DraftKings has Arizona designs accused of operating in illegal marketplaces

DraftKings Inc., a authorized sportsbook company in the United States that programs to before long operate in Arizona, is getting accused by an financial investment-exploration company of profiting from gambling in international locations the place it is illegal.

The company has partnered with the PGA Tour and intends to establish a sportsbook at TPC Scottsdale, the course where the Waste Management Phoenix Open up is performed.

It is 1 of 3 firms that by now has declared its intent to establish a sportsbook in Arizona adhering to the the latest legalization of athletics betting and fantasy sports activities wagering in the point out.

The report produced Tuesday by Hindenburg Research says that a recent merger between DraftKings and SBTech, a Bulgarian organization, enables DraftKings to operate in illegal gambling marketplaces.

“We estimate that approximately 50% of SBTech’s profits carries on to occur from marketplaces in which gambling is banned, centered on an examination of DraftKings’ (regulatory) filings, discussions with previous personnel, and supporting documents,” the report from Hindenburg Research mentioned.