In Australia and local casino operator Crown Resorts Limited has reportedly been ordered to pay a just shy of $57.5 million fine after being found guilty of running a scheme that allowed high-value punters to illegally transfer cash out of China.
According to a Monday report from the Australian Broadcasting Corporation, the penalty from the Victorian Gambling and Casino Control Commission follows a determination that the firm’s Crown Melbourne venue had permitted users of China UnionPay bank cards to transfer more than the $50,000 annual limit put in place by Beijing for the four years to 2016.
Desired discretion:
The Victoria regulator reportedly disclosed that Crown Resorts Limited is estimated to have made more than $32 million from the illicit program, which violated Chinese laws and the southern state’s Casino Control Act. The Victorian Gambling and Casino Control Commission purportedly proclaimed that the Melbourne-headquartered casino operator also ‘went to some lengths’ to keep the UnionPay scheme a secret although it had subsequently cooperated completely with the probe.
Complicated campaign:
Fran Thorn serves as the Chair for the Victorian Gambling and Casino Control Commission and reportedly divulged that the fine has been designed to strip Crown Resorts Limited of all revenues it may have made from the illegal ruse in Victoria. The regulator moreover explained that the clandestine scheme saw the operator issue Chinese gamblers with false receipts for hotel services paid via UnionPay cards that could later be exchanged for casino chips.
A statement from Thorn reportedly read…
“Crown Resorts Limited’s China UnionPay process was a clandestine and deliberate process that not only breached the Casino Control Act but was also devised to assist patrons to breach China’s foreign currency exchange restrictions. Crown Resorts Limited was aware of the risk that the process could be illegal but decided to run that risk. In doing so, it showed no regard for upholding its regulatory obligations and, indeed, it went to some lengths to hide what it was doing.”
Absolute admission:
For its part and Crown Resorts Limited reportedly acknowledged its ‘historic failings’ before asserting that it was now committed to reform after sharing the findings of its own ‘independent investigation’ into the matter with the Victorian royal commission and the Victorian Commission for Gambling and Liquor Regulation, which was the predecessor of the Victorian Gambling and Casino Control Commission.
Reportedly read a statement from Crown Resorts Limited…
“Crown Resorts Limited’s board and senior management are committed to the delivery of a comprehensive reform and remediation program to ensure Crown Resorts Limited delivers a safe and responsible gaming environment and continues to cooperate with the Victorian Gambling and Casino Control Commission on all matters arising from the Victorian royal commission report.”