• Caesars Entertainment Fined $9.5 Million in Penalties

    16 September 2015

    Caesarsentertainment

    Money laundering is something that's often tied to gambling because of how relatively easy it can be to launder money through gambling establishments. This is largely due to the cash nature of the business and how casino chips are mixed up and traded back and forth during games. Different casinos have to adhere to rules that help to prevent money laundering, and Caesars Entertainment found out the hard way that they weren't doing enough with a $9.5 million penalty.

    Why Such a Large Penalty?

    In certain VIP high roller parts of Caesars Palace, there were certain deficiencies in their systems for handling players that led to the ability for players to stay anonymous in terms of reporting. These terms are largely defined and standards are set by the US Bank Secrecy Act, and the US Financial Crimes Enforcement Network was the group assigned to handle the situation. Caesars reportedly made an agreement to pay a penalty of $8 million for violations and agreed on measures to fix the problems. They also had to pay another $1.5 million to the state of Nevada for a total of just under eight figures.

    Monitoring Suspicious Activity

    Moving lots of money back and forth, to and from casinos is tricky business whether it's online or in a land-based establishment. It's not that easy for a high roller to just pull up with a suitcase full of hundred-dollar bills, and money often has to be sent via bank wire instead. Along these lines, the transactions have to be monitored closely because larger transactions are a bigger risk for money laundering schemes. Caesars was not monitoring these transactions appropriately, and that's what led to the big fines.

    How Money Laundering Works

    Criminal activities often create large amounts of money that's difficult to spend because of the attention it brings. If that money can be moved around in a way that makes it look like the funds were gained through legitimate sources, like gambling, then that solves a lot of problems for the criminals involved. That's why there are such strict guidelines and practices in place for handling anti-money laundering issues when dealing with big, high roller transactions like those made at Caesars Palace.

    Related News

    • 11 August 2017

      La Fiesta Casino Launches With €3,000 Welcome Bonus

      Players love getting a good deal, and they also like checking out the latest that the online casino world has to offer. They can do both with La Fiesta Casino, the newest site to launch. This casino is giving players a great selection of games from top-tier software providers along with a welcome bonus package that will kick your bankroll up into the next gear for sure. More Than 600 Games Available

      Read full article
    • 01 August 2017

      Lucky Creek Casino Hosts Massive Relaunch

      When any company has been around for a while, they occasionally need to freshen up their look and overall product. This goes for online casinos as well, and that's something that Lucky Creek Casino took upon themselves to do recently. They have completely revamped everything about their presentation and promotions with a complete relaunch of everything they have to offer online. New Logo, New Website

      Read full article
    • 26 June 2017

      Intertops Hosts $120,000 Fight Night Promotion

      Intertops Casino is known for running a lot of big promotions, and their latest is just another example of that. With the $120,000 Fight Night Casino Bonus Giveaway, players will be able to get a piece of the action every week until the event ends on July 10. It's a pretty big deal right now because $30,000 in payouts are being given away every week until this promotion ends. How This Promotion Works

      Read full article