SkyCity Adelaide and Austrac have filed joint submissions with the Federal Court of Australia, proposing a penalty for the casino of A$67m.
SkyCity has admitted that it operated in contravention of the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, specifically that its AML/CTF programmes did not meet the requirements of the AML/CTF Act and AML/CTF Rules, in contravention of section 81, and that it did not carry out appropriate ongoing customer due diligence with respect to certain higher risk customers and customers transacting through higher risk channels, in contravention of section 36.
Austrac and SkyCity agree that a $67m penalty is appropriate. However, it is a matter for the court to determine the appropriate penalty.
A court hearing has been set down for June 7, at which the parties’ proposed settlement will be considered by Justice Lee.
“Austrac took this action out of concern that SkyCity’s conduct meant that a range of high-risk practices, behaviours and customer relationships were allowed to continue unchecked for many years,” Austrac’s CEO, Brendan Thomas said.
Thomas added that the action serves as an important reminder to casinos and the gaming sector to take their AML/CTF obligations seriously and “to be vigilant to money laundering and terrorism financing risks.”
