According to the nation’s financial crime watchdog, casino operator SkyCity Adelaide is allegedly in breach of federal anti-money laundering and counter-terrorism financing laws. Australian Transaction Reports and Analysis Centre (AUSTRAC) filed civil proceedings in the Federal Court against SkyCity Entertainment Group, which owns and operates the Adelaide casino. AUSTRAC alleges SkyCity failed to comply with its reporting obligations on cash transactions made through its gaming machines and failed to have an adequate AML/CTF program in place. The case is to be heard in court later this month.
SkyCity Adelaide was accused of not complying with anti-money laundering and counter-terrorism financing laws
A report (AUSTRAC) alleged that casino operator SkyCity Adelaide had “failed to comply with several provisions” of the Financing Act.
The report said that between November and October, SkyCity needed to have proper systems in place to identify and assess risks associated with customers, transactions, and sources of funds. It also required properly monitoring high-risk customers and reporting suspicious matters to AUSTRAC.
“These are serious contraventions of Australia’s … financing laws,” AUSTRAC CEO John Schmidt said in a statement.
“It is vital that reporting entities like SkyCity take their obligations under the AML/CTF Act seriously and have adequate systems and controls in place to manage money laundering and terrorism financing risks.”
The regulator is seeking civil penalties against SkyCity for the alleged breaches.
What this means for the casino and its customers
The financial crime watchdog in Australia has alleged that casino operator SkyCity Adelaide has failed to comply with anti-money laundering and terrorism financing laws. This means that the casino may have been used for money laundering or terrorist financing activities. The watchdog is investigating the matter and has asked the casino to provide information on its compliance with the law. The casino has not yet commented on the allegations.
The possible consequences of non-compliance
It is possible that the casino operator SkyCity Adelaide failed to comply with federal money laundering and terrorism financing laws. The nation’s financial crime watchdog has said that this failure could have severe consequences for the casino. These consequences could include a heavy fine, the loss of their gambling license, and even criminal charges. This is a serious matter and should be investigated thoroughly.
What SkyCity Adelaide is saying in response
In response to the allegations, SkyCity Adelaide has released the following statement:
“We take our obligations under the law very seriously and have robust systems and processes to ensure compliance. We are cooperating fully with AUSTRAC’s investigation and will continue to do so.”
This severe matter could have far-reaching consequences for the casino and its customers. We will follow this story closely and update readers as more information becomes available.