Australia Leisure and Hospitality Group (ALH), which owns a number of pubs around the country, has been fined for giving gamblers free alcohol.

Two of its hotels on the New South Wales North Coast have been ordered to pay $172,000 in fines to Liquor and Gaming NSW – the industry oversight body – for 'unethical practices.' They have also been banned from operating their poker machines for two weeks.

Under NSW gaming laws, it's illegal to offer or supply free or discounted alcohol to induce gambling because alcohol can affect judgement, and the ability to make responsible choices.

Licensees of the two North Coast venues were also fined a total of $3,500, and one ALH manager was banned from the industry in NSW for five years.

There have been allegations that ALH has been doing this across three states, but it is understood that Liquor and Gaming NSW is the first regulator to take action.

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