Austrac has opened a "enforcement inquiry" into Entain, citing anti-money laundering (AML) and counter-terrorism funding (CTF) concerns, and has warned that it may examine other operators as well.
Austrac stated in a statement that the inquiry follows a "extensive supervisory effort" of Entain's actions. It will determine whether Entain has met its duties under Australia's AML/CTF Act.
According to Nicole Rose, CEO of Austrac, all businesses, including those in the gaming industry, must comply with AML and CTF rules in order to prevent serious criminality.
“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 stated that the probe against Entain may lead to further inquiries into other Australian bookies.
It went on to say that it would be unable to comment further at this time.
Entain was fined £17.0m (€20.3m/$20.6m) by the GB Gambling Commission less than a month ago after the Commission discovered social responsibility and AML violations.
The total fine of £14.0m was levied on LC International Limited, the company that operates Entain's online gaming businesses, including Coral.co.uk and Foxybingo.com.
The remaining £3.0 million is related to Ladbroke's Betting & Gaming Limited, Entain's retail bookmaker business.
By fLEXI tEAM