AUSTRAC drops key allegations in Entain money-laundering case
Australian financial intelligence agency AUSTRAC has dropped a series of claims against betting company Entain after the regulator’s allegations conflicted with its published guidance on money-laundering rules.
Entain, which owns the Ladbrokes and Neds brands in Australia, is facing civil action over claims it failed to put systems in place to detect suspicious transactions from 17 high-risk customers.
Those customers collectively moved more than AU$152 million (US$101 million)1 AUD = 0.6651 USD
2025-09-12Powered by CMG CurrenShift through their accounts between 2016 and 2020.
In August, AUSTRAC amended its statement of claim and published the revised version this week. The regulator removed allegations that Entain failed to report suspicious deposits and withdrawals, known as “remittance arrangements.”
Guidance from AUSTRAC states that companies are not subject to those obligations if they transfer money both to and from customers, as a lower-level part of their business.
The change delays Entain’s deadline to file a defence, but the case continues on other allegations. Each of the “innumerable” transactions still at issue could incur penalties of AU$21 million (US$14.0 million)1 AUD = 0.6651 USD
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AUSTRAC has never secured a court ruling on its interpretation of anti-money laundering laws, relying instead on negotiated settlements with Westpac, CBA, Crown, Tabcorp, and SkyCity Adelaide.
However, the Federal Court is expected to deliver a decision this month in a separate case against Star Casinos, which faces up to AU$400 million (US$266 million)1 AUD = 0.6651 USD
2025-09-12Powered by CMG CurrenShift in penalties. The ruling could shape Entain’s legal strategy going forward.
The drop in the allegations by AUSTRAC comes only weeks after Entain Australia appointed Andrew Vouris as Chief Executive.
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