Aussie AML focus switches to Adelaide casino

Following the scandals that hit the Star and Crown casino groups in Australia, the focus is now switching across another border into South Australia.

While there is no evidence of wrongdoing by SkyCity Adelaide, owned by New Zealand’s SkyCity Entertainment Group, it was named alongside Crown and Star last year as being subject to investigation by AUSTRAC, the country’s Transaction Reports and Analysis Centre.

At that time the concern was potential breaches to Australia’s AML regulations and South Australia’s Liquor and Gambling regulator subsequently announced that it was running an independent review of casino operations in South Australia as a result of the events in neighbouring Victoria, New South Wales and Queensland.

At SkyCity’s annual meeting on Friday, chairman Julian Cook said that the investigations in Adelaide were still ongoing. “We continue to co-operate with AUSTRAC in relation to its enforcement investigation, which commenced in June 2021, into potential serious non-compliance by SkyCity Adelaide. That engagement has included the provision of information and documents required by AUSTRAC. We are continuing to respond to a significant number of questions and information requests from AUSTRAC which we are treating very seriously.”

He added: “AUSTRAC has not filed proceedings against SkyCity Adelaide to date, or indicated whether any enforcement action will occur. However, given that AUSTRAC’s enforcement action investigation is ongoing and we have identified where certain enhancements to the AML and CTF programme are required, there is a possibility that AUSTRAC could bring an enforcement action against SkyCity Adelaide. Any such action, and any associated penalties, could have a significant financial and reputational impact on SkyCity.”