onducted by MHA Consulting, the report found that a combination of statutory controls and self-regulation had effectively reduced the risk of money laundering through online gambling.
The study found that the risks of money laundering and terrorist financing through online gambling were low with a strong industry commitment to detect and prevent these activities.
While no service sector can be immune from the attention of criminals, the report also found a high degree of support in the industry for cooperation with authorities and the various legislative and regulatory requirements.
Finally, it uncovered little evidence to support the view that remote gambling has, to date, been particularly susceptible to money laundering and terrorist financing. It is also not a likely accessible avenue in the future because the identities of the gamblers are known while all financial transactions between bettors and operators are recorded and are in electronic format.
“In the past, a combination of misperception and misinformation has led many to believe that money laundering is a particular problem for the online gambling industry,” said Clive Hawkswood, Chief Executive Officer for the RGA.
“That is quite clearly not the case and we hope this report will go some way to dispelling those often-quoted myths and introduce a greater level of objectivity whenever these issues are debated.
“However, we are still a relatively new industry dealing with a relatively new framework of money laundering regulations. The industry has risen to the challenge but cannot rest on its laurels and we will certainly be following up on the recommendations made in the report.
“This is an area where we must remain proactive and continue our work, both individually and collectively, with legislators and regulators as well as with groups such as the Financial Action Task Force On Money Laundering, the Institute Of Money Laundering Prevention Officers and cross-industry forums such as the Anti-Money Laundering Europe group in Brussels. We will also be looking to discuss with various governments how we might expand the available sources of information to build on existing data that is used to combat fraud and money laundering.”