Posting date: July 12, 20,23, 07h39.
Last updated: July 12, 2023 at 01:13h
Crown Resorts, a financial watchdog in Australia (Australian Transaction Reports and Analysis Centre – AUSTRAC), has conducted an investigation that led to the latest difficulties. The judge presiding over the case upheld this recommendation. The latest difficulties are the result of an investigation by the financial watchdog Australian Transaction Reports and Analysis Centre (AUSTRAC), and the judge presiding over the case has upheld the recommendation.
The Crown Melbourne casino in Melbourne, Australia. The company has been fined another multimillion dollar amount for AML violations committed in Australia. The fine was imposed after AUSTRAC determined that Crown Management, whether actively or passively, had violated anti-money-laundering and counter-terrorism funding (AML/CTF), regulations for many years. The accusations and conclusions are the same as what several Australian states already concluded.
AUSTRAC focused on Crown last year after the completion of inquiries by New South Wales and Victoria. The two states determined earlier that Crown had repeatedly manipulated AML/CTF regulations to its benefit. Then it altered financial reports in an effort to cover its tracks.
Despite the overwhelming evidence and testimony that emerged during those inquiries, AUSTRAC repeatedly gave Crown extensions during its own investigation. That was until a judge lost patience and forced the watchdog to take action.
AUSTRAC presented its findings last week, adding that it gave Crown a little leniency because it has reportedly shown remorse for its failings. Crown has almost completely restructured its executive ranks. There are new high-placed executives at its casinos, and the board of directors has been revamped in an effort to show that the company is taking the issues seriously.
Having taken over as CEO less than a year ago, Ciaran Carruthers is trying to ensure that goal is met. He has already enacted a number of changes across the company, and said after the AUSTRAC agreement was reached that Crown has “invested tens of millions to bolster financial crime compliance and embed global best practice for the gaming sector.”
AUSTRAC Shows Mercy
The judge who approved AUSTRAC’s fine, Michael Lee, also approved its conditions. One of these is that Crown will have two years to pay the amount, interest-free.
AUSTRAC could have forced the company to make a lump-sum payment, but reportedly gave in to a plea by Crown. Crown claimed it would not be able pay that amount of money all at once, and needed time.
That convinced the watchdog although Lee was not convinced. He criticized AUSTRAC for its lack of thoroughness, just as he had done when it delayed the resolution earlier in the year. Crown was able to claim another small victory.
Instead of the original settlement amount, the final bill, in real terms with no interest, is for AU$406 million (US271.6 million), according to the
Financial Review
.