MGE Niagara Entertainment faces a penalty from the Alcohol and Gaming Commission of Ontario (AGCO) for breaking money laundering regulations. The fine is seventy thousand dollars. This pertains to various additional malpractices as well as the participation of money laundering. The organization also operates the Fallsview Casino Resort.
The penal action was prompted by an April 2023 incident in which a “high risk” patron carrying attached $100 bills entered the Salon Privé at Fallsview Casino Resort, thereby incurring a total of $80,000 in associated costs. To accomplish this, a grocery bag was used. Based on the surveillance camera footage, it became evident that the funds had been transferred; the suspect exited the establishment without engaging in any games and departed with a limited quantity of casino coins.
In violation of the Registrar’s Standards for Gaming, the casino did not report the transaction to the AGCO, even though there were clear warning signs. In addition, the casino did not follow anti-money laundering regulations by determining and verifying the origin of the customer’s payments.
Through a press release, the AGCO emphasized that malpractices pertaining to online gambling sites in Ontario must be exposed without exception. In accordance with the Registrar’s Standards for Gaming, operators are obligated to disclose all instances of fraudulent activity and ascertain the source of customers’ funds, particularly when the sum is substantial.
As per Dr. Karin Schnarr, AGCO’s Registrar and Chief Executive Officer, the organization has sworn to protect the public from any potential damage. Additionally, preventing money laundering through online Canadian casino sites is a high priority. All operators are expected to provide their utmost cooperation in this matter.
MGE Niagara may file an appeal with the Licence Appeal Tribunal, an autonomous adjudicative entity within Tribunals Ontario, challenging the decision rendered by the Registrar.