A Casino Ban On Huge Amounts Against Money Laundering And Terrorist Financing

The new anti-money laundering law, which in Belgium provides for a total ban on cash transactions above 3,000 euros, could be counterproductive in the casino sector because bets will be staggered or pre-empted through intermediaries. This is what the Gaming Commission writes in risk analysis in the context of the European directive against money laundering and the financing of terrorism.

Mules

The Gaming Commission asks questions about this. “Preventively preventing money laundering by limiting cash bets in Class I gaming establishments (카지노사이트, ed.) in time, or by using mules (intermediaries or front men, ed.) who visit the casino in their place and go through the registration obligation.” Money laundering will therefore be difficult to detect, the report concludes. “Whereas a player who regularly places bets below the threshold amount spread over time will be noticed by the casino and will be followed up for ‘suspicious transactions’, this is much more difficult if you work with intermediaries, who are each registered separately, but of which it cannot simply be ascertained that behind the scenes the ultimate beneficial owner is one and the same person Lowering the threshold to allow cash bets from EUR 10,000 to EUR 3,000 may allow spreading of bets over time or via mules fuel and thus work counterproductive.

Also a maximum of 3,000 euros in cash profit

The limit to 3,000 euros in cash will also be introduced when paying out winnings. At first sight, the measure seems logical because it promotes transparency, says the Gaming Commission. “Nevertheless, at that time the casino becomes an important link in the second phase of money laundering or terrorist financing, the obfuscation, and this for two reasons. On the one hand, the casino ensures that cash-wagered funds are paid out on a domestic or foreign account, after which fast and efficient transactions to other accounts at home and abroad become possible. On the other hand, by transferring to an account, the casino implicitly gives a legitimate origin to the funds, and this without having to hand over any proof of winnings A possible start-up of a judicial investigation will always lag behind the facts in this case.”

Illegal circuit

The casino sector is also concerned about the new legislation, according to the risk analysis. “The fact that bets above 3,000 euros in cash will no longer be accepted could mean that certain customers will no longer visit the Belgian licensed casinos, but will go to the casinos in neighboring countries or in the illegal circuit.”. “Currently, about 70 percent of current sales are generated by 10 percent of customers. “The absence of these larger customers will inevitably lead to a drop in turnover. Its size is difficult to estimate. In Italy, such a measure led to an immediate drop in turnover of 20 percent. damage to the Belgian casinos and constitutes an actual erosion of the measure.”