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The costliest $29 they'll ever win: NJ levies $25K fine

ATLANTIC CITY, N.J. — A gambler from Nevada lost $29 on a New Jersey internet gambling site, but the transactions cost a technology company $25,000.

New Jersey regulators have fined Gaming Innovation Group for a flaw in its geolocation technology, which is designed to make sure people are within the state’s borders before they can gamble.

The state Division of Gaming Enforcement says the Malta-based company, which provides online gambling for Atlantic City’s Hard Rock casino, had a technical vulnerability last summer.

It allowed a patron trying to access the Hard Rock’s gambling site from Nevada to inspect the browser code and change data to falsely indicate that the patron was located in New Jersey as required by law.

The company calls it a one-time incident that was quickly reported and fixed.

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This story has been corrected to show that the gambler lost $29, instead of winning it.

Wayne Parry, The Associated Press