The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) fined the Saskatchewan Indian Gaming Authority (SIGA) $1.175 million, which SIGA claims it will fight.
Not Filing Reports of Suspicious Transactions
For violating administrative rules under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), FINTRAC declared that it was fining the casino operator in Saskatchewan. SIGA is accused of breaking administrative rules designed to stop money laundering.
Violators, according to FINTRAC, include neglecting to disclose suspicious transactions when there were good reasons to believe that the transactions were connected to a crime involving the financing of terrorism or money laundering. Failure to report suspicious transactions using the required information is one of the other infractions. In addition, a senior officer's approval is required for written compliance policies and procedures to be developed and implemented, and they must be kept current.
FINTRAC Conducts Regular Audits of the Compliance Program
The PCMLTFA is the law that establishes Canada's legislative foundation for counterterrorism funding and anti-money laundering.
“Canada’s Anti-Money Laundering and Anti-Terrorist Financing Regime is in place to protect the safety of Canadians and the security of Canada’s economy,” said Sarah Paquet, Director and Chief Executive Officer, FINTRAC. “FINTRAC works with businesses to help them understand and comply with their obligations under the Act. We are also firm in ensuring that businesses continue to do their part. We will take appropriate actions when they are needed.”
Making the First Appeal
SIGA said it will be appealing in a statement emailed to Casino.org today.
“It should be noted that the penalty is based on administrative reporting requirements only. There is no money laundering, terrorist financing, or other financial crimes at SIGA’s properties. SIGA does not agree with the violations found by FINTRAC, nor does it agree with the administrative penalties assessed. SIGA will be appealing both the findings of violations and the penalties assessed to the Federal Court.”
The organization mentioned in the SIGA statement that FINTRAC "routinely" audits its compliance program.
BCLC Fined By FINTRAC in August
“SIGA works with numerous regulatory bodies in the conduct of our business, and we place a high priority on supporting and maintaining compliance with regulatory standards.”
The British Columbia Lottery Corporation also declared in August that it was appealing to the Federal Court a FINTRAC ruling that fined BCLC over $1 million for violating anti-money laundering laws.
Three alleged violations of the Terrorist Financing Act and the Proceeds of Crime (money laundering) statute resulted in penalties for the lottery corporation.
Since its 1996 founding, SIGA has run seven casinos throughout the province, including slot machines, live and electronic table games, live entertainment, and a variety of lounges and dining options. Additionally, it runs the sole lawfully run online gambling and sports betting website in Saskatchewan, PlayNow.com.
