Tabcorp faces record fine with Austrac settlement

Australian gambling firm Tabcorp is set to face a record fine of A$45 million (€32.7 million/US$34.6 million) over anti-money laundering failures.

According to reports in the national media, the Australian Transaction Reports and Analysis Centre (Austrac), the country’s financial intelligence agency, raised concerns over Tabcorp’s strategy regarding anti-money laundering and counter-terrorism (AML/CTF).

In response, Tabcorp has agreed to pay a penalty of A$45 million and also make a series of admissions of non-compliance with AML/CTF obligations under its existing programme.

Austrac said should the Federal Court approve the agreement, it will withdraw all remaining allegations of non-compliance.

In a statement published by the Australian newspaper, Tabcorp said: “Tabcorp acknowledges that there were a number of deficiencies in its former AML/CTF program, which resulted in a serious contravention of the AML/CTF legislation.”

Tabcorp added that it would recognise the penalty as a ‘significant item’ in its full-year results.

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