NSW casino money laundering crackdown
In New South Wales (NSW), casinos are required to implement a set of measures to prevent money laundering and terrorism financing under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF Act) and local gambling laws, including the Casino Control Act 1992. The main goal is to exclude the use of gambling establishments for illegal financial transactions.
1. Legislative framework
AML/CTF Act 2006 is a federal law requiring casinos to identify customers, record and transmit information about suspicious transactions.
Casino Control Act 1992 - Establishes additional financial control obligations in NSW.
AUSTRAC (Australian Transaction Reports and Analysis Centre) is the main regulator for AML/CTF issues.
2. Customer Identification (KYC)
Verification of identity before starting the game or when certain transaction limits are reached.
Use of official documents: passport, driver's license, bank statements.
Periodic revalidation, especially for VIP players and high-turnover customers.
3. Transaction Monitoring
Automatic detection of transactions above the 10,000 AUD threshold with mandatory registration with AUSTRAC.
Track recurring deposits and cash withdrawals with no apparent gaming activity.
Analysis of suspicious bets and game patterns.
4. Casino responsibilities
Maintain the AML/CTF Program.
Training personnel to recognize suspicious activities.
Submit Suspicious Matter Reports (SMR) to AUSTRAC within 24 hours.
Cooperation with law enforcement agencies in investigations.
5. Sanctions for violation of AML requirements
Fines for companies - up to 22.2 million AUD.
Revocation of license in case of systematic violations.
Criminal liability of management for proven intent in facilitating illegal operations.
6. Examples of measures in practice
Restrictions on anonymous play and deposits.
Prohibit the use of certain forms of cash transactions.
Implementation of software to analyze financial flows and identify anomalies.
Conclusion:
1. Legislative framework
AML/CTF Act 2006 is a federal law requiring casinos to identify customers, record and transmit information about suspicious transactions.
Casino Control Act 1992 - Establishes additional financial control obligations in NSW.
AUSTRAC (Australian Transaction Reports and Analysis Centre) is the main regulator for AML/CTF issues.
2. Customer Identification (KYC)
Verification of identity before starting the game or when certain transaction limits are reached.
Use of official documents: passport, driver's license, bank statements.
Periodic revalidation, especially for VIP players and high-turnover customers.
3. Transaction Monitoring
Automatic detection of transactions above the 10,000 AUD threshold with mandatory registration with AUSTRAC.
Track recurring deposits and cash withdrawals with no apparent gaming activity.
Analysis of suspicious bets and game patterns.
4. Casino responsibilities
Maintain the AML/CTF Program.
Training personnel to recognize suspicious activities.
Submit Suspicious Matter Reports (SMR) to AUSTRAC within 24 hours.
Cooperation with law enforcement agencies in investigations.
5. Sanctions for violation of AML requirements
Fines for companies - up to 22.2 million AUD.
Revocation of license in case of systematic violations.
Criminal liability of management for proven intent in facilitating illegal operations.
6. Examples of measures in practice
Restrictions on anonymous play and deposits.
Prohibit the use of certain forms of cash transactions.
Implementation of software to analyze financial flows and identify anomalies.
Conclusion:
- Casinos in NSW operate under strict AML control, which includes mandatory identification of players, monitoring operations and reporting to AUSTRAC. These measures minimize the risks of gambling for money laundering and strengthen the transparency of the industry.
