Three federal lawmakers are pressing FanDuel, Major League Baseball and the MLB Players Association for changes following the sportsbook’s use of a personalized Bryce Harper video.
FanDuel sent the video to Pennsylvania bettor Terry Thompson, who was later diagnosed with a gambling addiction disorder.
The development brings federal scrutiny to a matter already under review by the Pennsylvania Gaming Control Board (PGCB). The PGCB confirmed it was reviewing the matter after the video was reported in connection with Thompson’s lawsuit against FanDuel and other defendants.
FanDuel responded to the lawmakers this week by defending its VIP program. It says the program undergoes the same scrutiny the company uses throughout its platform.
FanDuel faces questions about its VIP program
US Sen. Richard Blumenthal of Connecticut and U.S. Reps. Paul Tonko of New York and Valerie Foushee of North Carolina sent letters to FanDuel, MLB, and the MLBPA on Aug. 10.
In their letter to FanDuel, the lawmakers called for an end to its VIP program and asked how the operator identifies potentially harmful betting behavior. They also questioned whether customers receive VIP offers while losing money, reducing their wagering or trying to close their accounts.
The letter seeks details about how FanDuel monitors interactions between VIP managers and bettors. It also asks how often athletes or celebrities have appeared in personalized videos intended to keep customers gambling.
According to the lawsuit, Thompson wagered $18.5 million and lost more than $1.5 million through FanDuel while receiving perks that included champagne, Super Bowl tickets, and access to Super Bowl parties. The lawsuit alleges the operator continued encouraging him to bet despite signs of financial and gambling-related harm.
The lawmakers submitted eight questions to FanDuel, including whether it will suspend or terminate the program. Their request does not compel the operator to make any changes.
When the video became public in July, FanDuel said it was committed to protecting customers and fostering responsible gambling. The company said its employees are trained to recognize and flag signs of problem gambling and offer resources and tools.
MLB and players union asked to tighten promotion rules
A second letter asks MLB Commissioner Rob Manfred and MLBPA Interim Executive Director Bruce Meyer to reconsider policies allowing players to work with gambling companies.
MLB’s sports betting policy permits players to promote or endorse legal sportsbooks. However, they cannot allow their name, image, or likeness to be used to encourage wagering on baseball games, events, or related outcomes.
The lawmakers argue that the policy does not adequately address personalized sportsbook marketing aimed at VIP customers. They asked whether MLB and the union would prohibit players from appearing in those campaigns and provide additional education about the potential risks to fans.
They also requested both organizations’ positions on player partnerships with sportsbooks as they negotiate a new collective bargaining agreement.
Harper said he believed the cameo video was a personal holiday greeting. He said he did not know FanDuel would add its branding or send the recording to Thompson as a VIP promotion. He would not have participated had he understood its purpose, he said.
The PGCB has not publicly announced the outcome of its review or whether it will take enforcement action.