DraftKings will refund millions to Connecticut customers over unclear bonus promotions.
A large online betting company, DraftKings, has agreed to pay over $3 million to thousands of Connecticut residents. This decision came after an investigation into how the company advertised its promotions and bonuses. The business, which is based in Boston, had offered certain bonus deals that promised rewards like extra money or matching deposits. However, many users found that the steps required to actually receive these rewards were not explained clearly. As a result, the state’s Department of Consumer Protection began looking into the situation.
The investigation covered promotions that ran between late 2021 and early 2023. During that time, customers were offered deals that appeared to promise easy rewards just for signing up or making deposits. But once people joined, they discovered that the rules around how to get the bonus were confusing or buried in fine print. Because of this, many users ended up spending money they might not have otherwise spent if the offers had been clearly explained.
As part of the agreement, the company will issue refunds to more than 7,000 people who were affected. These customers will be contacted within the next two months. Officials have warned the public to be careful during this process, as scammers may try to take advantage of the situation by pretending to be the company and asking for personal information.
In addition to returning the money, the business will pay $50,000 to help with ongoing efforts to improve consumer protection. That money will be used in areas such as complaint resolution, legal work, and public education around gambling and advertising.
The company has also promised to change how it handles promotions in the future. Employees working on advertising and marketing in Connecticut will now receive training every year on the state’s gaming rules. The company also plans to better promote its education resources, including tutorials that help players understand how bonuses work. These steps are meant to reduce confusion and prevent similar issues from happening again.
The state’s consumer protection office has expressed satisfaction with the outcome. They said the agreement shows the importance of making sure companies follow the rules, especially when it comes to gambling, where money and trust are both at stake. Officials thanked the team that led the investigation and said they hope this sends a message to other companies about the importance of clear and fair advertising.
The company involved released a statement saying it respects the rules and will continue to work with regulators. They said they value their connection with the state and are committed to staying within legal guidelines. While they did not admit wrongdoing, they have agreed to the steps laid out in the agreement in order to close the matter and move forward.
The case has drawn attention because it reflects broader concerns about how gambling businesses market their services. With more states allowing legal sports betting and online gaming, watchdogs are keeping a closer eye on how promotions are used to attract new customers. When offers are not fully explained, it can lead to confusion, complaints, and financial losses for the people who take part.
This resolution marks a step toward better oversight and greater clarity for consumers. With more training, better materials, and clearer ads, state officials hope that future problems like this can be avoided. For now, the affected players can expect to hear from the company directly as refunds are processed.
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DraftKings agrees to return $3M to consumers for allegedly violating state’s gaming laws
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