Rece Davis’ Foot in Mouth Sees PENN Sports Interactive Fined $15K
Due to offensive comments he made during a piece on the network's popular "College GameDay," ESPN anchor Rece Davis has put PENN Sports Interactive (PSI) in hot water with Massachusetts gambling authorities.
PSI, the company that runs the ESPN Bet sportsbook, was fined $15K by the Massachusetts Gaming Commission (MGC) for breaking the state's laws prohibiting deceptive advertising. That comes after the seasoned sports anchor described a gambling suggestion as "a risk-free investment" in real time.
Dim View
Davis was alluding to ESPN sports betting expert Erin Dolan's recommendation on March 24, 2024, urging viewers to take the under on 60.5 total team points for Northwestern University versus UConn in March Madness.
"Some would call this wagering, gambling,” marveled Davis. “I think the way you sold this … it is a risk-free investment.”
The MGC, which disapproved of Davis' word choice, said that although the wager was successful, it wasn't the goal.
The MGC concluded that the phrase violated Massachusetts' sports wagering laws, which prohibit marketing material that suggests wagers are risk-free or certain to be successful. Additionally, it went against ESPN BET's internal content guidelines, which forbid using phrases like "risk-free" or "can't lose."
Davis then claimed on Twitter that the remark was "tongue in cheek."
“Sports are unpredictable,” he added. “Wagering is tricky. So let’s agree to manage monetary risks appropriately.”
Making a Hole
When he appeared on "The Pat McAfee Show" to clarify that he didn't apologize for using the remark, he seemed to exacerbate the situation.
“I don’t think anybody thought we were really handing out free money, but maybe it’s a better course of action in the future to go with the old ‘David Letterman’ and say this is an exhibition, not a competition, so please no wagering,” Davis said.
Additionally, the MGC objected to Davis's statement that "the bet won," which they saw as violating the ban on "risk-free" terminology.
The MGC stated in its decision that PENN is accountable under state law for all marketing and promotional information related to its sportsbook, regardless of who creates it, even though the offensive language originated from a broadcast and wasn't directly used in the ESPN BET app.
The use of "risk-free" statements might deceive customers about the nature of gambling, which is why the commission's decision highlighted how serious the infraction was. It also voiced displeasure with PENN's lack of clarity and haste in its public response.
