Tenn. Comp. R. & Regs. 1350-03-.06 - IDENTIFYING AND REPORTING UNUSUAL AND SUSPICIOUS ACTIVITIES

A Licensee shall have Integrity Monitoring System Procedures in place to identify Unusual and Suspicious Wagering Activity and report such activity in accordance to procedures approved by the Council.

(1) Licensee's Integrity Monitoring System Procedures shall provide for the sharing of Unusual and Suspicious Wagering Activity with the Council, either directly or through the Licensee's approved Independent Integrity Monitoring Provider.

(2) If a Licensee finds that previously reported Unusual Wagering Activity rises to the level of Suspicious Wagering Activity or if an activity constitutes Suspicious Wagering Activity, it shall Immediately Notify the Council.

(3) The monitoring and reporting requirements for Unusual and Suspicious activity, include, at a minimum:

(a) Attempts to violate or evade any federal, state, or local law or regulations pertaining to Interactive Sports Gaming in any jurisdictions;

(b) Violations or attempted violations of federal or state Anti-Money Laundering (AML) laws;

(c) Unusual or suspicious behavior or patterns of Wagers by Player as determined by the Licensee;

(d) Unusual geographical concentration of betting;

(e) Wagers that have been placed online or through a mobile device using different accounts but having the same IP address;

(f) Unusual and abnormal proportion of Bets against the favorite or for the underdog; or

(g) Unusual volumes of betting relative to the norm.

(4) If the Council receives an Unusual or Suspicious Wagering Activity report from a Licensee, the information shall be deemed confidential and shall not be revealed in whole or in part, except upon lawful order of a court of competent jurisdiction or upon notice or referral of a matter for further investigation to any law enforcement agency, regulatory or government agency, or sports governing body within the sole and absolute discretion of the Council.

(5) Upon request by the Council or the Executive Director, a Licensee shall provide remote, readonly access and the necessary hardware for the Council to evaluate or monitor the Sports Gaming System.

Notes

Tenn. Comp. R. & Regs. 1350-03-.06

Emergency rules filed December 22, 2021 to become effective January 1, 2022; effective through June 30, 2022. New rules filed March 22, 2022; effective June 20, 2022. Amendments filed September 15, 2023; effective 12/14/2023.

Authority: T.C.A. §§ 4-49-106, 4-49-110, 4-49-115, 4-49-122, and 4-49-125.