A crackdown on alleged money-laundering at River Rock Casino and Resort will begin with having government investigators on the casino floor 24/7.
Their job will be to help source the funds with which gamblers aim to play.
“In particular, (investigators) will assist with issues surrounding source of funds, third-party cash drops, and other operational support,” noted the government. This is the first of two interim recommendations B.C.’s Attorney General David Eby announced Tuesday.
The recommendations come from an ongoing independent review of anti-money laundering policies and practices at Lower Mainland gaming establishments.
“Our government has made clear the urgency around addressing issues of money-laundering at B.C. casinos, and we will ensure these first two recommendations are not only implemented as soon as possible, but enforced on the ground,” said Eby, via a government statement.
A second recommendation is for the River Rock to complete a Source of Funds Declaration for cash deposits and bearer bonds of $10,000 or more.
“At a minimum, the declaration must outline a customer’s identification and provide the source of their funds, including the financial institution and account from which the cash or bond was sourced.
“After two consecutive transactions, cash can only be accepted from the customer once it has been determined that it is not of a suspicious or illegal nature,” noted the government.
Bearer bonds are unregistered bonds issued by a bond agent. As such, they are considered to be popular in money-laundering circles.
The review was ordered by Eby in September after he examined a report by accounting firm MNP that highlighted numerous irregularities in anti-money laundering practices at River Rock, leading to “a culture accepting of large bulk cash transactions.”
In one month (July 2015), the casino accepted $13.5 million in $20 bills alone. A Vancouver Sun investigation found links to money-laundering allegations and real estate purchases.
