years, which will include the number of checks written to customers, cashed by customers, and the amount of customers DraftKings has been unsuccessful in locating.

The compliance report will also include data on active online casino game promotions, a list of employees who have completed the necessary yearly training, and provide data regarding complaints related to marketing and advertising for the year.