The government of Western Australia (WA) has increased the penalties the state’s gambling regulator can issue to betting firms for violating rules relating to various areas, including money laundering.
WA’s Gaming and Wagering Commission (GWC) has been given a range of new enforcement powers by the government. This includes not just what the government has called ‘significant increases’ in penalties but also a greater ability to ‘issue directions’ to licenced casinos.
Betting operators in Western Australia should take note of the changes, as regulators both in Australia and elsewhere have shown a willingness to strictly enforce rules around AML and social responsibility with financial penalties.
A notable case last year saw the Australian Transaction Reports and Analysis Centre (AUSTRAC) open an investigation into Entain, a huge multinational gaming firm which owns the Ladbrokes Australia and Neds brands. The focus of the probe was on Entain’s compliance with Australian AML and CTF laws.
Gary Dreibergs, Gaming and Wagering Commission Chair, said: “I welcome the reforms, driven by the State Government, which will greatly assist the Gaming and Wagering Commission in our important task to enforce gambling laws and disrupt illegal gambling in WA.
“The substantial increase in penalties will act as a more effective deterrent and a more appropriate punishment for law breakers who may regard current lower penalties as an acceptable risk when they consider the profits that can be made from subverting the laws.
“The extra powers for the GWC will help to significantly boost our ability to carry out successful investigations and prosecutions to stamp out illegal activity, which attracts money launderers and organised crime gangs.”
The government’s decisions are largely based on the findings of the Perth Casino Royal Commission, which looked at modernising WA’s existing legislation around casinos.
The report included a dedicated section around money laundering, which evaluated how the GWC had enforced and investigated AML at the Crown Casino in Perth and recommended a path of action moving forward.
Paul Papalia, WA Racing and Gaming Minister, said: “The law reform is designed to significantly expand the regulator’s compliance and enforcement powers and increase the penalties to ensure they are an effective deterrent to non-compliance.
“Addressing all the legislative reform recommendations of the Royal Commission will take time, but we are well advanced on our pathway to implementing the wide-ranging changes that are required to establish a modern regulatory framework, not only for casino operations, but for all gambling activities in WA.”
