The Australian Transaction Reports and Analysis Centre (AUSTRAC) has accepted an enforceable undertaking from Sportsbet to enhance the sportsbooks' compliance with Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) laws.
Following a comprehensive review of entities in the corporate bookmaker sector, AUSTRAC required Sportsbet to appoint an external auditor to evaluate its adherence to the AML/CTF regime. After considering the auditor’s findings and Sportsbet’s cooperation, AUSTRAC decided that an enforceable undertaking was the appropriate regulatory response.
This undertaking commits Sportsbet to a remedial action plan to improve its AML/CTF program, with AUSTRAC overseeing the process to ensure compliance within agreed timeframes. Sportsbet must also provide AUSTRAC with regular reports from an auditor who will monitor the progress of these improvements.
AUSTRAC CEO Brendan Thomas emphasised the importance of this undertaking in preventing criminals from using Sportsbet to launder money.
“Corporate bookmakers must have robust systems in place to ensure they comply with their AML/CTF obligations,” Thomas stated.
He added that Sportsbet’s commitment to this program is crucial for managing and mitigating 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,” he added.
Thomas also highlighted the significant role that betting agencies 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.
In 2024, AUSTRAC investigated cases suspected of breaching AML/CTF regulations such as Hillside (Australia New Media) under bet365 and also fined SkyCity for AU$67m (US$44.6m) for failing AML regulations.
