Home > Legal & compliance > Legal > Austrac launches money laundering investigation into Entain

Austrac launches money laundering investigation into Entain

| By Marese O'Hagan
The Australian Transaction Reports and Analysis Centre (Austrac) has launched an “enforcement investigation” into Entain, citing anti-money laundering (AML) and counter terrorism financing (CTF) concerns, and warned it may investigate other operators as well.
Entain Q1

In a statement, Austrac said the investigation comes after an “extensive supervisory campaign” into Entain’s activities. It will assess whether Entain has sufficiently complied with obligations under Australia’s AML/CTF Act.

Nicole Rose, chief executive of Austrac, said that all businesses – including those within the gambling sector – must comply with AML and CTF requirements in order to combat serious crime.

“Reporting entities have a responsibility to ensure they identify, assess and manage risks of money laundering and terrorism financing, develop adequate processes and devote the necessary resources to comply with their AML/CTF obligations,” said Rose.

Austrac also said that this investigation into Entain may lead to further investigations into other bookmakers in Australia.

It added that it will not be able to comment further at this time.

Less than one month ago, Entain received a fine of £17.0m (€20.3m/$20.6m) from the GB Gambling Commission, after the Commission uncovered social responsibility and AML failures.

In total, £14.0m of this fine was aimed at LC International Limited, the entity that operates Entain’s online gaming brands, including Coral.co.uk and Foxybingo.com.

The remaining £3.0m correlates to Ladbroke’s Betting & Gaming Limited, Entain’s chain of retail bookmakers.

Subscribe to the iGaming newsletter