Anti-Money Laundering in Betting – Rules Tightening is a Sure Bet
From year to year, the state legislators have been steadily tightening the regulations for sports betting providers in Europe. In 2019, the European Commission’s imminent infringement proceedings against Austria are a prime example of this trend. The betting industry is lagging behind in terms of requirements to counter money-laundering and terrorist financing, in the Commission’s opinion, and that’s about to change.
Up until now, the anti-money laundering provisions differ considerably from one Austrian province to the next. In the near future, the catalogue of obligations under anti-money laundering laws for betting providers will become largely the same throughout Austria. Betting providers in all provinces will have to prepare a risk analysis, regularly train their employees, draw up a money laundering prevention concept, and continuously monitor the betting behaviour of their customers by means of transaction monitoring. In the economic terms, this means considerable additional expense for the betting providers.
Fines up to EUR 1 Million
If the anti-money laundering measures are inadequately implemented, in the foreseeable future betting providers risk the fines of up to EUR 1 million in almost all federal states in Austria. In addition, failure to appropriately and sufficiently fulfil the anti-money laundering obligations would lead to enormous reputational damage and the loss of the reliability quality necessary in the betting industry.
Do You Need Help with the Implementation?
Are you unclear about implementing the right AML procedures and meeting your obligations? Do you need support in drawing up your AML risk analysis? Let the experts of the BTP Anti-Money Laundering Team advise you!