Key Highlights:

Regulatory Breach: The Department of Internal Affairs (DIA) in New Zealand has initiated legal proceedings against Christchurch Casino for alleged anti-money laundering (AML) and counter-financing of terrorism (CFT) failings.

Five-Year Period of Non-Compliance: The alleged breaches occurred between December 2018 and December 2023, highlighting a significant period of regulatory oversight.

Industry-Wide Concern: The case underscores the importance of robust AML/CFT compliance measures for all gaming operators, as regulatory scrutiny continues to intensify.

A Serious Setback

Christchurch Casino has found itself under the regulatory microscope following allegations of serious AML/CFT failures. The DIA’s legal action highlights the critical importance of implementing effective compliance programs to prevent criminal activity within the gaming industry.

The casino’s alleged failure to develop and maintain adequate AML/CFT controls could have serious consequences, including potential fines and reputational damage. The case serves as a stark reminder for all gaming operators to prioritize regulatory compliance and maintain a vigilant approach to risk management.
The DIA’s actions reflect a growing focus on combating money laundering and terrorist financing within the gaming industry. As regulatory scrutiny intensifies, it is imperative for operators to invest in robust compliance frameworks and stay updated on evolving regulatory requirements.

Serge Sablyak, Director of AML/CFT Group at the DIA, emphasized the importance of strong AML/CFT measures: “Casinos must implement strong measures to prevent criminal exploitation. Those who fail to comply will face consequences.”

The outcome of this legal case will have significant implications for the New Zealand gaming industry and could set a precedent for future regulatory enforcement actions.