British Columbia casino money laundering team will cut crime, boost coffers

The Canadian province of British Columbia is taking steps to reduce rampant gang activity and money laundering at its brick-and-mortar casinos.

On Monday, the province’s ruling Liberal government announced the formation of a new Joint Illegal Gaming Investigation Team that will be tasked with reducing the reams of bad press the Liberals have endured since they shut down the RCMP’s Integrated Illegal Gaming Enforcement Team in 2009.

That 2009 shutdown had been widely criticized, given that the team’s annual budget was a mere $1m. Since the shutdown, the British Columbia Lottery Corporation (BCLC), the provincially-owned monopoly that oversees gambling operations in BC, has come under repeated criticism for its apparent disinterest in enforcing anti-money-laundering controls at its casino operations.

The new team will have an annual budget of $4.3m, 70% of which will come from BCLC. Critics have already suggested that BCLC’s dominant funding role should prompt more questions regarding the inherent conflict of interest of an entity tasked with both maximizing profits and enforcing regulations that interfere with those profits.