Australia’s Northern Territory Racing and Wagering Commission (NTRWC), which acts as the country’s de facto regulator for online betting, has temporarily ended the practice of accepting gifts and hospitality from wagering companies. The move follows heightened scrutiny over the body’s relationship with the gambling industry and comes as a new code of conduct is being developed to bolster ethical oversight.

Regulator Moves to Reinforce Ethical Standards

Commission chair Alastair Shields confirmed that commissioners had “ceased accepting hospitality invitations,” emphasizing that the forthcoming code of conduct would formally address how such offers are managed in the future. The document aims to clarify boundaries between regulators and the industry they oversee, ensuring decisions remain free from influence.

Shields said the commission already operates under “strong integrity and oversight frameworks,” including the Racing and Wagering Act 2024 and the Northern Territory government board handbook. The code, he added, is intended to build upon these existing measures by offering clear guidance for all commissioners.

The decision to end hospitality perks came six months after reports surfaced that Shields attended the Darwin Cup as a guest of corporate bookmakers. That revelation, along with subsequent media investigations, raised public concerns about potential conflicts of interest within the commission.

Scrutiny Over Governance and Conflicts of Interest

The ABC’s Four Corners program later revealed further examples of close industry ties, noting that six of the last ten commissioners had owned racehorses. The report also criticized the NTRWC’s responsiveness to complaints, with one source describing the part-time regulator as being “as useless as a chocolate teapot.”

Following the broadcast, the Northern Territory government claimed that oversight mechanisms within the NTRWC had been strengthened earlier in the year. However, when pressed by ABC to provide evidence supporting that claim, the government remained unresponsive for several weeks.

Shields, meanwhile, stated that the upcoming code will not prohibit commissioners from owning racehorses but will require all conflicts to be “declared, recorded and managed through disclosure and recusal.” According to him, “All declarations form part of the official government record to ensure transparency.”

The NTRWC, based in Darwin, regulates more than 40 online wagering companies licensed in the Northern Territory. Its regulatory environment has long attracted major betting operators due to comparatively low taxes and flexible requirements, which critics argue contribute to weak oversight.

Amid ongoing concerns, the Department of Tourism and Hospitality confirmed that a formal review into the NTRWC’s operations is underway. The department said the review will focus on “management of conflicts of interest, gifts and benefits and eligibility requirements for commission members.” Key findings are expected to be published early next year.

While the department continues its evaluation, political pressure has mounted for greater transparency. Racing Minister Marie-Clare Boothby recently declined to initiate a parliamentary inquiry into the legislation that governs the commission. Independent member Justine Davis, however, has since called for an independent investigation to ensure accountability and restore public confidence.