Sportsbook in 'good standing' after court blocked suspension

Friday, May 14, 2021, Vol. 45, No. 20

NASHVILLE (AP) — The operator of a sports betting app in Tennessee is now in "good standing" after it faced suspension over suspected debit card fraud by some users.

In a letter Wednesday, Tennessee Lottery General Counsel Alonda McCutcheon wrote that the temporary suspension of Tennessee Action 24/7 is "null and void" and that state regulators don't have an active investigation about the allegations.

Lottery officials suspended the company's sportsbook license in March over debit card fraud allegations. A lottery investigator said the suspected fraud would have stopped earlier if the company had proper internal controls.

Action 24/7 sued over the suspension, saying it took steps against future problems and wasn't permitted to speak at a lottery meeting on the suspension.

The judge in March ordered the reinstatement while the case proceeds.

This week, the lottery official wrote that the company's internal controls meet state requirements.