SkyCity bought its Adelaide casino in 2000. It is located in a historic train station. Photo / Supplied
SkyCity is under investigation by an Australian regulator for “potential serious non-compliance” with terrorist financing and money laundering laws at its Adelaide casino.
The casino’s management of “high-risk and politically exposed persons” is under scrutiny according to Austrac, the Australian agency established to combat criminal abuses of the financial system to protect the community from serious and organized crime.
SkyCity will make an announcement in the New Zealand market tomorrow, but says on its website that it has been made aware by Austrac’s regulatory operations team that it has identified potential serious violations under Australian law. money laundering and the financing of terrorism and the fight against money laundering and the fight against terrorism. – Instrument on the rules of financing of terrorism.
The Auckland-based company said the potential serious non-compliance includes concerns about ongoing customer due diligence and the adoption and maintenance of an anti-money laundering and anti-money laundering funding program. terrorism.
These concerns were identified during a compliance assessment launched by Austrac in September 2019, which focused on SkyCity Adelaide’s management of clients identified as “high risk and politically exposed persons”.
Austrac in a backgrounder released last year defines politically exposed persons as
“A person who occupies a prominent public office or function in a
government agency or international organization ”.
Examples include heads of state or government, senior officials, senior members of the armed forces, chairmen of boards of directors, general managers or chief financial officers of state enterprises or organizations. international.
The definition also includes immediate family members and close associates of such persons.
SkyCity said today that the matter has been referred to Austrac’s enforcement team, which has launched a formal investigation into compliance in Adelaide.
“Austrac has made it clear that it has not made a decision on the appropriate regulatory response it could apply to SkyCity Adelaide, including whether or not enforcement action will be taken,” SkyCity said.
A spokeswoman said a market announcement had been sent to both ASX and NZX at the same time, but since it was a public holiday here in New Zealand today, it will not be visible on the NZX before 8:30 am tomorrow.
The agency said it would seek information from SkyCity as part of its investigation and the company said it would cooperate fully.
“SkyCity takes its responsibilities and obligations in the fight against money laundering very seriously,” he said.
The company claims to have processes and practices in place in its business to detect and prevent money laundering and is constantly reviewing them to ensure it meets all anti-money laundering requirements.
The Adelaide property is the historic railway station building on the banks of the Torrens River and employs around 100 people. It is the 10th largest employer in the city of South Australia.
In addition to SkyCity Adelaide, the group owns and operates casinos in Auckland, Queenstown and Hamilton.
SkyCity bought the Adelaide operation in 2000 and said last year it was spending A $ 330 million ($ 354 million) on a redevelopment project.
SkyCity Entertainment Group’s half-year net profit fell 76% from $ 249.6 million last year to $ 78.4 million.
The NZ International Convention Center fire, the Covid-19 pandemic and a settlement agreement reached with Fletcher Construction last November have all been cited by the company for declining profits.
Revenue for the six-month period ended December 31, 2020 fell 37% to $ 449.9 million.
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This notice was published: 2021-06-07 01:49:48