Wednesday, January 06, 2010

Note to terrorists: Better luck at the track

The Tyee: Jan 6

After the announcement that PlayNow's weekly limit was going up to $9,999, reporters and critics noted the figure was suspiciously close to the $10,000 threshold that the federal government requires to be reported under laws to combat money laundering and terrorist financing. The figure also appears to have caught the attention of people at the Financial Transactions and Reports Analysis Centre of Canada, the federal agency that receives and analyzes information about suspicious transactions.

"FinTrac is asking about this move to $9,999.00 so are [we] doing what we say we are doing and drilling through these account[s]?" BCLC's manager of casino security and surveillance Doug Morrison asked lottery security manager Gordon Board in an Aug. 20 email. Board responded: "Security only opens an IRIMS file if there is 'suspicious activity' or when Security is required to conduct a 'face-to-face' interview on a win of $10,000 or more. Prize Payout can pull all Cheques issued from PlayNow, so all the files can be audited by GPEB if they wish." Several documents noted that even transactions of a few hundred dollars would arouse suspicions if the customer was taking money out of an account without playing the games.

BCLC officials, however, believed transfers of money into and out of PlayNow accounts were exempt from FinTrac's oversight. "PlayNow is not subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act & Regulations as it is not a land base Casino," an Aug. 20 issues note said. "As we all know Bingos, Horse Racing and Lottery wins are not subject to this legislation." It's unclear from the documents BCLC released whether FinTrac officials agreed. – A.M.

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Who Calls the Shots for BC Gambling Limits?

By Andrew MacLeod, Today, TheTyee.ca (full story)

Emails indicate Minister Coleman was told just five days before BC's Lottery Corporation raised online gambling limits from $120 to $9,999.

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