The sole two Sydney casinos are going to make their gaming cashless with the aim of eliminating money laundering.
Authorities said The Star and Crown Sydney, which are yet to open, agreed with the unusual act on Thursday.
Why This Decision?
It comes after an investigation earlier this year found that financial crime had taken place at Crown Resorts casinos in other Australian cities.
The crown was under a lot of pressure to change its gambling operations and procedures after an investigation.
It found that Crown had been “making money illegally, being involved in money laundering, putting workers at risk of being detained abroad and pursuing trade relations with people” linked to criminal gangs.
The findings prevented the company – the largest company owned by billionaire James Packer – from obtaining a license to operate its Sydney casino, built for A $ 2.2bn (£ 1.2bn; $ 1.7bn).
Where Will The New Rules Be Followed?
Commitment to blocking cash is the latest Crown initiative designed to help itself get a gaming license.
The Independent Gaming and Liquor Authority (ILGA) said Crown would ban cash in its Sydney gaming operations but did not specify a timeline.
The law will also apply to Crown casinos in Melbourne and Perth.
The local media has also been reporting that The Star is also looking to play cash-free games.
A spokesman for the company told the BBC: “This will be a gradual transition with the customer in mind, with an implementation timeline still to be determined.”
If enforced, both casinos would require gamblers to use cards linked to their ownership with a bank or other financial institution, the ILGA said.
Background
The regulator said both casinos also promised to suspend their overseas junkets – paid-for trips – which have also been seen as a source of illegal activity.
For years, Crown has been dogged by allegations of illegal activity occurring at its casinos, including widespread money laundering and junkets for Chinese high-roller gamblers linked to organised crime groups.
Crown opened a tower in Barangaroo in Sydney Harbor as a hotel last December, but was barred from opening the casino for the public during the investigation.
It called for a major change in company culture. Crown has since replaced its top executives including chief executive Ken Barton.
