The Australian Transaction Reports and Analysis Centre has ordered Bankstown District Sports Club Ltd to appoint an external auditor after identifying concerns that its anti-money laundering and counter-terrorism financing controls may be too weak to prevent organised crime exploiting poker machines and gambling venues. The order was made under section 162 of the Anti-Money Laundering and Counter-Terrorism Financing Act 2006. The audit will test whether the club is complying with its AML/CTF obligations, including whether it has an effective risk-based AML/CTF program, has properly assessed risks linked to its customers, services and delivery methods, and has systems that can monitor customers and detect suspicious behaviour linked to money laundering or terrorism financing. AUSTRAC set the audit scope and the club must bear the cost. The agency linked the action to broader risks in cash-intensive gambling venues, where criminals may cycle cash through poker machines with little or no genuine play and then cash out apparently legitimate funds. AUSTRAC said the audit findings will help determine whether Bankstown District Sports Club needs to strengthen its compliance further and whether additional regulatory action is warranted.

Original source Back to tracker