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ALH Hotels Fined $172,000 for Free Alcohol to Gamblers

Two hotels owned by Woolworths-owned Australia Leisure and Hospitality Group (ALH) were fined for providing free alcohol to gamblers on the New South Wales North Coast. The fines amount to $172,000, and the venues were prohibited from operating poker machines for two weeks by Liquor and Gaming NSW. Such practices are deemed unethical under NSW gaming laws due to the influence of alcohol on decision-making.

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Not only were the licensees fined $3,500, but an ALH manager was also banned from the industry in NSW for five years. Despite allegations of similar practices in other states, this action marks the first regulatory response by Liquor and Gaming NSW. Critics argue that the penalties imposed on ALH are inadequate compared to the profits these venues generate annually from gambling.

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Gambling addiction is a prevalent issue in Australia, with approximately 6.8 million individuals engaging in gambling activities, amounting to $23 billion in annual spending. The government benefits significantly from this revenue through taxes, with the industry being a major contributor to political parties. However, the social costs of gambling addiction are substantial, estimated at around $4.7 billion annually.

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Compulsive gambling can lead to severe consequences, including financial ruin, criminal activities to sustain the habit, family breakdowns, domestic violence, substance abuse, and even suicide. The addictive nature of gambling, driven primarily by pokies, triggers the release of pleasure-inducing chemicals in the brain, leading to compulsive behavior difficult to overcome without professional intervention.

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Recognizing the societal impact of gambling, initiatives like the Responsible Gambling Fund (RGF) in New South Wales allocate funds to support responsible gambling practices and mitigate gambling-related harms. Despite efforts to address the issue, calls for regulatory reforms persist as many individuals continue to struggle with gambling addiction without adequate support.

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