A company director allegedly used more than AUD1 million of company funds for his personal gambling and entered into an agreement rendering the company liable for his gambling debts. Reporting entities submitted 24 suspicious transaction reports (SUSTRs) to AUSTRAC detailing a variety of suspicious activities undertaken by the director, including:
- structuring gaming chip purchases and cash outs at casinos in amounts less than AUD10,000 to avoid the transaction reporting threshold
- making large deposits into phone betting accounts and, after minimal gambling, withdrawing similar amounts from the account using cheques and vouchers. On one occasion the director deposited AUD1 million into a phone account and, within 30 minutes, had withdrawn AUD950,000 from the account in cheques, vouchers and cash
- when redeeming vouchers, requesting cash in structured amounts less than AUD10,000 to avoid the transaction reporting threshold, and requesting that the remainder of the funds be deposited into his account.
As a result of his actions, the director was charged with nine counts of dishonestly using his position as a director of the company and a further 16 charges of falsifying an account or record made or required for accounting purposes.
|Designated service||Account and deposit-taking services Gambling services|
|Indicators||Betting accounts with large deposits but with minimal betting activity Cash withdrawals from betting accounts in cheques and vouchers Structuring of gambling purchases, payouts and withdrawals Unusual pattern of phone betting transactions Use of company accounts for personal use Use of false documentation|