The New Jersey Division of Gaming Enforcement has officially revoked the transactional waivers granted to PlayUp that allow the company to operate in the state. The confirmation from DGE comes after news this morning that PlayUp’s site was no longer accepting wagers from New Jersey customers.
“The Division of Gaming Enforcement (DGE) issued a letter order yesterday revoking the transactional waivers that had allowed PlayUp to conduct sports wagering in New Jersey. Patrons will be able to access to their funds and can withdraw them from the site. Additionally, PlayUp is obligated to pay out any pending wagers, while no new wagers can be accepted. We encourage patrons to contact DGE at [email protected] if they have any concerns or require further assistance,” a DGE spokesperson told SBC Americas.
PlayUp no longer allowed to accept bets in New Jersey
In the three-page letter addressed to PlayUp CEO Daniel Simic and dated July 19, DGE Director David Rebuck informed him of the company’s revocation of the company’s transactional waivers with Freehold Raceway and Amelco, PlayUp’s platform provider, to offer sports betting in the state.
Per Rebuck, the DGE requested financial information from the company on June 29 that included payroll and payroll tax information as well as select bank statements from 2023. The timing lines up with the period of time that PlayUp US allegedly missed payroll for its employee.
DGE sent that request to Glenn MacPherson, which the regulators believed was the current CFO of the company, with a deadline of July 6. When that deadline passed, DGE spoke with Simic directly, who informed them that MacPherson was no longer with the company.
CEO Simic failed to provide financial paperwork requested by DGE
The DGE then gave Simic seven days to produce the documents, which, according to Rebuck, he failed to do. DGE officials warned of the potential consequences of failing to provide the requested info could include suspension of the company’s transactional waivers on July 14.
Simic then provided some of the requested documents but failed to show documents regarding payroll tax payments for Q2 or any payroll information beyond January. He was informed by DGE that this was an insufficient response, but the group received no additional documentation.
Rebuck also noted that PlayUp’s issues extended beyond failing to meet this deadline. He stated the group owes money to DGE for outstanding invoices. He also voiced concerns that, with the reported reduction of staff, there was no longer a New Jersey presence on staff with the company.
Finally, Rebuck noted that PlayUp claimed to be investigating a fraud charge from March 2023 that was never reported to the regulator.
PlayUp can reapply for a new license in the future
The letter did note that PlayUp could reapply for a license in the future, however, the group would need to completely resubmit in order to become active in the state again. There was also this ominous waning:
“The Division reserves the right to bring future disciplinary action against PlayUp, as its associated entity and individual qualifiers, for any violation of the Casino Control Act, Sports Wagering Act, or Division regulations based upon the facts currently presented or arising from subsequent investigations.”
Simic responded to SBC America’s previous request for comment on the issues in New Jersey, promising to respond after start of business Friday in his home country of Australia.
When asked if any similar investigation was underway in Colorado, a Colorado Division of Gaming spokesperson said it was policy to neither confirm nor deny any ongoing investigation, nor to offer any comment on it.
