Aimee and Nick Mazza of Mildura lost $250,000 to online bookmakers without ever placing a bet. Their financial troubles began two years ago when Anthony Del Vecchio, a financial adviser with Freedom Finance in Melbourne, approached them with an investment opportunity in high-interest term deposits. Within months, their savings vanished as Del Vecchio gambled their money away with various betting agencies.

"We found out just before Christmas that our money was gone," Aimee Mazza, a police officer, said. "It's impacted our children. It's impacted our whole family. The mental toll it's taken on us, particularly Nick. It's been really difficult."

Nick Mazza expressed his despair, stating, "I couldn't do anything. You just don't know where to turn. You don't know what to say. You don't even know how to feel. You just break down."

Del Vecchio misappropriated nearly $4.5 million from over 30 clients, gambling it with 52 online bookmakers. In April, he was sentenced to seven and a half years in prison, but the betting agencies retained the stolen funds. The Mazzas are outraged. "No other industry would be able to keep proceeds of crime. So why are they allowed to keep it?" Nick Mazza asked. "It's not their money, and I sure didn't authorize them to have it. So I want it back."

During Del Vecchio's sentencing, Judge Gabriele Cannon criticized the betting agencies for their practices. "Such business practices by these betting companies embody the expression the banality of evil in my view and it is staggering that they are able to operate in our community in the ways that I've described with impunity," she said. Nick Mazza echoed the judge's sentiments, stating, "They are evil. Did they ask where it [the money] was coming from? Did they stop to even care where it was coming from?"

The judge presented a forensic accountant's report detailing Del Vecchio's losses with the betting agencies. She noted, "The extraordinary sums of money you gambled, money which was not yours for the most part, and also reveals the various betting agencies who were apparently happy to take that money without any qualm or enquiry."

The report revealed that Del Vecchio lost approximately $1 million with MintBet, a Melbourne-based betting agency. When approached for comment, MintBet's owner, Casey McCutcheon, declined to answer questions about whether he checked Del Vecchio's proof of income or if he had an obligation to return the money to victims. McCutcheon, who is also listed as the risk and compliance officer for MintBet, did not respond to inquiries about potential conflicts of interest.

Aimee Mazza expressed her frustration, saying, "If I saw Casey McCutcheon, I would just say, I do not know how you get up every morning and think that what you're doing is OK. I don't know how you sleep at night. You're living on our money."

Kai Cantwell, CEO of Responsible Wagering Australia, which represents several betting agencies, denied that the companies profited from criminal behavior. "There are laws and rules that apply to all businesses in Australia," he said. "And we follow the law of the country and law of Australia, and criminals need to be dealt with by the criminal justice system."

Independent MP Andrew Wilkie has attempted to introduce legislation to require betting agencies to return stolen money, but his efforts have been rejected three times. "The fact that at the federal level, three times the government and the opposition have failed to act, proves to me that they continue to run a protection racket for the gambling industry," Wilkie said.

Judge Cannon highlighted the inducements offered by VIP managers from multiple betting companies to keep Del Vecchio gambling beyond his means. She noted that these managers provided tickets to sporting events and bonus bets, encouraging him to reinvest his winnings immediately. "I was told that if you did not place a bet or deposit money for a short period of time, you would receive push notifications, offering you deals to encourage further bets and deposits," she said.

VIP clients like Del Vecchio are crucial to the business model of betting agencies, with reports indicating that a small percentage of customers generate a significant portion of revenue. Consumer advocate Lauren Levin stated, "Some of the companies, 70 to 80 percent of their income is coming from the smaller group of managed, high-spending customers."

In the UK, the Gambling Commission has implemented restrictions on VIP schemes, resulting in a significant reduction in the number of customers enrolled in such programs. Cantwell, however, denied that VIP schemes are harmful, asserting that they provide the same consumer protections as regular customers.

A federal parliamentary inquiry made 31 recommendations in June 2023 to reduce harm from online betting, including banning inducements that encourage excessive gambling. The Albanese government has yet to respond to these recommendations, facing criticism for its inaction. Federal Communications Minister Anika Wells stated that the government is reviewing the recommendations but did not provide further details.