Australia publishes AML guidance for pubs, clubs with gaming machines
20 Feb 2018

Owners of pubs or clubs with gaming machines will have to appoint a compliance officer and adopt employee due diligence programmes under new guidance published in Australia on Monday.

Regulator Austrac, which issued the rules, said firms operating in this bracket should develop an anti-money laundering (AML) and counter terrorism programme (CFT) programme, setting out the way the business adheres with its compliance obligations.

It’s provided a checklist of requirements, which includes adopting an AML/CFT risk awareness training program and also the need to describe procedures for ongoing due diligence, including transaction monitoring.

Also included is a list of possible AML/CFT risks to look out for, alongside notes on the treatment of the potential threat. These risks include instances such as where a customer is reluctant to produce identification when asked or where the customer regularly brings in large amounts of cash even though the venue has an ATM.

Businesses will also have to submit reports on suspicious matters – within 24 hours if it pertains to terrorism financing, and three days for potential money laundering issues.

“It is an offence to tell anyone apart from AUSTRAC that you have formed a suspicion about a customer.

Therefore, in some circumstances it might not be appropriate to obtain further information from a customer or a third party when you cannot do so without alerting, or ‘tipping off’ the customer or third party to your suspicions,” the guidance states.

Elsewhere in the gaming sector, on Monday the Gambling Commission in the United Kingdom fined the William Hill Group $6.2 million for its poor anti-money laundering controls and failing on its social responsibility obligations.

The British sector regulator conducted an investigation which found that there were not enough staff to ensure that AML procedures were effective and the company did not seek to verify the source of funds, among some of the issues raised.

Read more:

William Hill fined $6m over money laundering, failing to protect customers

Australia: New accountability regime BEAR seeks to shakeup banking sector

Confessions of a compliance officer: How I handled dodgy demands

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