How Australia's Crackdown on the Gambling Industry is Good News for Bettors
Published: 2019-05-14 06:05:24

<span style="font-weight: 400;">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.</span>

<span style="font-weight: 400;">South Australia recently moved to increase the maximum penalty for casino operators that attempt to evade paying casino duty or have compliance failures. </span><span style="font-weight: 400;">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.</span>

<span style="font-weight: 400;">The only current license holder this would affect is the SkyCity Entertainment Group who are licensed in Adelaide. </span><span style="font-weight: 400;">Limited betting options are leading some consumers to search online for operators that provide greater competition and </span><a href="https://www.techopedia.com/gambling/australia/new-casinos"><span style="font-weight: 400;">new options every week</span></a><span style="font-weight: 400;">. 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.</span>

<span style="font-weight: 400;">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. </span><span style="font-weight: 400;">After being investigated by Austrac (the Australian Transaction Reports and Analysis Centre), the operator has agreed to pay a </span><a href="https://www.austrac.gov.au/news-and-media/media-release/austrac-and-skycity-agree-proposed-67-million-penalty"><span style="font-weight: 400;">$67 million penalty</span></a><span style="font-weight: 400;"> for historic AML and CTF failings.</span>

<span style="font-weight: 400;">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.</span>

<span style="font-weight: 400;">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.</span>

<span style="font-weight: 400;">Since this was raised, SkyCity has appointed independent experts to ensure their </span><a href="https://www.ag.gov.au/crime/anti-money-laundering-and-counter-terrorism-financing"><span style="font-weight: 400;">AML and CTF</span></a><span style="font-weight: 400;"> programme meets requirements. Having learned from their failings, the operator appears to be eager to do better moving forward.</span><span style="font-weight: 400;">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.</span>

<span style="font-weight: 400;">Walbridge will start his new role in July and brings with him decades of experience in the gambling sector. </span><span style="font-weight: 400;">While the threat of customers looking online at offshore operators and </span><a href="https://cryptogambling.ltd/"><span style="font-weight: 400;">crypto gambling</span></a><span style="font-weight: 400;"> alternatives will still be a concern for SkyCity, full compliance will give their customers greater levels of confidence in their service.</span>

<span style="font-weight: 400;">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.  </span><span style="font-weight: 400;">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.</span>