Australia's Gambling Industries - Productivity Commission

H
Problem gambling and crime
H.1 Introduction
In this appendix, some aspects of the relationship between crime and gambling are
reviewed. The sequence of events that leads some problem gamblers to turn to crime
to finance their gambling habits or to fund gambling-related debts is examined first.
A range of data sources is then analysed to shed light on the prevalence of criminal
offences among problem gamblers.
The question of whether there is a causal link between problem gambling and
criminal behaviour is then examined, based on considerations such as:
• the reasons why problem gamblers commit crimes; and
• the types of crimes that problem gamblers commit.
Arguments are also considered that serve to qualify causality, such as the fact that
not all offences committed by problem gamblers are necessarily gambling related,
and that some problem gamblers may well be predisposed to commit criminal
offences independently of their gambling behaviour.
Finally, the chapter looks at loan shark lending and problem gambling.
H.2 Why do some problem gamblers turn to crime?
Lesieur (1984, 1996) has outlined the sequence of events that lead some problem
gamblers to commit criminal offences. To obtain money for gambling or to pay
gambling debts, gamblers initially draw on their savings and then make cash
advances on their credit cards, borrow from family and friends, or take out loans
with banks or other financial institutions.
As the Wesley Community Legal Service noted:
Typically a gambler will borrow increasing amounts of money to gamble, disguising the
purpose for which the money is borrowed by shuffling money from one place to
another. For example, a personal loan may be taken out to purchase a car, which is then
sold to provide gambling money (sub. 46, p. 7).
PROBLEM GAMBLING
AND CRIME
H.1