Australian Casinos Responsible for Junket Partners AML Compliance Says AUSTRAC
Australias financial watchdog, AUSTRAC, has declared that casinos, not governing bodies, bear the responsibility of guaranteeing their junket partners adhere to anti-money laundering regulations.
This declaration underscores that gaming enterprises have an obligation to meticulously scrutinize their junket collaborators and confirm they function within the confines of Australian legislation.
This follows an investigation by the Independent Liquor and Gaming Authority (ILGA) in New South Wales into Crown Resorts, where accusations arose of illicit finance activities transpiring at its Melbourne casino via cash-for-chips transactions.
Although the Victorian gaming regulator previously contended that anti-money laundering fell under AUSTRAC’s jurisdiction, AUSTRAC’s director, Nicole Rose, clarified that they do not directly oversee junket tour providers. She stressed, “It is the corporations’ responsibility to ensure they abide by anti-money laundering and counter-terrorism financing requirements. This has also been reaffirmed by the Federal Court.”
Rose conceded that while more relaxed regulations might entice more affluent gamblers from abroad, the sector is more than equipped to manage and evaluate its own hazards.
Nevertheless, apprehensions persist regarding potential gaps in gambling-related statutes. Labor Senator Kristina Keneally indicated that the present framework could permit individuals to enter Australia via junkets with assets of dubious provenance and subsequently disperse these funds to unidentified persons.
While Rose maintains that national regulations cannot be imposed on international entities, the matter highlights the intricacies and potential weaknesses in combating illicit finance within the gaming sector.
Australias fiscal authority, AUSTRAC, acknowledged a deficiency in collaboration and joint effort among regulatory bodies tasked with supervising gambling intermediaries. Specialists, such as Ross, contend that instituting obligatory permits for these facilitators would be a positive measure towards rectifying the issue.