Caesars Agrees to Pay $20 Million Penalty Over Anti-Money Laundering Lapses
Caesars Entertainment Corp., the Nasdaq-listed gambling giant that controls over fifty casinos across the United States, has reportedly reached a $20 million deal with the Justice Department to settle charges over anti-money laundering lapses.
According to Reuters, "a source familiar to the matter," the deal - which is supposed to become public later during the week - will settle the ongoing dispute between Caesars and the Justice Department, the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN), and the Nevada Gaming Control Board.
Over the past few years, Caesars has repeatedly on the FinCEN’s radar, who've accused them of implementing weak anti-money laundering controls and failing to comply with US anti-money laundering law, the Bank Secrecy Act (BSA), that stems from an investigation that began back in 2013.
The FinCEN leveled similar accusations at the Tinian Dynasty Hotel & Casino in Northern Mariana Islands. The FinCEN then issued a $75 million fine to the resort accusing the property of conducting too weak controls against money laundering and not reporting suspicious activities.
In the past, FinCEN controls have led to other fines related to the gambling industry in the US and failure to implement satisfactory anti-money laundering policies. For instance, accusations similar to the ones moved against the Caesars Entertainment Corp. saw Atlantic City's Trump Taj Mahal Casino Resort fined $10 million, while back in 2013 the Las Vegas Sands Corp strike a $47 million deal with the Justice Department over similar charges.