NORTH Melbourne has escaped immediate penalty over director Ron Joseph's bet on the club's 2007 qualifying final with Geelong.

The AFL announced on Friday a suspended financial sanction of $50,000, to apply in the event of any further breach of league regulations, which clearly stipulate gambling on the game by all club staff and officials, including directors, is prohibited. The length of the suspended sentence is indefinite.

Andrew Dillon, the league's general manager of legal and business affairs, said a check of betting records found Mr Joseph placed two losing wagers totalling $300 on North before the 106-point loss to the Cats last year.

Mr Dillon said Mr Joseph had told the league he was unaware at the time he placed the bets that the AFL's rules in this area applied to club directors, as they did to staff, coaches and players.

The statement also said directors and staff of North Melbourne must attend an education session conducted by the AFL to re-familiarise themselves with the league's gambling regulations.

"The AFL regulations clearly state that gambling is expressly prohibited within our game and these rules apply to all club staff and officials, including directors," Mr Dillon said.

"The AFL's investigation found no evidence there was any bet against the North Melbourne team on any occasion.

"However, the AFL wishes to state that these rules are central to the integrity of our game," he said.

North Melbourne chief executive Eugene Arocca said, via a statement released on Friday afternoon, the club has accepted the penalty and was happy it had addressed the issue.

"Ron and the club have cooperated fully with the AFL investigation into this matter and we accept their findings," Mr Arocca said.

"At the time of placing the bets Ron had not been fully informed of the AFL gambling policy. We have since put measures in place to ensure that all club directors, officials, and players are acutely aware of their obligations under the rule."

Mr Joseph said he regretted the impact of his actions on the club.

"I accept that by placing the bets I broke the AFL gambling regulations and understand the position that puts the club in," Joseph said.

"I regret any embarrassment or distraction I may have caused."