Congress Members ‘Demand’ FanDuel Provide More Info on Personalized Messages to VIP Bettors
By Robert Linnehan in Industry
Published:
- Sen. Richard Blumenthal (D-Conn.) and U.S. Reps. Paul D. Tonko (D-NY) and Valerie P. Foushee (D-N.C.) today asked for more information from FanDuel regarding VIP videos
- Congress members “demand” FanDuel provide full videos and information regarding personalized messages sent to VIP bettors
- FanDuel Senior VP Cory Fox noted the company has sent approximately 30 videos of athletes and entertainers to VIP bettors over the last two years
Sen. Richard Blumenthal (D-Conn.) and U.S. Reps. Paul D. Tonko (D-NY) and Valerie P. Foushee (D-N.C.) asked FanDuel to provide more information on 30 personalized video messages sent to VIP bettors over the course of the last two years.
The Congress members addressed the issue in a letter sent to FanDuel earlier this week, “demanding” the company provide copies of each of the personalized videos as well as information about whether the videos were sent to problem gamblers. The letter is in response to one sent to Congress members by FanDuel Senior Vice President Cory Fox on Sept. 24, in which the FanDuel executive acknowledged it had sent approximately 30 videos of athletes and entertainers over the last two years as “token of appreciation for a customer’s loyalty.”
Blumenthal, Tonko, and Foushee have criticized FanDuel’s VIP programs for customers since the summer, accusing the company of promoting harmful gaming activities through the program.
More Information on Videos
The Congress members delivered a letter to FanDuel this week claiming the company contradicted itself through previous answers in which it claimed it did not use personalized videos of messages to induce customers to continue gambling.
In a Sept. 24 letter to Congress, Genetski wrote that FanDuel’s VIP program is “not designed to encourage destructive gambling.”
“FanDuel does not employ any such practice. If a customer asks to close their account, FanDuel helps them do so. If a customer tells FanDuel or a VIP Account Manager that they are trying to cut back on their play, FanDuel’s practice is to help that customer use our responsible gaming tools or to ask FanDuel’s Responsible Gaming team to evaluate the account and, where appropriate, take action on the account (which can be a short suspension from the platform, an operator-imposed deposit limit, or a complete prohibition from the platform),” Fox wrote.
Blumenthal, Tonko, and Foushee, however, are asking for additional information from the company in its latest letter.
“Despite FanDuel’s claims that these videos were not sent to entice destructive gambling, we remain concerned that FanDuel’s VIP program and its perks are used to exploit vulnerable bettors, especially those suffering from a gambling addiction,” the Congress members wrote in their letter to FanDuel.
In their letter, the Congress members requested copies of each of the 30 videos sent to customers over the last two years, plus a description of the circumstances in which they were sent to customers. Plus, Blumenthal, Tonko, and Foushee requested information related to the customer’s total wagering activity, if the customer ever requested to suspend their account or limit their gambling, the reason the VIP host sent the video, what steps the VIP host took to ensure the bettor was not a problematic gambler, and what service was used to obtain the video.
Additionally, the politicians asked for information regarding the celebrity or athletes’ awareness of the video’s promotion of gambling or connection to FanDuel, plus a description of the data and behaviors monitored in FanDuel’s screening process for a customer who may be a problem gambler.
“While FanDuel claimed it “has not used personalized videos or messages to induce customers to continue gambling,” that statement is clearly contradicted by the fact that the video of Mr. Harper that gave rise to these concerns was sent to an individual that had lost $1.5 million on bets on your platform,” they wrote.
The Congress members requested answers to their questions no later than Tuesday, Oct. 20.
Back-and-Forth Since the Summer
The politicians sent letters to MLB and MLBPA in early August, urging the associations to end the practice of allowing professional baseball players to participate in VIP sports betting program sponsorships, according to reports from the Philadelphia Inquirer. Their letter referenced a FanDuel VIP host sending a personalized Bryce Harper video to customer Terry Thompson in November 2024.
Thompson allegedly lost $1.5 million on the platform over the course of several years. Thompson received the video as part of a perk for being a member of FanDuel’s VIP sports betting program. The Inquirer received a copy of the video from Thompson’s lawyer, who filed a lawsuit against both FanDuel and DraftKings earlier this year, alleging the companies used their games and VIP programs to keep Thompson gambling despite an obvious addiction.
Harper released a public comment on the incident in July, reporting that he did not know the video would be used for a commercial purpose. He also posted the Cameo contract he received from the FanDuel rep on his personal Instagram account.
The Congress members then requested FanDuel cease its VIP sports betting program in a letter sent to the company on Aug. 10
Regulatory Writer and Editor
Robert Linnehan covers all regulatory developments in online gambling and sports betting. He specializes in U.S. sports betting news along with casino regulation news as one of the most trusted sources in the country.