Australia’s financial crime regulator AUSTRAC has officially cleared Sportsbet after the Flutter-owned bookmaker completed a mandated anti-money laundering remediation programme.
AUSTRAC confirmed it had finalised the enforceable undertaking that Sportsbet accepted back in May 2024, marking the end of a multi-year compliance process.
An independent external auditor verified that Sportsbet had successfully implemented all required improvements to its anti-money laundering and counter-terrorism financing controls.
The undertaking was originally introduced following concerns identified during AUSTRAC’s supervision of the broader online wagering sector in Australia.
Sportsbet was required to strengthen its governance frameworks, risk management procedures, customer monitoring systems, and internal reporting processes as part of the agreement.
AUSTRAC CEO Brendan Thomas confirmed the regulator’s position, stating: “When AUSTRAC identifies systemic weaknesses in a reporting entity’s AML/CTF controls, we will take enforcement action to ensure those issues are addressed.”
Thomas further noted that “Sportsbet was required to undertake significant remediation to uplift its systems, controls and governance,” adding that AUSTRAC is now satisfied those requirements have been met.
However, the CEO was clear that clearing the undertaking does not reduce expectations, saying: “Businesses like Sportsbet operating in higher-risk sectors must maintain robust, risk-based systems to prevent criminal exploitation.”
Sportsbet, Australia’s largest online bookmaker, first came under AUSTRAC scrutiny in 2022, when the regulator directed the company to appoint an external auditor as part of a wider sector review.
Following the audit findings, Sportsbet formally entered into the enforceable undertaking with AUSTRAC in May 2024, committing to overhaul its AML and counter-terrorism financing framework under independent oversight.
AUSTRAC said it would continue monitoring the gambling sector closely, pointing to its ongoing exposure to significant money laundering risks across the industry.
Thomas warned that “the online gambling sector faces heightened threats from identity and payment fraud,” stressing the importance of the entire sector continuing to work to mitigate those threats.
The AUSTRAC chief closed with a clear message to the industry: “Strong AML compliance is the best way to fight financial crime – let’s work together to stamp out criminal abuse of the online gambling sector.”
