Costello was troubled by recent NCPG decisions
Costello revealed her decision to step down as director of programs for the NCPG on
her LinkedIn page.
"For those who are not already aware, I've resigned from my role as Director of Programs at the National Council on Problem Gambling," Costello wrote. She seemed to suggest that the recent regulatory departures from the organization played a role in her decision.
"I made this decision because, over the past year, the environment shifted in ways I could no longer reconcile with how I believe this work should be done. Leaving is how I stay true to the reasons I got into it: doing good, building something alongside people I trust, and ending the day knowing I contributed to something that matters."
The OCCC is the latest state regulator to leave the NCPG
The Ohio Casino Control Commission recently revealed its departure from the NCPG.
“I regret this action is necessary but trust you will understand the Commission’s need to ensure that it is not associated with organizations that are affiliated with companies engaged in illegal gambling in Ohio,” OCCC interim executive director Andromeda Morrison wrote in a letter she sent to NCPG leadership.
The OCCC joined the Michigan Gaming Control Board and the Nevada Council on Problem Gambling in resigning from the NCPG. All three organizations cited the same reason for departure from the organization. It was the May inclusion of the prediction market site Kalshi as an NCPG member.
All three groups believe that Kalshi is sidestepping state gambling regulations by labeling its sports-event contracts as trades instead of sports betting.
In a statement on the
organization's website, the NCPG countered that this issue is irrelevant to its mission.
"For more than 50 years, NCPG’s mission has been to serve individuals and families experiencing gambling-related harm," the statement read. "That mission has never depended on a regulatory ruling or a legal label, and it does not now.
"People are experiencing real financial, emotional, and relationship consequences as a result of prediction markets. The harm is not theoretical, and we cannot wait to act.
"NCPG exists not to litigate whether prediction markets or other emerging activities meet a legal definition of gambling, but to prevent and reduce gambling-related harm wherever it occurs."
Kalshi made a $2 million donation
The state gambling regulators also took issue with the fact that Kalshi made a $2 million contribution to the NCPG. This came at the time the NCPG was granting membership to the company. The NCPG noted that those funds are earmarked for a new Financial Trader Health and Safety Initiative. It didn't see why this should be a problematic matter.
We have always been transparent that we are a donor-supported organization, fully auditable given our nonprofit status," the NCPG said. "Many of our members and donors are gambling operators."
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