A provincial government review of anti-money laundering measures in B.C. casinos recommends creating a cross-agency task force to tackle crime linked to gambling facilities.
The review, which was released Wednesday, pointed out there are no formal links between the provinces gaming policy and enforcement branch and police to investigate casino-related crime.
Without an arrangement between the enforcement branch and police, it will remain difficult to assure an appropriate level of response to, and investigation of, criminal offences related to gaming, including money laundering, the review said. Without these changes, money laundering and other serious criminal activity suspected at gaming facilities will rarely rise sufficiently in priority to warrant police investigation, the review added.
In response to the review, the gaming policy and enforcement branch created an action plan that outlined what it is doing to combat money laundering. The plan was released in conjunction with the government review. Neither document provided details on the level of money laundering at casinos but noted a series of news reports in January on large cash transactions at casinos in what prompted the review.
Edgewater Casino and Hastings Racecourse are the citys only gambling facilities. Earlier this year, Edgewaters owners Paragon Gaming unsuccessfully pitched a proposal to city council to build a mega casino adjacent to B.C. Place Stadium. During the public hearings, Vancouver Police Department Deputy Chief Warren Lemcke told council Edgewater has generated an average of 70 police calls a year at a cost of $8,500 annually.
Lemcke didnt elaborate on types of calls but described the volume as minimal and that the calls didnt involve money laundering or crimes tied to gambling. Im actually more concerned about bars and nightclubs, he said at the time.
The enforcement branch said it will determine how best to implement a cross-agency task force after completing other recommendations laid out in the review, although it noted an informal network is active and productive.
[The gaming policy and enforcement branch] believes that the other recommendations in this report will have a powerful effect and significantly improve the [anti-money laundering] regime in B.C., the action plan said. In the interim, a more formalized approach and better coordination between interested agencies and [B.C. Lottery Corporation] has been established to ensure effective communication.
Other recommendations include:
Enhance training for staff at gambling facilities to better detect suspicious transactions while at the same time not draw conclusions about the ultimate origin of funds based solely on the identification of a patron and his or her pattern of play.
Hire an independent company to help develop electronic funds transfer systems to change what is a cash-dependent industry. Allowing gamblers to leave a casino with a cheque instead of cash is expected to reduce the possibility of a gambler being robbed.
Establish more formal contacts and relationships with enforcement agencies in jurisdictions with large, longstanding gambling industries.
The provincial governments net income in gaming revenues for 2009/2010 was $1.08 billiona substantial gain from 2001/2002 when the government collected $606 million.
Twitter: @Howellings
