On July 24, 2023, the Australian Federal Court imposed a massive AU$5 million ($3.4 million) fine on the operator of Redraw Poker for offering unregulated online poker games to Australian citizens.

This penalty follows an ACMA (Australian Communications and Media Authority) investigation that was published back in April 2022 claiming Redraw Poker (also known as PPPfish and Shuffle Gaming) illegally offered online poker games to Australian citizens.

The ACMA Investigates and Commences Civil Penalty Proceedings

In April of 2022, the ACMA commenced civil penalty proceedings in Australian Federal Court. The ACMA alleged that Diverse Link Ply Ltd, the operator responsible for running Redraw Poker, violated the Interactive Gambling Act 2001 (IGA) section 15(2A).

The ACMA went into further detail by describing the manner in which Redraw Poker violated the IGA. The ACMA stated that Rhys Edward Jones provided illegal internet gambling services to Australians from March 2020 to March 2021.

The ACMA went on to describe that Diverse Link provided those services from March 2021 through April 2022. The ACMA also named Brenton Lee Buttigieg as a person responsible for referring customers to the Redraw Poker platform during the alleged timeframe.

What Did Redraw Poker Do Wrong?

According to the ACMA investigation, Redraw Poker was operational between March 2021 and April 2022. It is not clear how much Bitcoin or crypto was deposited through the platform, but fiat deposits totaled AU$4.2 million ($2.8 million).

Redraw Poker was previously called PPPfish and Shuffle Gaming prior to being rebranded to Redraw Poker. The brand was offering online poker services utilizing a club model for most of its tenure.

The ACMA asserted that Redraw Poker was inviting players to join a poker club through a mobile phone application. Players would join, purchase chips from separate sites utilising bank transfers or Bitcoin, and then these transactions would be credited to their poker account and then used to play poker. Players could later redeem these chips for Bitcoin or fiat currency.

Thus, Redraw Poker appeared to be using the old play-money-app-for-real-money-games business model. Indeed, an examination of the download links on its old website indicates that it was hosting games on the social PPPoker platform: one of the most popular apps for hosting surreptitious real money poker games while maintaining the illusion that the games are for play money only. Needless to say, there are plenty of issues with this model of gaming, which we cover in this expose on social poker apps.

Australian Federal Court Issues Massive Fine

On July 24, 2023, the Australian Federal Court announced that it would levy a massive AU$5 million ($3.4 million) fine against Redraw Poker. Redraw Poker is owned by Diverse Link Ply Ltd and was primarily operated by a man named Rhys Edward Jones.

Justice David Thomas didn't seem to be too optimistic about Diverse Link actually forking over the massive fine amount, but he hopes that such a large penalty will at least serve as a clear deterrent to other illegal operations.

Justice David Thomas Comments on The Situation

In his statement following the penalty, Justice David Thomas had the following to say:

The process was unregulated and there were no controls and no way in which problem compulsive gamblers were assisted.

A penalty at that level is, on the evidence before me, more than merely the cost of doing business and will give effect to the purpose of general deterrence.

Justice Thomas continued by quoting one of the players who used Redraw Poker saying:

There is no responsible gambling feature, allowing people to make multiple accounts under fake identities … I have lost thousands at this site and asked to be banned multiple times but they can’t honour requests or just don’t have the care or capacity.

This marks the first time that a civil action with a resulting financial penalty from the Australian Federal Court has been taken against individuals for breaching the IGA. Diverse Link decided not to take part in the court proceedings and the brand will be completely deregistered by the ACMA.

Safe Online Poker Available to Australian Consumers

Despite the ACMA's best efforts to stringently regulate online poker and gaming, there are still reliable and safe online poker sites available for Australian players.

Perhaps you're wondering if there are safe and trustworthy online poker sites that cater to Australians. If so, you may want to peruse this page regarding the best Australian online poker sites.

Our top recommendation for Australians is Ignition Poker. Ignition is the largest and most popular brand catering to Australian consumers, and it has an impeccable reputation over the course of many years in business. New players at Ignition can receive a 150% first crypto deposit bonus worth up to $1,500. To sign up, feel free to click on the button below.

If you'd like to learn more about Ignition and what it has to offer, please feel free to check out our extensive Ignition Poker review.