How Australia's Crackdown on the Gambling Industry is Good News for Bettors
Published: 2024-06-28 13:53:16

Australia has one of the largest gambling industries in the world, and new measures to crack down on failings will help bettors enjoy a safer and more reliable industry.

South Australia recently moved to increase the maximum penalty for casino operators that attempt to evade paying casino duty or have compliance failures. 

The current maximum fine is set at $100,000 which casinos could be happy to pay as a business cost. However, this rose to $75 million and underlines just how seriously the South Australian government is taking this.

The only current license holder this would affect is the SkyCity Entertainment Group who are licensed in Adelaide. 

Limited betting options are leading some consumers to search online for operators that provide greater competition and new options every week. 

Betting expert Jonathan Askew explains that online casinos are in a position to offer the latest games and other incentives including huge sign-up bonuses.

Online competition has led to fears that casino operators were letting their standards slip, and SkyCity Entertainment Group's recent troubles are evidence of this.

After being investigated by Austrac (the Australian Transaction Reports and Analysis Centre), the operator has agreed to pay a $67 million penalty for historic AML and CTF failings.

AML (anti-money laundering) and CTF (counter-terrorism financing) are key to financial services and the online betting industry. They require operators to take measures to ensure their services aren't being used for criminal purposes, and several safeguards are in place that should mitigate this risk.

Proceedings were initially launched by Austrac in 2022, with failures dating back to 2019. SkyCity had failed to properly implement frameworks, controls, or systems in regard to AML and CTF compliance. They also failed to properly monitor suspicious activity or carry out additional checks on high-risk customers.

Since this was raised, SkyCity has appointed independent experts to ensure their AML and CTF programme meets requirements. Having learned from their failings, the operator appears to be eager to do better moving forward.

SkyCity could face similar issues in their New Zealand operations which will be a concern. However, they have recently restructured their senior management with the news that Jason Walbridge would replace Michael Ahearne as their CEO.

Walbridge will start his new role in July and brings with him decades of experience in the gambling sector.

While the threat of customers looking online at offshore operators and crypto gambling alternatives will still be a concern for SkyCity, full compliance will give their customers greater levels of confidence in their service.

Following their agreement to pay the record penalty, SkyCity will be looking ahead to the next chapter in Australian gambling, and it is set to be an exciting one. 

Developers are taking advantage of state-of-the-art technology to provide bettors with immersive gaming experiences. As one of the highest earners in a casino, this new age of slot machines will be key to any future developments for operators in the country.