American Casinos Remain Committed to AML Legislation

January 28, 2016

According to a report produced by the American Gaming Association (AGA), U.S. casinos remain dedicated to anti-money laundering (AML) fulfilment. The 40-page document, which was published in partnership with Ernst & Young, showed that over the past five years 68% of gaming companies have increased their AML compliance budget by an average of 74%. Another 65% of gaming companies plan to increase their AML budget by hiring additional staff and introducing other measures.

On the reporting side, the number of Suspicious Activity Reports (SARs) filings between 2011 and 2014 has risen by 164%, which has been accomplished through a “culture of compliance”. The increased reporting has also helped in ongoing investigations by pointing law enforcement to the identities of individuals previously unknown to them, according to the Department of Treasury’s Financial Crimes Enforcement Network, known as FinCEN.

But FinCEN continues to monitor the industry carefully and fine for non-compliance. Some recent notable settlements with gaming establishments include:

  • August 2013: Las Vegas Sands Corp. fined $47.4 million for alleged money-laundering activities at The Venetian in 2006 and 2007
  • January 2015: Oppenheimer & Co. Inc. fined $20 million for ‘Continued Anti-Money Laundering Shortfalls’
  • March 2015: Trump Taj Mahal Casino Resort fined $10 million for significant and longstanding anti-money laundering violations
  • June 2015: Tinian Dynasty Hotel & Casino fined $75 Million for ‘Egregious Anti-Money Laundering Violations’
  • September 2015: Caesars Palace paid an $8 million civil money penalty for its willful and repeated violations of the Bank Secrecy Act (BSA)

It is this complex environment of increasing regulations, more scrutiny by regulators and the need to reduce manual detection of suspicious activities that has many companies looking to Alessa. It enables companies to monitor 100% of their transactions, properly identify customers before doing business with them, screen individuals against sanctions lists, and meet regulatory requirements for compliance and reporting.

About Andrew Simpson

Andrew Simpson (LinkedIn | Twitter) is Chief Operating Officer at CaseWare RCM and has more than 20 years of experience building businesses in the fields of information systems audit and security, data analytics, Anti-Money Laundering and forensics. He is a regular contributor to conferences and a recognized thought leader in financial crime management.

Try Alessa