Gambling syndicates are offering up to $400 to men who hand over their passport, driver’s licence, bank and Medicare details and selfies so they can punt in other people’s names, with the government expressing alarm over identity theft risks.
Industry sources and academics have also raised concerns about alias betting accounts – sometimes referred to as “bowler accounts” – undermining anti-money laundering compliance systems.
But the gamblers maintain no laws have been broken and that the transfer of accounts enables them to continue legitimate betting with bookmakers who have restricted them, sometimes to just $1 bets, due to their record of success.
The transfer of sensitive personal data – which could be misused to access bank accounts and MyGov records – has led government agencies and privacy experts to urge people not to sell their ID documents online.
One group, which advertises on Facebook, promises to hand back control of accounts after six months, when inducements from betting agencies like deposit matching and free bets have been exhausted. These offers are not made to established gamblers.
“We use a strategy called arbitrage betting, where we exploit market inefficiencies and mispriced odds created by competition among bookmakers,” the group said in social media posts.
“Since bookmakers frown upon this practice and limit accounts, we always need access to new accounts to continue operating effectively.”
A Services Australia spokesperson, Hank Jongen, urged people to “never share your Medicare details with anyone over social media”. So too did ID Care, Australia and New Zealand’s national identity and cyber support service, which said this information could lead to identity theft if misused.
“We will never use or share your ID for any purpose beyond betting-related activities,” one group of gamblers said. “You can count on us to keep your data safe and provide the payment you’re promised.”
There is no suggestion any of the syndicates highlighted in this story have broken any laws.
Another syndicate claimed online that the accounts would be used to engage in matched batting. This practice involves using a free bet to gamble on one sporting outcome, while bets are placed with other bookmakers to hedge all possible outcomes.
The gamblers, who acknowledge the transfer of accounts to another person is a breach of bookmaker terms and conditions, have claimed they need the ID documents to ensure they can comply with “know your customer” regulations imposed on bookmakers, which are a key part of anti-money laundering laws.
Multiple Australian bookmakers are facing investigations by the Australian Transactional Reports and Analysis Centre (Austrac), for alleged breaches of these laws, which also require them to report suspicious gambling activities, which may include the use of concealed identities.
Industry sources, not authorised to speak publicly, told Guardian Australia that such accounts were often picked up by compliance teams who observe unusual activity, including when different devices are used interstate.
They described compliance efforts as a game of “whack-a-mole”, and acknowledged bets could be placed before the true controller of the account was revealed.
They also said the gamblers were not interested in controlling accounts owned by women as, due to their smaller number of accounts, suspicious bets were easily detected by compliance teams.
While Austrac has previously described some bets placed by bowler accounts as legitimate, it has also raised concerns about their potential misuse for money laundering.
In its latest risk assessment for money laundering, Austrac revealed a separate unnamed gambling syndicate had recently controlled more than 100 accounts with multiple bookmakers.
“The bowler accounts were opened under the name of third parties in order to conceal the true identity of the individual responsible for placing the bets,” Austrac said.
“The reporting entity [bookmaker] submitted an suspicious matter report as the true source of funds was unclear, raising concerns that the syndicate could be laundering illicit funds through gambling platforms on behalf of others.”
• In Australia, Gambling Help Online is available on 1800 858 858. The National Debt Helpline is at 1800 007 007. In the UK, support for problem gambling can be found via the NHS National Problem Gambling Clinic on 020 7381 7722, or GamCare on 0808 8020 133. In the US, call the National Council on Problem Gambling at 800-GAMBLER or text 800GAM
