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Betting giants Sportsbet and Tabcorp have denied allegations that their account managers sourced drugs and sex workers to incentivise vulnerable people to bet more, saying there is no evidence to substantiate the claims and calling for information to be provided to regulators.

The allegations were aired during a Senate inquiry into the federal government's proposed gambling reforms, where witnesses described a pattern of inducements offered to problem gamblers.

Coverage comparison

Both ABC Australia and The Guardian reported on the denials and the allegations that prompted them, but their coverage highlighted different aspects of the parliamentary hearing.

ABC Australia's reporting focused on the accusations made by Reverend Tim Costello of the Alliance for Gambling Reform, who spoke about a young man who received funding for travel, escorts and drugs from Sportsbet and TAB. The broadcaster also detailed the testimony of former NRL player Luke Bateman, who said he was offered access to illicit drugs by a gambling company representative.

The Guardian's coverage similarly centred on the allegations from Tim Costello and Luke Bateman, describing them as anti-gambling campaigners who used the hearing to allege problem gamblers had been supplied with cocaine, alcohol and sex workers. It also reported the reactions of government figures, including acting prime minister Richard Marles and deputy Liberal leader Jane Hume.

Both outlets quoted the companies' responses: Sportsbet's director of corporate affairs, Jules Norton Selzer, said the company had "zero evidence" of the allegations and would investigate if information was provided, while Tabcorp's head of government affairs, Julian Whealing, said providing illicit drugs, sex workers and alcohol was not part of Tabcorp's customer offering.

The reporting differed in emphasis: ABC Australia highlighted the questioning of Sportsbet by Greens Senator Sarah Hanson-Young, while The Guardian included the views of Richard Marles and Jane Hume, who called the evidence "quite shocking" and "disturbing" respectively.

Key claims

The central allegations were made by Tim Costello and Luke Bateman. Costello told the inquiry he was assisting a gambling addict who had been offered drugs, escorts and free accommodation. The man, who is now preparing to plead guilty to the theft of millions of dollars, had also received funding for travel from Sportsbet and TAB, according to Costello.

Luke Bateman, a former NRL player who now works as a TikTok star and book influencer, told the inquiry he attended a private Gold Coast event hosted by a gambling company at which senior figures took illicit drugs with clients. He said he was offered access to illicit drugs by a gambling company representative while struggling with a severe gambling addiction, though he did not identify which companies he was referring to.

In response, Sportsbet and Tabcorp issued denials. Sportsbet's Jules Norton Selzer said the company had seen "zero evidence" of the allegations and had "no tolerance for that kind of deplorable conduct". Tabcorp's Julian Whealing similarly said the company had "zero tolerance" for such behaviour and emphasised that the services described were not part of its customer offering.

Responsible Wagering Australia's chief executive, Kai Cantwell, described the allegations as "egregious" but said the wagering industry "strongly refutes" them. He recommended that if the claims were true, complaints should be made to individual operators as well as law enforcement and regulators.

The inquiry also heard other evidence. Senator David Pocock showed screenshots of an online ad by wagering company Bet365 that featured young children dressed in branded T-shirts competing in a race. The proposed legislation, which the inquiry is examining, does not include a total ban on advertisements.

The acting prime minister, Richard Marles, said evidence from the inquiry so far had been "quite shocking". Jane Hume, the deputy Liberal leader, called the allegations "disturbing".

The inquiry continues to examine the government's proposed gambling reforms and the conduct of wagering companies.