AUSTRAC, the Australian Transaction Reports and Analysis Centre, has agreed to an Enforceable Undertaking from Sportsbet Pty Ltd, aimed at enhancing its compliance with Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) laws.
In a press release issued on Thursday, AUSTRAC announced its decision, following an extensive supervisory campaign focusing on entities in the corporate bookmaker sector. As part of the directive, AUSTRAC required Sportsbet to engage an external auditor to assess its adherence to the AML/CTF regime.
After reviewing the auditor’s findings and considering Sportsbet’s cooperation and proactive efforts to fulfill its obligations, AUSTRAC concluded that accepting an Enforceable Undertaking from Sportsbet represents the most suitable regulatory action.
‘The enforceable undertaking binds Sportsbet to an ongoing remedial action plan to improve its AML/CTF program, which AUSTRAC will monitor to ensure it is undertaken within agreed timeframes,’ stated AUSTRAC.
As a component of the agreement, Sportsbet is obligated to furnish reports to AUSTRAC from an auditor tasked with ongoing monitoring of Sportsbet’s compliance improvements.
AUSTRAC CEO Brendan Thomas emphasized that the enforceable undertaking is designed to prevent Sportsbet from becoming a conduit for criminal funds.
“Corporate bookmakers must have robust systems in place to ensure they comply with their AML/CTF obligations,” Thomas said.
“Sportsbet’s undertaking binds it to a program of work. This will help ensure Sportsbet manages and mitigates the risks associated with money laundering and terrorism financing.
“We will be monitoring Sportsbet throughout this process to ensure it meets these obligations, and there will be consequences if it does not.
“Betting agencies, like all regulated entities, have a significant role to play in combating financial crime. This undertaking will ensure that Sportsbet commits sufficient resources to adequately implement its remediation program promptly, or risk further enforcement action,” he concluded.
