Australian Casinos Warned of Infiltration by Criminal Syndicates Through Junket Operations
Australias financial intelligence unit, AUSTRAC, has issued a grave caution regarding the susceptibility of casino junket organizers to penetration and manipulation by criminal syndicates, as detailed in a Sydney Morning Herald report.
For those not in the know, junket organizers function as go-betweens connecting casinos and VIP gamblers, essentially striving to attract affluent players. AUSTRAC’s findings specifically underscored the perils of illicit finance and funding for terrorist activities linked to these junket ventures, prompting the gaming sector to reinforce its safeguards against such unlawful practices. The agency stressed that money laundering presents a substantial danger within the junket framework, particularly emphasizing the participation of patrons from foreign territories recognized for their high-risk backgrounds.
This advisory follows a recent investigation into Crown Resorts, a prominent Australian casino enterprise, conducted by the Independent Liquor and Gaming Authority (ILGA) in New South Wales. This probe, which placed the matter of junket operations under intense examination, resulted in the postponement of Crown Sydney’s Barangaroo casino launch. Crown has subsequently announced it will discontinue collaborations with junket organizers until they obtain licensing from gaming authorities.
AUSTRAC Chief Executive Nicole Rose implored casinos to take immediate action, stating, “I urge casinos to act rapidly in evaluating their degrees of exposure connected to junket ventures, bolstering their regulatory measures, and disclosing any questionable dealings to AUSTRAC.”
She further cautioned against the extensive risks associated with junket activities, stating that “illicit financial transactions and money laundering contribute to grave offenses such as narcotics smuggling and human exploitation, negatively impacting our community.”
She noted that Macau’s junket sector had been halted as a result of travel limitations implemented during the pandemic.