Fallsview Casino Resort, located in Niagara Falls, Ontario, was recently fined more than $51,000 by the Alcohol and Gaming Commission of Ontario (AGCO) for failure to meet anti-money laundering (AML) compliance requirements.
The owners of the resort, MGE Niagara Entertainment, said they “respectfully” disagree with AGCO’s decision and will appeal.
The AGCO, in collaboration with the Ontario Provincial Police Bureau, closely monitors gaming sites in the province to ensure compliance with established standards. Casino operators are required to take effective steps to identify and prevent criminal activities on their premises, including reporting suspicious behaviors and validating the source of funds for significant cash transactions.
In April 2023, a high-risk patron presented $59,300 in strapped CAD 100 bills from a reusable grocery bag at the Salon Privé within Fallsview Casino Resort. Surveillance footage revealed that the patron left the table with casino chips without engaging in any gameplay.
Despite having identified the player as high-risk, the casino failed to notify the AGCO and on-site police, as required. Furthermore, the casino operator neglected to investigate and verify the source of the patron’s funds, a crucial step in accordance with the Registrar’s Standards for Gaming.
As a consequence of the non-compliance, the AGCO imposed a monetary penalty of $51,900 on MGE Niagara Entertainment. The commission emphasizes that the prevention of unlawful activities is a top priority and expects casino operators to adhere to stringent standards. Fallsview Casino Resort’s failure to meet these standards not only resulted in financial penalties but also raised concerns about the potential for money laundering within the establishment.
Money laundering poses a significant risk to the integrity of the gambling industry. Casinos are attractive targets for criminals looking to legitimize their illicit funds. AML compliance measures play a crucial role in preventing money laundering and other illegal activities within the sector. By implementing robust procedures, casinos can
